Mexico has been placed on the Priority Watch List in the 2025 Special 301 Report by the Office of the United States Trade Representative (USTR).
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Being on the Priority Watch List means that Mexico is viewed as a country that fails to effectively combat both physical and digital piracy.
Countries on the list include: Argentina, Chile, China, India, Indonesia, Mexico, Russia, and Venezuela.
Naturally, Mexico’s inclusion in this not-so-honorable list will be a key issue in upcoming USMCA renegotiations with Donald Trump’s administration.
Where does the problem stem from?
The previous administration’s “hugs, not bullets” policy (a hallmark of former President López Obrador) also affected the fight against piracy due to a lack of governmental will.
Over the past six years, anti-piracy operations and criminal proceedings for trademark counterfeiting were essentially frozen at the Office of the Attorney General (FGR). The situation at the Mexican Institute of Industrial Property (IMPI) regarding administrative infringement procedures hasn’t been much better.
The lack of funding for IMPI’s litigation division is unjustifiable, especially considering the surplus generated by the trademarks and patents departments.
On a more positive note, the newly appointed director of IMPI, Dr. Santiago Nieto, brings relevant experience in criminal investigations from his time leading the Special Prosecutor’s Office for Electoral Crimes.
In recent weeks, several anti-piracy raids targeting counterfeit clothing and merchandise from China have been reported.
However, long-standing government actions remain pending:
1. Customs enforcement – Most pirated goods enter through customs. Mexico’s National Customs Agency (ANAM) must be fully empowered to seize counterfeit goods and pharmaceuticals ex officio.
2. Criminal prosecutions and raids – The FGR must unfreeze criminal cases related to trademark counterfeiting and resume executing search warrants.
3. Issuance of the Regulations for the Federal Law for the Protection of Industrial Property by President Claudia Sheinbaum.
4. Increased internal funding for IMPI’s litigation division – Administrative infringement cases should not take five years to resolve, plus appeals.
5. Proper implementation of the damages and compensation process under the Industrial Property Law –
After 26 years litigating IP in Mexico, I can confidently say that the most common complaint from rights holders is the inability to recover damages for unauthorized use of their IP.
What do you think?