CIA, credit warning and World Cup

The CIA story that has shadowed Mexican-U.S. relations since late April took a new turn this week. On Wednesday, CNN published a report alleging that the CIA had orchestrated the assassination of a cartel figure on Mexican soil — a claim Mexico’s government rejected in unequivocal terms, calling it false, unverified and based on anonymous sources. At her mañanera, Sheinbaum went further, suggesting the report was part of a coordinated media campaign targeting her government — at the same time that a separate report identified Mexico as a target in an alleged U.S.-backed influence operation aimed at destabilizing left-leaning Latin American governments.

The week’s economic signals were mixed but consequential. S&P downgraded Mexico’s credit outlook from stable to negative and cut its 2026 growth forecast to just 1% — a blow that Finance Minister Edgar Amador quickly pushed back on, insisting Mexico is ready to grow and that the downgrade misreads the country’s fundamentals. Against that backdrop, tech exports reached a record high, cementing Mexico’s position as the United States’ top trading partner, while the European Union formally green-lit a new trade deal with Mexico ahead of a signing summit set for May 22.

Closer to home, a school calendar dispute that began last week escalated into a full-blown political controversy. After the Education Ministry announced that the current school year would end more than a month early, the pushback was immediate. The Ministry ultimately reversed its decision, confirming July 15 as the official end of the school year — a move Sheinbaum defended throughout the week despite sustained criticism. And with the World Cup now three weeks away, the tempo of preparations visibly accelerated: FIFA officially took possession of the Azteca and Mexico City Stadium became its new official name, while Mexico’s homegrown electric mini-car cleared a milestone of its own.

Didn’t have time to catch this week’s top stories? Here’s what you missed.

Mexico rejects CIA assassination report, calls it a media campaign

Mexico’s Foreign Ministry and Sheinbaum both flatly denied the CNN report alleging a CIA-orchestrated cartel killing on Mexican territory, with the Foreign Ministry stating that the claim has no factual basis. At Wednesday’s mañanera, Sheinbaum rejected both reports as false and, when asked whether the simultaneous CNN and New York Times stories and U.S. Senate testimony by the DEA chief amounted to a coordinated campaign, answered “yes” — attributing it to an “international right-wing movement” she said is “betting on the defeat and failure of the Mexican government.” The CIA story dovetailed with a separate report identifying Mexico alongside Honduras, Bolivia and other left-leaning governments as targets of an alleged U.S.-backed influence and destabilization operation — allegations the U.S. government has not confirmed.

S&P downgrade lands as trade data tells a different story

S&P’s decision to move Mexico’s credit outlook to negative and forecast just 1% GDP growth in 2026 cited fiscal pressures, weak investment and uncertainty around the USMCA review. Finance Minister Amador rejected that characterization, arguing that Mexico’s fundamentals are sound and pointing to strong export performance and planned public investment as evidence the economy is better positioned than the rating implies. The counterargument has some data behind it: Mexico’s tech exports hit a record, with the country now accounting for 16.3% of total U.S. goods imports in the first quarter — the highest share ever recorded — driven by electronics, medical devices and auto parts. Meanwhile, the EU’s approval of a revamped trade agreement with Mexico, set to be signed May 22, offers the prospect of diversified export markets at a moment when over-reliance on the U.S. is a source of economic risk.

Tech exports boom as Mexico cements top spot in US trade

USMCA: Mexico signals ‘no rush’ as July 1 review deadline nears

With the USMCA’s mandatory review deadline approaching, Sheinbaum told reporters Thursday that there is no rush and Mexico will not accept terms that compromise its interests simply to meet an arbitrary deadline. Sheinbaum said negotiations are proceeding at the pace dictated by their complexity — and that a good deal is more important than a fast one.

Pemex director out after a month of crises

Víctor Rodríguez, who served as Pemex director for approximately 18 months before resigning this week, was replaced by the company’s chief financial officer, Juan Carlos Carpio. Sheinbaum said Rodríguez had accepted the position on the condition that he would remain for only a year and a half — a request she said her administration was now honoring. His final months in the role were marked by a major Gulf Coast oil spill and cover-up, along with declining production and other operational setbacks.

The week’s school calendar controversy had its roots in the prior week, when Education Minister Mario Delgado announced on May 7 that the school year would end June 5 — nearly six weeks early — citing extreme heat and World Cup logistics. The announcement drew immediate backlash from parents and local officials, and Sheinbaum said on May 8 that the change was “a proposal” and not yet finalized. The resolution came Monday, after a five-hour meeting between Delgado and all 32 state education secretaries: the July 15 closing date was restored. Sheinbaum said all 32 state ministers had agreed to maintain the original calendar, while allowing for state-level adjustments in cases of extreme heat or World Cup-related logistics.

World Cup: Azteca becomes ‘Mexico City Stadium,’ and Olinia gets a launch date

FIFA this week formally assumed operational control of the Azteca, which will be known as Mexico City Stadium for the duration of the tournament — a standard FIFA commercial requirement that bars non-affiliated sponsors from receiving exposure. The handover was not without friction: luxury box holders, who carry 99-year usage contracts, won a federal injunction against FIFA’s plan to restrict their access and remove personal property from their suites.

On a more celebratory note, officials confirmed that Mexico’s prototype electric mini-car, the Olinia, is complete and will make its public debut on June 7 as part of the World Cup buildup — a symbolic showcase for domestic manufacturing ahead of the tournament. A new survey, meanwhile, found that potholes rank as the top urban concern among city-dwelling Mexicans — above water supply failures, insufficient public lighting, traffic and crime — a finding with obvious implications for a country about to host millions of international visitors.

Tourism up, and Mexico courts Chinese visitors

International tourism grew 11.9% in March compared to the same month last year, despite concerns that the high-profile “El Mencho” military operation earlier this year would deter visitors to western Mexico — a sign that the impact on overall arrivals was limited.

On Friday, Tourism Minister Josefina Rodríguez unveiled Plan China at Sheinbaum’s mañanera, a government initiative aimed at moving China from 14th to 10th among Mexico’s largest tourist source markets by 2029. The plan includes debut participation at the ITB China fair in Shanghai and a targeted presence on Chinese social media platforms, including Weibo.

Looking ahead

The EU trade deal signing on May 22 will be the week’s most concrete diplomatic event, and a meaningful data point in Mexico’s effort to strengthen ties beyond North America. The USMCA talks are expected to begin in earnest the week of May 25, with a July 1 review deadline providing the clearest pressure point on the calendar. On the domestic front, the school year controversy is unlikely to fully subside — the policy reversal leaves questions about coordination between Delgado’s ministry and state governments that critics will continue to press. And as June 11 approaches, the World Cup’s organizational machinery shifts from preparation into execution: Mexico City Stadium hosts the tournament opener, and the country’s readiness — potholes and all — will be on display to the world.

Also in the news this week

• US $145M St. Austin development could turn Querétaro into a medical tourism hub — The mixed-use project will pair a hospital and medical offices with a hotel and residential units.

• Three baby bison born at El Santuario Ecological Reserve in Coahuila — The calves mark another step in the species’ gradual reintroduction to northern Mexico’s grasslands.

• U2 filmed a surprise music video atop a painted school bus in Mexico City’s Historic Center — The Tuesday shoot near Plaza Santo Domingo stopped traffic and took over social media.

• NFL confirms 49ers return to Mexico City to face the Vikings — The regular-season game adds to a fall sports calendar already energized by a home World Cup.

• Diego Luna’s Ashes earns a standing ovation at Cannes — The border drama received one of the festival’s warmest early receptions.