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The Reform to the Federal Economic Competition Law, published in July 2025, marks a significant shift in how merger control is regulated in Mexico. Among the most notable changes is a reduction of approximately 17% in notification thresholds, which substantially increases the number of transactions subject to review by the new National Antitrust Commission (CNA).
This approach contrasts with recent reforms in jurisdictions such as the European Union and Canada, where notification thresholds have been raised to allow authorities to focus their resources on transactions with structural market impact. In the United States, although thresholds are updated annually to reflect inflation, regulatory discussions continue to focus on large-scale transactions. By opting to lower its thresholds, Mexico adopts a stricter stance that could increase administrative burdens and signal caution among domestic and foreign investors.
To offset this potential consequence, the reform also shortens procedural timelines by nearly half. In theory, this should allow for faster clearance decisions; however, it will also require the new authority to have a highly specialized, efficient, and well-resourced team, and for companies to submit much more comprehensive filings from the outset.
Additionally, the reform opens the door for new models of remedies in transactions that pose competition risks, particularly in digital markets and artificial intelligence, where regulatory challenges often exceed traditional competition frameworks.
Lower thresholds will have an immediate effect: a greater number of transactions will now need to be notified to the CNA and cannot be closed until the new authority issues its authorization. This includes smaller transactions that, while not significant in terms of assets, sales, or transaction value, may still—in the legislator’s view—influence competitive dynamics in certain markets.
For companies, this adjustment means higher costs and potential delays in deal closures. They will need to conduct more detailed analyses to determine whether a transaction requires CNA authorization, prepare supporting documentation for each filing, and engage competition specialists to manage the process. For the authority, the challenge will also be substantial, as its workload will increase considerably amid budgetary constraints and shorter resolution deadlines.
Because lower thresholds bring many low-risk transactions under review, the CNA will need to implement expedited or “fast track” procedures to prevent unnecessary delays in cases that do not raise competition concerns.
In the absence of such mechanisms, delays could become a significant barrier for mergers and acquisitions, affecting both domestic and international investors. This issue is particularly critical in sectors where timing is essential—such as tech startups, fast-moving industries, or cross-border integrations.
A simplified review system would not only allow the authority to focus its resources on high-impact cases but would also send a signal of certainty and efficiency to international markets. Comparative experience shows that jurisdictions with fast-track systems, such as the United States, manage to combine strict oversight with the agility required to sustain economic dynamism.
Across various jurisdictions, competition authorities have adopted more innovative remedies to allow certain risky transactions to proceed without harming competition. These ex post mechanisms enable authorities to monitor and adjust company behavior after the transaction, should negative effects emerge.
Examples include the European Union, where companies may be required to grant access to digital platforms, and the United States, where structural and behavioral commitments are imposed and monitored for several years following a merger.
The creation of the CNA offers an opportunity to strengthen the role of such remedies in Mexico. In sectors such as digital markets and artificial intelligence, where the accumulation of data, algorithms, or technological infrastructure can create significant entry barriers, innovative remedies are essential.
The challenge will be to have technical teams capable of understanding the dynamics of these markets and designing proportionate measures that ensure a competitive environment without discouraging innovation. Adopting these practices would place Mexico on par with other jurisdictions and send a positive signal about the seriousness of its competition policy.
The reduction of thresholds and the eventual implementation of new remedies will have direct consequences for market participants. Companies will need to strengthen their internal compliance mechanisms to identify early on which transactions require notification and to prepare comprehensive filings that facilitate the CNA’s review within shorter timelines.
At the same time, they should consider that remedies may extend beyond traditional divestitures or control restrictions, incorporating obligations related to data access, technological interoperability, or algorithmic transparency.
For both domestic and international investors, clarity and predictability in the application of these rules will be critical. A regulatory environment that combines technical rigor with procedural efficiency will be key to maintaining Mexico’s attractiveness as an investment destination.
The changes to the merger notification process represent one of the most significant aspects of the Reform to the Federal Economic Competition Law. The reduction of thresholds by approximately 17% increases the number of transactions subject to CNA review and decreases the likelihood that potentially harmful operations proceed without prior control. However, it also poses the risk of overburdening the authority and raising costs for businesses.
The success of this new framework will depend on the CNA’s ability to implement formal or informal fast-track mechanisms for low-risk transactions, while at the same time developing innovative remedies in strategic sectors such as digital markets and artificial intelligence. Only then can the authority strike an effective balance between control and the efficiency that markets demand.
For companies and investors, this new regulatory environment requires greater preparedness and a deeper understanding of the criteria the authority will apply. Anticipating challenges and adapting corporate strategies to these new requirements will be essential to minimize risks and ensure project viability in an increasingly monitored landscape. Legal certainty in the application of these new rules will be key to sustaining market confidence in Mexico.
At Mijares, we have a specialized Competition and Antitrust team that advises clients on compliance with antitrust regulations and restrictive trade practices.We ensure that their business activities adhere to competition laws, promoting fair market conditions and helping them prevent potential legal exposure or sanctions.
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