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Mexico’s week in review: A governor takes a U-turn, CJNG loses more ground and business booms

President Sheinbaum used the week to highlight security wins, a strong economy and reforms to modernize Mexico, even as members of her Morena party generated damaging headlines. The post Mexico’s week in review: A governor takes a U-turn, CJNG loses more ground and business booms appeared first on Mexico News Daily

Mexico’s week in review: A governor takes a U-turn, CJNG loses more ground and business booms

Mexico's week in August 2026 was marked by political shifts, cartel crackdowns, and economic growth. Governor Rubén Rocha Moya of Sinaloa briefly took back his position for two days before stepping down again, amid scrutiny over alleged collusion with the Sinaloa Cartel. President Claudia Sheinbaum addressed the issue, citing Rocha's leave request as "the best thing for Sinaloa," and dismissing other rumors. Sheinbaum also extended the same scrutiny to other Morena officials implicated in the U.S. indictment.

The week saw several major operations against the Jalisco New Generation Cartel (CJNG). A joint effort across Hidalgo, Jalisco, and Michoacán led to 20 arrests and the seizure of weapons, drugs, and exotic animals. Another operation in Michoacán targeted CJNG leader Heraclio "El Tío Lako" Guerrero Martínez. Security Minister Omar García Harfuch emphasized the goal of dismantling the cartel's operations and finances rather than merely making arrests.

Concerns arose in Mexicali due to a U.S. security alert warning of a potential "August 25 threat." The alert prompted the U.S. Mission to suspend travel and activity in the city, linked to fears of retaliation after a major fentanyl seizure. However, Mexican officials found no evidence of an imminent threat and maintained normal operations. The border crossing between Mexicali and Calexico remained open.

Economically, Mexico experienced mixed signals. The GDP grew in the second quarter but shrank in June, with the primary sector showing consistent growth. Foreign direct investment reached a record $34.968 billion in the first half of 2026, up 2.1% year-over-year, with the majority coming from the United States. July exports also hit a record $81.4 billion, driven by a surge in electrical and electronic equipment shipments, particularly to the U.S. market for AI and data-center infrastructure.

President Sheinbaum praised these figures, emphasizing the strong economy, high employment, and stable currency.

Written by urgent.news from Mexico News Daily's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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