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Mexico Faces Unprecedented Migration Crisis as Trump’s Deportation Policy Takes Effect

by Team Lumida
January 30, 2025
in Macro
Reading Time: 3 mins read
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Fed Official Warns of Inflation Risks Under Trump Presidency

"Donald Trump" by Gage Skidmore is licensed under CC BY-SA 2.0

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Key Takeaways:

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• Mexico has received over 4,000 deportees since Trump’s January 20 inauguration
• Over 200,000 migrants stranded after U.S. cancels CBP One appointment system
• Mexican government pledges $100 support per deported Mexican citizen
• Border crossings through Panama drop 90% in January compared to previous year

What Happened?

President Trump’s mass deportation initiative has created unprecedented pressure on Mexico’s immigration system. The Mexican government has launched “Mexico Embraces You” program, establishing emergency infrastructure including tent cities, call centers, and mobile apps for deportees. President Sheinbaum’s administration is cooperating with U.S. policies while managing both returning Mexican nationals and stranded non-Mexican asylum seekers whose CBP One appointments were canceled.

Why It Matters?

This situation represents a significant humanitarian and logistical challenge for Mexico, potentially straining its resources and infrastructure. The country must simultaneously manage three distinct migrant populations: deportees from the U.S., stranded asylum seekers, and new arrivals from Central and South America. This crisis could have lasting implications for Mexico’s economy, social services, and relationship with the United States. The situation also highlights the interconnected nature of North American immigration policies and their regional impact.

What’s Next?

Experts predict a potential decrease in new arrivals over the next six months, which could provide Mexico some relief. However, the country faces immediate challenges in scaling up its support infrastructure and managing the humanitarian aspects of the crisis. Key areas to watch include the development of the U.S.-Mexico working group on migration, the effectiveness of Mexico’s voluntary return program for non-Mexican nationals, and the long-term impact on Mexico’s border cities and social services. The situation may also influence future diplomatic relations between the U.S. and Mexico, particularly regarding immigration policy coordination and resource sharing.

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© 2025 Lumida Wealth Management LLC is an SEC registered investment adviser. Privacy Policy. Cookies Policy.
Disclaimer Important Information This site is for informational purposes only. Information presented on this site does not constitute as investment advice.

Lumida Wealth Management LLC (‘Lumida”) is an SEC registered investment adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser has attained a particular level of skill or ability.

Lumida's website (referred to herein as the "Website") is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of the Website on the Internet should not be construed by any client and/or prospective client Lumida’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet.

Any subsequent, direct communication by Lumida with a prospective client will be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides.

‍Lead Capture Forms: By submitting your contact information in the forms on this site, you are not obligated to invest in Lumida's product or services.
‍Address: Lumida Wealth Management, 25 W 39th Street Suite 700, New York, NY 10018