Starting on January 1, 2025, taxes and fees that cruise passengers pay when visiting ports in Mexico is scheduled to more than triple.
The new policy will see port taxes and fees raised from $20 a day to $62 per passenger. Port taxes in Mexico will be 213% higher than the average port in the Caribbean. It is part of a Federal Law of Rights that will go into effect at the start of 2025.
The Florida-Caribbean Cruise Association (FCCA) is seeking immediate discussions with the federal government in Mexico about the huge tax increase on cruise ship passengers.
Mexico’s decision to raise taxes and port fees was done without input from the cruise industry and it doesn’t leave time for cruise lies to prepare guests for the added expense for cruises in a few weeks.
Potential impacts of the new tax include a reduced demand for cruises itineraries to Mexico and a shift in itineraries with fewer ship visits to the country.
The cruise industry provides over $1 billion in direct spending to Mexico each year. This supports over 20,000 jobs and contributes $200 million in wages.
FCCA CEO Michele Paige, gave the following statement:
“We appreciate President Sheinbaum’s assurance during her Wednesday news conference that the change will happen slowly and that she’s instructed federal officials to work with our industry, but we haven’t heard from anyone yet”
“Mexico has long been a cornerstone of the cruise market, with a deeply entrenched relationship that has delivered significant economic benefits to both the industry and local communities.
“However, the unilateral decision to eliminate the in-transit tax exemption without engaging industry stakeholders undermines this partnership and puts at risk the livelihoods of tens of thousands of workers and businesses reliant on cruise tourism.”
Paige went on to say that they are hopeful that they can work together to find solutions to preserve Mexico’s role in the cruise industry.