What to know about the cruise tax in Mexico, now postponed until next summer

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Friday, December 13, 2024 5:35PM
What to know about the cruise tax in Mexico
Cruise travel to Mexico will be more expensive in 2025, but after industry pushback on the decision to charge passengers, the implementation of those fees won't take effect until mid-summer.

Cruise travel to Mexico will be more expensive in 2025, but after industry pushback on the decision to charge passengers, the implementation of those fees won't take effect until mid-summer.

What to know about new Mexico cruise tax

Starting July 1, 2025, any passenger who visits a Mexican port will pay a fee of $42, according to nonprofit trade organization Florida-Caribbean Cruise Association, which said the tax was initially set to be enforced starting Jan. 1.

In a statement obtained by ABC News, the organization said Mexico's decision to postpone the tax came after a meeting between the group and Mexican government officials on Friday.

Despite the temporary respite, the Florida-Caribbean Cruise Association said it "stresses that more comprehensive measures are required to address broader concerns about the tax's devastating impact on cruise tourism, Mexico's economy, and the livelihoods of its coastal communities."

The $42 per passenger fee -- the equivalent of 860 Mexican pesos -- is 213% higher than the average cost at Caribbean ports, according to the cruise association.

While other popular destinations with overtourism concerns such as Venice, Italy -- which implemented a day-tripper access fee earlier in 2024 -- have implemented taxes to help pay for preservation efforts or crowd control, the cruise group noted that this concept would cost a family of four visiting a Mexican cruise port an additional $168 in fees for just a few hours ashore.

Tourists crossing the border by land who are visiting for seven days or less remain exempt from this tax.

The Mexican Association of Shipping Agents, which issued a statement last month in support of the Florida-Caribbean Cruise Association's efforts against the tax, noted at the time that historically, cruise passengers had been exempt from Mexico's non-resident fee, which is paid by international tourists visiting the country, because they fell under a "transit exemption."

"However, the elimination of this exemption and the imposition of the new fee ... puts at risk the competitiveness of Mexican ports, as well as the economic benefits generated by the industry," the shipping association stated, arguing that "If the measure is implemented, Mexico could lose up to 10 million passengers and more than 3,300 ship calls in 2025, directly impacting the local economies of tourist ports and thousands of small suppliers and national companies."

The Florida-Caribbean Cruise Association similarly warned this week that "placing such a burden on cruise tourists with minimal time actually spent in Mexico will deter visitors, alter cruise itineraries, and create economic ripple effects in communities that heavily rely on cruise tourism."

Last month, Mexico's Congress approved the measure for the levy for every passenger, regardless of whether or not they disembark the vessel, the Associated Press reported previously.

Octavio de la Torre, the president of Mexico's National Confederation of Chambers of Commerce, Services and Tourism, has voiced his and the organization's support for merchants and businesses in every cruise ship port. He previously called on the decision makers to evaluate the measure and reconsider its approval due to the affect he believed it would have on the shops, businesses and companies that depend on this economic activity.

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