Mexico welcomes US–Iran deal as oil prices ease
Mexico’s President Claudia Sheinbaum has welcomed the anticipated US–Iran agreement and the reopening of the Strait of Hormuz, highlighting its potential to stabilise global oil prices and ease pressure on public finances.
Speaking at a press briefing in Mexico City, Sheinbaum said any step towards peace is positive, noting that oil prices have already dropped to around $80 per barrel after previously exceeding $100. She emphasised that lower energy costs are particularly significant for Mexico, as the government is currently subsidising petrol and diesel by partially waiving the Special Tax on Production and Services (IEPS), putting pressure on federal revenues.
The agreement, expected to be signed in Geneva, would see Iran commit to renouncing the development or acquisition of nuclear weapons in exchange for support to reopen the Strait of Hormuz, a critical global oil route. The deal follows nearly four months of conflict involving the US and Israel, which has resulted in over 7,000 deaths, according to official figures, and has raised concerns over regional stability and energy markets.
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