The implementation of a new cruise passenger tax in Mexico, originally scheduled to take effect on January 1st, has been postponed by 6 months following significant concerns raised by the cruise shipping industry.
The proposed US$42 per passenger tax - 3 times the average levied at other Caribbean ports - sparked criticism from industry stakeholders who warned of severe economic repercussions.
The Florida-Caribbean Cruise Association (FCCA), which represents the cruise sector in Mexico, announced that after discussions with government officials, the levy’s introduction has been deferred to July 1st. For the past decade, cruise passengers arriving at Mexican ports have been exempt from immigration fees under their classification as “in transit.”
FCCA leadership has expressed strong reservations about the proposed tax. CEO Michele Paige noted that the organization had been taken by surprise by the government’s decision to announce the policy with only a month’s notice, labeling the delay as a temporary relief but underscoring the need for more comprehensive measures to address the industry’s concerns.
The Mexican Association of Cruises has warned of the potential fallout, suggesting that the tax could lead to a gradual decline in cruise arrivals. The association argued that decreased passenger numbers would translate to reduced income, fewer jobs, and diminished tax revenue. They also stated that the tax could erode Mexico’s competitiveness as a cruise destination, potentially making it one of the most expensive in the world.
RCI-Royal Caribbean International, which plans to open a themed destination near Costa Maya Port in 2027, may reconsider its investments in light of the proposed fee. According to Paige, major cruise companies are likely to reassess the viability of their commitments if consumer demand for Mexico itineraries declines due to the tax.
The FCCA highlighted the importance of cruise tourism to Mexico’s economy, noting that passenger-generated port fees totaled US$62.6 million during season 2023-2024.
The FCCA continues to advocate for a solution that ensures Mexico remains a competitive and attractive destination for cruise lines and passengers.