Artificial intelligence is no longer a futuristic concept. It is one of the defining forces shaping economic competitiveness, public governance, and social transformation in the 21st century. As Mexico seeks to transition from a primarily manufacturing-centric model to a more diversified and knowledge-driven economy, the governance of AI has emerged as both a strategic challenge and an economic opportunity.Mexico stands at a regulatory crossroads. On the one hand, public, private, and civil society actors are actively debating ethical frameworks and legal norms for AI. On the other hand, comprehensive federal legislation has yet to be adopted, leaving innovators, investors, and policymakers to navigate an environment in flux with significant consequences for competitiveness, rights protection, and national strategic interests.The Legislative LandscapeUnlike the European Union’s AI Act or the emerging frameworks in select OECD countries, Mexico has not yet enacted a comprehensive national law specifically governing artificial intelligence. Since 2020, more than 60 bills addressing aspects of AI regulation have been introduced in the Mexican Congress, covering topics such as governance, ethics, privacy, and data protection, many of which remain under review.A significant development in early 2025 was a proposal to amend the Mexican Constitution to explicitly grant Congress authority to legislate on AI and adopt a General Law on AI. This constitutional step is viewed by observers as foundational: Without clear legislative authority, future AI regulation could face legal challenges or fragmentation.Parallel to these efforts, a draft Federal Law for the Ethical, Sovereign, and Inclusive Development of Artificial Intelligence is being discussed in legislative committees. This draft law seeks to establish a risk-based compliance regime, including oversight structures, classification of systems by impact, and mandatory transparency requirements for high-risk AI applications, similar in ambition to elements of the EU’s regulatory model.Ethical and Multi-Stakeholder GovernanceIn the absence of an enacted federal statute, voluntary, multi-stakeholder initiatives are gaining prominence. A leading example is the recently unveiled “Chapultepec Principles,” a 10-point ethical framework presented by Mexico’s Ministry of Science, Humanities, Technology, and Innovation (SECIHTI). This framework is designed to ground AI development and deployment in respect for human dignity, fairness, accountability, and the protection of fundamental rights.International partnerships also play a critical role. The “Mexico Model,” developed by the United Nations Educational, Scientific and Cultural Organization (UNESCO), offers a practical methodology for ethical AI adoption in Mexican companies, particularly small and medium enterprises. By equipping organizations with tools to assess ethical and operational risks across the life cycle of AI solutions, this initiative is helping to bridge the gap between internal governance and emerging regulatory expectations.These efforts underscore an important reality: Responsible AI governance in Mexico is increasingly shaped not only by pending legal reform, but by industry-led codes of conduct, international norms, and ethical best practices adopted by private and public actors alike.Intellectual Property and Legal PrecedentsEven in the absence of a dedicated AI law, judicial rulings are already setting precedents that affect the broader AI ecosystem. In September 2025, Mexico’s Supreme Court ruled that works autonomously generated by AI cannot be registered for copyright protection under current laws, affirming that only human creations qualify for legal protection. This decision aligns Mexican jurisprudence with prevailing international practice and signals that courts will play an important role in interpreting emerging technology issues until specific laws are enacted.Data Protection and Privacy While a comprehensive AI law is pending, Mexico’s Federal Law on Protection of Personal Data Held by Individuals (LFPDPPP) continues to serve as a fundamental regulatory touchstone. This law imposes requirements on entities that process personal data, including transparency, consent mechanisms, and security controls — obligations that are highly relevant to AI systems that collect or analyze personally identifying information.Moreover, the LFPDPPP and its implementing regulations already require organizations to inform data subjects when automated decision-making processes are used, a principle directly implicated in AI-driven applications like credit scoring, hiring systems, and targeted services.Innovation Ecosystem: Opportunities and GapsDespite regulatory uncertainties, Mexico’s AI ecosystem is advancing. Domestic talent graduating with advanced computer science degrees and participation in regional AI research initiatives illustrate growing capacity. Nonetheless, adoption of AI technologies within Mexican companies remains modest compared to other Latin American countries, and scientific output in AI research lags behind global leaders.This environment presents a dual reality:Opportunity: A relatively open regulatory horizon enables firms and innovators to experiment and lead in shaping norms, particularly when combined with internationally aligned ethical frameworks.Risk: Regulatory ambiguity can deter investment, slow adoption by risk-averse firms, and create legal uncertainty around liability, accountability, and compliance.Strategic alignment with international frameworks, including UNESCO’s Recommendation on the Ethics of Artificial Intelligence and OECD principles, can provide a pathway for Mexico to build globally interoperable governance while protecting local priorities.Toward a Strategic AI Policy for MexicoFor Mexico to realize the full potential of artificial intelligence across industries from healthcare and manufacturing to finance and governance, it must navigate several policy imperatives:Finalize a coherent national AI strategy that embeds AI governance in the broader economic and innovation agenda.Adopt a comprehensive legal framework that balances innovation with accountability, protect human rights, ensure data governance, and integrate risk-based oversight.Leverage multi-stakeholder collaboration between government, industry, civil society, and academia to build best practices that can adapt to technological evolution.Develop human capital and technical capacity to support implementation, compliance, and strategic deployment of AI across sectors.The AI debate in Mexico is not merely technical, it speaks to the country’s economic sovereignty, global competitiveness, and social cohesion. How Mexico chooses to govern AI today will shape not only its domestic markets, but its position in an increasingly competitive and interconnected global economy.Share this… Facebook Pinterest Twitter Linkedin Whatsapp Post navigation10 Reasons to Remain Optimistic About the US Economy Latin America Tech Capital Flow 2025: The Year of Maturity