- Blog
Enciende Mi Fuego (Light My Fire)—A New Era in Mexico’s LPG (Propane) Market
Big changes are coming to the LPG market in Mexico. LPG, or liquefied petroleum gas, is mostly propane but can include butane. Mexico is one of the largest consumers of LPG in the world and imports significant volumes from the U.S. Historically Petróleos Mexicanos (Pemex) has been the only legal LPG importer of record, standing between suppliers and Mexico’s buyers. But in January 2016, Pemex will lose that status, and a year later the regulations that have capped Mexican LPG retail prices will be eliminated. Today, we consider how opening up of the LPG south of the border may affect Mexican LPG importers and consumers, and U.S. producers and exporters.
