Mexico Adjusts Cruise Passenger Tax After Industry Feedback

In a significant response to pushback from the cruise industry, the Mexican government has revised its proposed cruise passenger tax. Initially set at $42 per passenger, the tax will now start at just $5, effective July 1, 2025, and will gradually increase: to $10 from August 2026 to July 2027, $15 from July 2027 to July 2028, and finally to $21 in August 2028.

The tax will be applied once per voyage, regardless of the number of Mexican ports visited or whether passengers disembark. The earlier proposed rate drew substantial criticism, as it could potentially make Mexican ports up to 213% more expensive than other Caribbean destinations, raising concerns about Mexico’s competitiveness in the cruise industry.

Industry bodies like the Florida-Caribbean Cruise Association (FCCA) expressed that such a high fee could deter cruise lines from including Mexican ports in their itineraries, negatively impacting local economies that rely on cruise tourism. This backlash led the Mexican government to delay the implementation of the tax from January to July 2025 and adjust the fee structure to a more gradual implementation.

Popular cruise destinations in Mexico such as Cozumel, Puerto Vallarta, Mazatlán, and Costa Maya are likely to feel the effects of this new tax. The updated fee will be included in the overall cruise fare, aimed at enhancing transparency for travelers.

While the decrease in tax is viewed favorably, industry representatives remain concerned about the long-term implications for cruise tourism and local economies. Continuous dialogue between the Mexican government and cruise industry stakeholders is expected as they work together to ensure the sustainability of cruise tourism in the region.

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