Chipotle heads south of the border with opening of 1st location in Mexico
By LINDA SMITH
Exciting news for Mexican food lovers! Chipotle Mexican Grill is expanding its reach to Mexico.
The popular California-based chain announced its plans to open a restaurant in Mexico early next year, marking its first venture south of the border in its three-decade history.
Chipotle has teamed up with Alsea in Mexico City, a company known for operating major brands like Domino’s, Starbucks, Burger King, and Chili’s across South America and Europe. Alsea is also looking into further expansion opportunities in Mexico and other regions.
Nate Lawton, Chipotle’s chief business development officer, expressed confidence in the company’s menu resonating with Mexican diners.
“The country’s familiarity with our ingredients and love for fresh food make it an appealing market for our growth,” Lawton stated.
While Chipotle is optimistic about its prospects in Mexico, other U.S.-based Mexican chains have faced challenges in the country. Taco Bell’s attempts to establish a presence in Mexico City in the past were short-lived.
The expansion comes amidst concerns over tariffs on Mexican imports imposed by President Donald Trump, which could potentially impact costs for Chipotle’s U.S. locations.
Recently, the U.S. Commerce Department announced its intention to withdraw from an agreement regarding tariffs on fresh tomato imports from Mexico, potentially subjecting most tomatoes from Mexico to a 20.91% tariff.
Although Chipotle sources around half of its avocados from Mexico, they have not been affected by tariffs thus far.
Established in Denver in 1993, Chipotle currently operates 3,700 restaurants and has plans to open up to 345 new locations this year.
The brand has been actively expanding internationally, with a recent partnership with Alshaya Group leading to the opening of a restaurant in Kuwait, marking its first new market in ten years. Chipotle now has a presence in Kuwait and the United Arab Emirates as well.
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