Capital businesses confront Asian smuggling and SAT terrorism, accuses Canaco CDMX
Small businesses in Mexico City face fiscal 'terrorism' from authorities and unfair competition from Asian smuggling, according to Canaco CDMX.
Small enterprises in Mexico City's commerce, services, and tourism sectors are reportedly facing what Vicente Camposeco, president of the Canaco CDMX, describes as fiscal 'terrorism' from tax authorities. Camposeco argues that this oppressive scrutiny and aggressive collection tactics by the SAT (Tax Administration Service) are pushing many businesses towards the informal economy, where they can avoid inspections and debts to the government. The high-pressure tactics include freezing accounts and demanding outstanding payments, which businesses find increasingly untenable.
Additionally, Camposeco highlighted that the competitive landscape is further complicated by the influx of goods from Asia, which undermines local businesses through unfair pricing and market practices. He expressed concerns that the combination of strong taxes and unregulated competition makes it impossible for legitimate businesses to thrive, forcing them to consider operating outside formal economic channels. The current economic climate, exacerbated by the challenge from informal markets, raises serious concerns about the future of small businesses in the region.
In light of recent labor reforms aimed at reducing the workweek to 40 hours, Camposeco claimed that not all sectors would experience the same challenges. Industries that are more capital-intensive and employ fewer workers may fare better under these changes compared to small businesses that are already struggling with external pressures. The comments by Canaco CDMX underline an urgent need for policy adjustments to protect the interests of small business owners in the face of mounting fiscal challenges and competition from illegitimate sources.