Reform of the Federal Economic Competition Law (LFCE): What Companies Need to Know

On July 16 2025, a reform to the Federal Economic Competition Law (LFCE) was published in the Official Gazette of the Federation (DOF). This reform represents a structural change in Mexico’s competition regime, replacing the Federal Economic Competition Commission (COFECE) and the Federal Telecommunications Institute (IFT) in their competition functions with the new National Antitrust Commission (CNA), a decentralized agency under the Ministry of Economy, with legal personality and technical and operational autonomy.

Among the most relevant changes are:

• The reduction of monetary thresholds for the notification of economic concentrations, which will increase the number of transactions subject to authorization by the new authority.
• The timeframes for resolving concentration assessments are shortened.
• The statute of limitations for investigating unnotified concentrations is extended from one to three years.
• The CNA may not extend the review period if the Executive Branch declares that the transaction involves a matter of national interest.

Regarding Absolute Monopolistic Practices, a new definition has been established that includes contracts, agreements, arrangements, combinations, or exchanges of information between Economic Agents that are current or potential competitors, which broadens the scope of the authority to investigate and sanction collusive conduct.

The reform introduces new enforcement measures, including specific fines for obstructing verification visits. It also strengthens the authority’s investigative powers and modifies the conditions for accessing immunity, exemption, and sanction reduction procedures, making their granting conditional on effective cooperation during the course of investigations.

It will be possible to request the CNA to exclude communications with attorneys intended to provide legal advice; however, it is important to note that communications with in-house attorneys are not considered protected by professional secrecy.

The CNA may certify economic competition compliance programs, which may serve as mitigating factors for fines imposed by the CNA in the event of an infringement. Such certification will be valid for three (3) years.

Fines for violations of the LFCE have been increased, for example:

• from 10% to 15% of the Economic Agent’s income for engaging in absolute monopolistic practices;
• from 8% to 10% of the Economic Agent’s income for engaging in relative monopolistic practices or an illicit concentration;
• from 5% to 8% of the Economic Agent’s income for failing to notify a concentration that should have been notified; and
• from 10% to 12% of the Economic Agent’s income for failing to comply with the conditions established in the resolution of a concentration.

Ongoing investigations will be suspended until the CNA’s Plenary is formed and will be processed in accordance with the law in force at the time of their initiation. The deadlines for other procedures, such as concentration notifications and proceedings conducted in the form of trials, will not be suspended.

In this context, companies are advised to:

• Review their operating and corporate governance structures,
• Assess ongoing or planned transactions that may constitute a concentration,
• Update their internal competition compliance policies, and
• Train key personnel on the new risks and obligations arising from the reform.

At Cannizzo, we can advise you regarding this Law to remain in compliance and avoid possible sanctions. Our team of experts is available to provide personalized advice and support in the adoption of this new regulation.

For more information, please contact Karen Ortega at [email protected].

Yours sincerely,

Cannizzo