First non-state-owned gas stations open in Mexico

Global Business

First non-state gas stations open in Mexico2

For the first time in nearly 80 years, Mexico’s gasoline market is starting to open up to competition.

As CCTV America’s Franc Contreras reports from Mexico City, the change is not as massive as many expected.

First non-state gas stations open in Mexico

First non-state gas stations open in Mexico

For the first time in nearly 80 years, Mexico's gasoline market is starting to open up to competition. As CCTV America's Franc Contreras reports from Mexico City, the change is not as massive as many expected.

It’s not exactly a clean-break from the state-run oil company Pemex, but customers in central Mexico are lining up to try-out this new service station.

Hidrosina still sells Pemex gasoline. But for the first time in nearly 80 years, it is one of the very first non-Pemex branded gasoline stations in Mexico. To make its mark, Hidrosina also sells movie tickets and allows customers to pay their utility bills without leaving their vehicles.

In southeast Mexico, a separate company called La Gas has also opened non-Pemex gasoline stations.

But observers say the new competition is not likely to bring prices down in Mexico until these newcomers can raise the capital to own their own gasoline storage facilities.