It’s about to become more expensive to cruise to Mexico thanks to a newly approved tax that will target cruise ship passengers visiting the country.
Mexico continues to be one of the most commonly visited cruise ports not only in the Caribbean, but also in the world. In fact, the Port of Cozumel, Mexico is the third busiest cruise port by passenger volume with over four million cruisers visiting each year.
However, the country might also become one of the most expensive cruise destinations to visit with a newly approved immigration fee. Under the new policy, all cruise ship passengers would be charged a hefty $42 per person to enter the country and would take effect in 2025.
The new tax would be considered a “Non-Resident Fee”, which would go into effect for cruises starting in 2025. Moreover, the funds from the immigration tax would mainly support the country’s military rather than improving port facilities and tourism infrastructure. Critics state this undermines the intent of the tax, which is meant to support tourism development in the country.
Historically, cruise ship passengers were exempt from tourism taxes, as guests sleep onboard the ship and some choose not to disembark in the ports of call. Under the new policy, all cruise guests would be charged the $42 fee regardless of whether they go ashore or not.
This $42 tourist fee will be added on top of existing taxes and docking fees. For example, the country already approved a new $5 tax for the National Disaster Prevention Fund, which will apply to cruise passengers visiting Cozumel and Costa Maya, Mexico. The new fee could go into effect in 2025. However, the funds raised by this tax will mostly support tourism infrastructure, along recovery needed from potential hurricanes and other damaging storms.
Cruise Industry’s Response
As anticipated, the new tourist tax is causing uproar in the maritime community with many industry leaders fearing tourism revenue will plummet. For instance, the Mexican Association of Shipping Agents strongly opposes the new tax, stating the new fee could make Mexico uncompetitive for cruise ship tourism in the future.
“If this measure is implemented, it would make Mexican ports of call among the most expensive in the world, severely affecting their competitiveness with other Caribbean destinations,” the association said in a statement.
In addition, the not-for-profit trade organization known as Florida Caribbean Cruise Association (FCCA), which represents 23 different cruise lines, has requested Mexico’s government reconsider the proposed tax. The association wrote a letter to Mexico's president expressing concerns with the new tourism tax.
In the letter, the organization states it represents North America’s major cruise lines, including Royal Caribbean, Carnival Cruise Line, Norwegian Cruise Line and MSC Cruises. Each cruise line offers a multitude of itineraries to Mexico year round.
Based on a report by the Reportur, the association stated that cruise lines are already considering revising planned itineraries because of anticipated cost increase due to the tourism tax. The FCCA states that the immigration law could deter more 10 million passengers scheduled to visit the country should the change go into effect as planned.
Future Developments at Risk
Given Mexico’s reliance on tourism, opponents of the tax also warn it could have far-reaching implications, jeopardizing one of the nation’s most critical revenue sources. Along with impacting scheduled cruise itineraries in the future, the association warns that scheduled development investments could be impacted by the decision.
The association advised in the letter (translated from English to Spanish via Google Translate): “This proposed tax could also jeopardize the cruise industry's investments in the country, including billions in planned developments and other projects, intended to help rebuild Acapulco and cultivate new Mexican tourist destinations.”
One notable project is Royal Caribbean’s upcoming Perfect Day Mexico, which is set to be developed in Costa Maya, Mexico. Announced last month, the project is expected to be completed by 2027 and offer an unparalleled experience for cruisers. As such, this new private destination will build on the cruise line’s success with its other “Perfect Day” locations.
Royal Caribbean announced, “Along with Royal Beach Club Cozumel, the recently announced beach experience in Cozumel, Mexico, that opens in 2026, Perfect Day Mexico will be a hallmark of Royal Caribbean vacations that introduces new adventures in the western Caribbean.”
"In 2027, vacationers can set their sights on Mexico’s popular Caribbean coast in Mahahual for what will be a slice of paradise that combines Royal Caribbean’s adrenaline-pumping thrills and ways to chill with the vibrancy and beauty of Mexico,” continued the cruise line.
