Abandoning the new Mexico City airport costs more than to build it

The year 2020 and the first two months of 2021 have witnessed cancellation of airport-related infrastructure projects across the world.

But the last big one had nothing to do with viruses. The axing of the USD13 billion New Mexico City International Airport, on the drawing board for two decades, already under way and desired by everyone apart from an incoming President was a huge shock which reverberated around Latin America and further afield.

Two years on, an even bigger shock is emerging - namely, how much the cancellation of the project will cost, taking into account the price of alternative infrastructure at three separate sites, the loss of the potential release of land from the closure of the existing (Juárez) airport, and the accrued cost of the cancellation itself. And that is not to mention Mexico's loss of reputation for its commercial acumen.

It appears that the President has overseen the Latin American version of the shambles that was the building of the new Berlin airport, although that is at least open now.