Gasoline Prices in Mexico...Cheaper or More Expensive?
This is a question we are asked constantly, whether by visitors exploring Rocky Point for the first time or long time homeowners and beach bums. One important point that visitors often forget is that the price they see on the pump at the PEMEX is in pesos and the amount is in liters. The price will of course go up and down, just like in the US, but here is the low down and an easy conversion to help you out at the pump:
- 1 Gallon = 3.7854 Liters
- Exchange rate* 11.00 X $1 USD
- Premium: 3.7854 X 9.95/11 = $3.42 USD
- Magna (regular): 3.7854 X 8.93/11 = $3.07 USD
- Diesel: 3.7854 X 9.33/11 = $3.21 USD
*Exchange rate may vary but almost all PEMEX's will post the exchange rate they are using.
PEMEX
Another question we are often asked is “why is there only one brand of gas station in Mexico?” Well, since it was asked…
On March 18th, 1938 President Cardenas began the state-expropriation (kicking out) of all resources and facilities, thus nationalizing the U.S. and Anglo-Dutch operating companies, creating the state owned PEMEX. This of course angered many foreign governments, all who wanted a piece of the great Mexican oil industry, and in retaliation closed their markets to Mexican oil. In spite of the boycott PEMEX has developed into one of the largest oil companies in the world and helped Mexico become the 5th largest oil exporter in the world. (ri.PEMEX, 2011)
PEMEX, or Petróleos Mexicanos, is the biggest enterprise in Mexico and Latin America and the highest fiscal contributor to the country. In Mexico, it is the sole producer of crude oil, natural gas, and refined products making it the most important source of government income and the most important company in the country. It is one of only a few oil companies in the world that does everything “in-house”. PEMEX is the 4th crude oil producer world wide and it’s evaluated as the 11th integrated company. (PIW 2011 Rankings, 12/6/2010)