Chipotle to expand to Mexico amid Trump trade war with U.S. neighbor

Chipotle Mexican Grill will open its first location in Mexico early next year as the latest stage in its international expansion.

Chipotle Mexican Grill will open its first location in Mexico early next year as the latest stage in its international expansion.

The company announced Monday that it has signed a development agreement with Alsea, which operates Latin American and European locations of Starbucks, Domino’s Pizza and Burger King, among other chains.

After the initial restaurant opens in 2026, Chipotle plans to explore “additional expansion markets in the region,” which could mean broader Latin American development.

The deal to expand in Mexico comes as President Donald Trump wages a trade war with the country, straining the relationship between the two neighbors. Avocados from Mexico were originally subject to a 25% tariff until he paused new duties on goods compliant with the United States-Mexico-Canada Agreement. While Chipotle has diversified its avocado sourcing in recent years, it still imports about half of its avocados from Mexico.

In recent years, Chipotle has been trying to expand internationally, after decades focusing almost entirely on its U.S. business. The company operates 58 locations in Canada, 20 in the United Kingdom, six in France and two in Germany. Chipotle also currently has three restaurants in Kuwait and two in the United Arab Emirates through a deal with Alshaya Group.