U.S. House Approves Law to Block Port Access Over Mexican ‘Expropriation’ of Vulcan Materials Site

Washington D.C., United States — The U.S. House of Representatives passed a law on Friday that blocks American port access to ships using a Mexican terminal at the center of a dispute over an alleged illegal expropriation.

The Foreign Property Defense Act of 2026, approved with a bipartisan vote of 247 to 164, directly responds to Mexico’s closure of Vulcan Materials’ facilities in Quintana Roo. U.S. lawmakers labeled Mexico’s designation of the Punta Venado quarry and terminal as a Protected Natural Area an “illegal expropriation.”

Republican Congressman August Pfluger, who championed the bill, accused the Mexican government of a “coordinated campaign” to undermine U.S. investments. The legislation effectively blocks any vessel operating from facilities deemed expropriated from entering or conducting commercial activities in U.S. ports, neutralizing plans by President Claudia Sheinbaum’s administration to convert Punta Venado into a cruise port.

Mexico’s government maintains there was no expropriation, but rather a land-use change prompted by ecological damage from the company. Officials argue that rock extraction by Vulcan’s subsidiary Sac-Tun destroyed cenotes and contaminated the local aquifer. However, U.S. legislators pointed to the Mexican Navy’s takeover of the site in 2023, which they interpret as use of force against legal security.

The 2026 law represents a pressure strategy operating outside USMCA courts, allowing Washington to act unilaterally without waiting for international panel rulings. While not replacing the trade treaty, the measure raises risk alerts for other strategic sectors like energy and infrastructure, where U.S. investments could face similar challenges.

Mexico is preparing to argue that the law constitutes commercial discrimination and unfairly affects cross-border trade. Meanwhile, Vulcan Materials continues its legal strategies under USMCA protections, alleging the Protected Natural Area designation violates its concession valid until 2037 and lacks adequate economic compensation for asset loss.