Chipotle Mexican Grill, the fast-food restaurant chain, will enter Mexico and open its first restaurant in early 2026, after signing an agreement with Alsea, the operator of establishments such as Starbucks and Domino’s.
The US-based company’s entry into the Mexican market includes plans to explore “additional expansion markets in the region” in Latin America, the US-based company said in a statement.
Chipotle currently operates more than 3,700 restaurants worldwide and plans to open between 315 and 345 units this year.
The long-term goal is to operate 7,000 locations in the United States and Canada.
Currently, Chipotle has 58 units, approximately 2.5% of its restaurants, outside the United States. Of these, 58 are in Canada, 20 in the United Kingdom, six in France, and two in Germany.
The company signed its first international development agreement with Alshaya Group in July 2023 to open restaurants in the Middle East. Under this partnership, it has opened five units: three in Kuwait and two in the United Arab Emirates.
Antonio Hernández, an analyst at Actinver Casa de Bolsa, explained that while Alshaya’s business diversification is positive, it should be cautious about the competition.
He noted that companies like Yum! Brands failed to establish Taco Bell in Mexico, and both the formal and informal sectors could pose a competitive challenge.
Furthermore, with an average price of $18 in the United States, if Chipotle maintains that range in Mexico, it would compete with high-end fast-food restaurants like Shake Shack and casual dining, rather than QSRs with average prices between $150 and $200 pesos.
“While we welcome the company’s diversification strategy, with a brand that has a leadership position in the United States and strong brand equity, familiarity with Mexico’s ingredients does not necessarily predict success,” he said.
“We are proud to collaborate with an iconic brand like Chipotle and contribute to the growth of its international business in the coming years,” said Armando Torrado, CEO of Alsea.
“Through this development agreement, we will continue to leverage our extensive knowledge of the Mexican consumer and our experience in the restaurant industry to offer our guests the best dining experiences and brands from around the world,” he added.
Nate Lawton, Director of Business Development at Chipotle, considered Mexico an attractive growth market to which they want to bring their dishes featuring “familiar” and fresh ingredients.
“We are confident that our responsibly sourced, classically cooked real food will resonate with guests in Mexico,” the executive stated.
Source: eleconomista
