Chipotle Mexican Grill. Known for its customisable burritos, tacos, and bowls, announced on Tuesday that it is expanding into Mexico with its first branch in the upmarket neighbourhood of San Pedro Garza García in Monterrey, Nuevo León. The company has more than 4,000 locations worldwide and described the move as a significant milestone.

Local Reaction Mixes Excitement with Disapproval

While some social media users expressed excitement about the arrival of the US chain, many others were less than impressed. One user on X wrote, “Bold move selling Mexico a corporate version of Mexico.” Another quipped, “Next up, Panda Express opening its first mainland China location.”

Others emphasized the importance of supporting local businesses. “Let’s support what’s local,” wrote one Instagram user. “The earnings of Chipotle will go to the USA, they won’t stay in Mexico. On the other hand, if you buy from a local neighbourhood fonda the money goes toward local taxes and generates further economic impact for a circular economy.”

Historical Challenges for US Chains in Mexico

Some predicted that Chipotle would suffer the same fate as other US fast-food chains that have failed to make it in the countries that inspired their cuisine. Taco Bell, for example, has twice tried to launch in Mexico, but closed all of its restaurants there in 2010. It opened its first restaurant in Monterrey in 2007, complete with french fries on the menu. Marco Fragoso, a local office worker, told the Associated Press at the time: “They’re not tacos. They’re folded tostadas. They’re very ugly.”

The philosopher and journalist Carlos Monsívais described Taco Bell’s attempt to expand into Mexico as “like bringing ice to the Arctic.” Other US chains have also faced challenges in the region. Domino’s Pizza, for instance, crashed out of Italy after seven years in 2022, when its local franchise filed for bankruptcy and closed all of its 29 restaurants. Starbucks, however, has been somewhat more successful in Italy, launching its first outlet in a former post office in 2018.

Inés Carrasco, who writes the blog Cronicas de San Pedro, said Chipotle might appeal to people who embrace Tex-Mex food because of the city’s proximity to the US, but that history did not bode well for it. “US franchises don’t succeed in Monterrey,” Carrasco said. “Just because one opens doesn’t mean it will do well – Jack in the Box and who knows how many others have flopped in Nuevo León. Some never even made it to Mexico City because they couldn’t cut it in Nuevo León.”

Chipotle’s Confidence and Expansion Plans

Despite the skepticism, Chipotle’s management remains confident in its ability to find a market in Mexico. “We are entering Mexico with deep respect for the country’s culinary heritage and a commitment to delivering the Chipotle experience with excellence,” its chief executive, Scott Boatwright, said in a statement. Its chief business development officer, Nate Lawson, added that the first location will serve as an important proof-of-concept, giving the company the opportunity to better understand local consumer preferences as it grows in the region.

Working in partnership with the Mexican restaurant operator Alsea, Chipotle intends to open more restaurants in Nuevo León and expand into Mexico City next year. “We had been pursuing Chipotle for at least five or six years,” Alsea’s chief executive, Christian Guirría, told the local news outlet Expansión. “I don’t know if we wore them down or won them over, but ultimately, we were very fortunate to secure the franchise for Mexico.”

As well as the US, the company already has restaurants in Canada, the UK, France, and Germany. It is also planning to enter the Asian market, with restaurants scheduled to open in South Korea this year and Singapore early next year.