The Mexican data protection law extends its applicability to data processing activities that occur within Mexico, even when the data controller is not established in the country. This is evident from the provision stating that the regulations are obligatory when "

The data controller is not established in Mexico and uses media located in Mexico

".However, this applicability is subject to an important condition: the media located in Mexico must be used for processing purposes, not merely for transit. This distinction ensures that the law does not overreach to cover situations where data simply passes through Mexican infrastructure without any meaningful processing taking place.The provision also imposes specific obligations on data controllers not established in Mexico but using media within the country. These controllers must:

1. Provide the necessary media to comply with legal obligations
2. Designate a representative or implement an appropriate mechanism
3. Ensure effective compliance with obligations imposed by Mexican law

This approach reflects the lawmakers' intent to ensure that foreign entities processing data in Mexico are held accountable to Mexican data protection standards, regardless of their physical location.Additionally, the provision addresses scenarios where the data controller is outside Mexico, but the data processor is within the country. In such cases, the data processor becomes subject to the security measures outlined in Chapter III of the Regulations. This ensures that even when the primary responsible entity (the controller) is not under Mexican jurisdiction, the actual processing activities occurring within Mexico still adhere to local security standards.

Implications

The implications of this provision for businesses are significant:

1. Foreign companies using any form of media in Mexico for data processing must comply with Mexican data protection laws, even if they have no physical presence in the country.
2. Companies must carefully assess whether their use of Mexican infrastructure constitutes "processing" or merely "transit" to determine if they fall under the law's scope.
3. Non-Mexican data controllers using media in Mexico need to establish mechanisms for legal compliance, which may include appointing local representatives or implementing specific compliance procedures.
4. Data processors in Mexico working for foreign controllers must adhere to Mexican security standards, potentially necessitating contractual arrangements to ensure compliance.
5. Companies may need to conduct thorough assessments of their data flows and processing activities to identify any touchpoints with Mexican media that could trigger these obligations.

This approach by Mexican lawmakers ensures comprehensive protection of personal data processed within the country's borders, regardless of the data controller's location, while also respecting the limits of national jurisdiction by excluding mere data transit scenarios.