(Reuters) -Chipotle Mexican Grill is expanding internationally with a location in Mexico that is set to open early next year, it said on Monday, bringing its tacos and burritos to the people in the region for the first time.

The company will enter Mexico through a partnership with Latin America-based restaurant operator Alsea Group and will begin exploring additional expansion markets in the region.

Chipotle had signed its first international development agreement with Kuwait-based Alshaya Group in July 2023 to enter the Middle East market. The duo currently operate three restaurants in Kuwait and two in the United Arab Emirates.

The announcement for expansion in Mexico comes after the burrito chain said in February it was assessing U.S. President Donald Trump’s tariffs on the region and the impact on raw material costs this year.

Chipotle, like other restaurants and fast-food chains that rely on supplies from Mexico, also forecast tepid annual comparable sales growth, bracing for a hit from inflation.

Alsea, which will operate the new Chipotle locations, operates fast food restaurants and coffee shops in a dozen countries across Europe and Latin America.

“While we view favorably Alsea’s diversification strategy, with a brand that has a leading position in the U.S. and a strong brand equity, Mexican’s familiarity with its ingredients does not necessarily predict success,” said Antonio Hernandez, a senior analyst at research firm Activner.

Previously, Yum Brands failed to break into the Mexican market with Taco Bell, Hernandez added.

Chipotle currently operates more than 3,700 restaurants and plans to open between 315 and 345 new restaurants this year globally.

(Reporting by Ananya Mariam Rajesh in Bengaluru; Writing by Rafael Escalera Montoto in Mexico City; Editing by Shilpi Majumdar and Natalia Siniawski)