MEXICO CITY – The inauguration of President Felipe Calderón provides new opportunities, not just for a country struggling with crime and poverty, but also for Texas leaders and businesses hoping to expand trade and make new political connections.

Among the many U.S. dignitaries who came to see the transition of power were Texas Gov. Rick Perry, Dallas Mayor Laura Miller and former President George Bush. Their presence underscored the importance of the relationship between the two countries but also the challenges ahead as the two nations grapple with rising crime along the border, illegal immigration and the prospect of a border wall – a plan that has generated bad will among Mexicans, including Mr. Calderón.

Mr. Perry said the incoming Calderón administration offers a chance to start anew.

"I think we've got an opportunity in front of us to temper the language about immigration. We need to clearly continue to work to secure the border, from those who are criminals who would do harm to the citizens of our respective states," Mr. Perry said. "I hope we see less political rhetoric and more political action."

Rob Allyn, president of the Dallas-based public relations firm Allyn & Company, led a delegation of some 40 Texas companies. Mr. Allyn had a consulting contract with the outgoing Mexican administration.

Among the Texas business representatives were the former chief executive of Dallas-based 7-Eleven Inc., Jim Keyes, and executives from Mary Kay Inc. and Hunt Oil Co.

Mr. Allyn said no one in the delegation was taken aback by the opposition protests or the heavy police presence, given the United States' own political turmoil during the 2000 presidential race.

"The Texans and the Mexicans who were present basically viewed it as political street theater; there was no apprehension or fear," said Mr. Allyn. "The most important result for the Texans was an orderly transfer of power."

That, he said, will continue to make Mexico a great place for U.S. investment. He pointed out that Texas' biggest trading partner is Mexico, and vice-versa.

Mexico's economy is expanding strongly this year, he noted. "People are doing so well in Mexico right now, and there is huge investor interest from the U.S. right now and especially from Texas."

Mr. Perry agreed, pointing to the high-level official U.S. delegation – including former President Bush, U.S. Ambassador Tony Garza, and two Cabinet officials, Attorney General Al Gonzales and Commerce Secretary Carlos Gutierrez. Mr. Perry said their participation sent a "powerful message."

Also among the dignitaries was California Gov. Arnold Schwarzenegger.

"Having the nation's two largest state governors here, neighborly states with Mexico, I think speaks volumes about the future of Mexico," Mr. Perry said. "They are our No. 1 trading partners. We are married to each other figuratively and literally. ... We are inextricably intertwined, economically and otherwise."