While Franco was aware that Spain was in no position to reconquer its former colonies, he did tried to influence them. He took on the idea of "Hispanidad", the idea that all Spanish speaking peoples belong to a single race, a race that is defined by its common language, and it's common devotion to Catholicism, and gave that idea a fascist and imperialist spin.

Under Franco, Spain would not longer be the colonial power as before, but the cultural power. Spain's place in the world was to lead Latin America, not only politically but culturally, weeding out "perverted" influences like socialism, and instead inspiring a traditionalist, Catholic nationalism like the one Franco was using in Spain.

Franco's ideas inspired certain movements and political parties in Latin America. In Mexico, the sinarquistas were greatly influenced by Franco's and Hitler's ideas on order. The National Action Party (PAN, for its Spanish name) founders were heavily influenced by Hitler and specially Franco. PAN has always been a right wing party, and usually aligns with the Catholic Church in matters like LGBT+ and women's rights. The sinarquistas and the PAN founders also opposed Mexico's position on the Spanish Civil War and the lead up to WWII.

Along with the USSR, Mexico was the only country to openly support the Spanish Republic, and sent military and humanitarian aid to the Republicans. Mexico also became a safe haven for Republican exiles. Mexico also never recognised Franco's regime, and their relationship went through ups and downs during Franco's rule and only normalised after the dictator's death.