As Artificial Intelligence (AI) continues to transform higher education worldwide, understanding how students perceive and interact with these technologies is essential for institutions aiming to develop relevant teaching practices and policies. While global studies offer broad insights into student engagement with AI, discipline-specific and context-sensitive research remains limited. This study addresses that gap by examining the perceptions, practices, and expectations of engineering students at Tecnologico de Monterrey, campus Tampico. It explores how students use AI tools in academic work, the ethical and pedagogical challenges they encounter, and their views on institutional responsibility. A 20-item survey was designed based on previous literature and administered to 60 first-semester engineering students. Quantitative responses were analyzed using descriptive statistics, and open-ended answers were thematically coded. Core categories included AI usage patterns, confidence using AI tools, ethical issues, and institutional expectations. Results indicate high adoption of AI tools, especially for writing and problem-solving. Confidence in use is moderate to high, especially when human review is involved. Students value AI’s support in learning but raise concerns about transparency with instructors, unclear policies, and the accuracy of AI-generated outputs. They express a strong interest in formal training, ethical guidance, and institutional clarity. Comparing local data with global trends reveals both alignment and contextual differences. This case study highlights the need for AI literacy within engineering programs and contributes to ongoing conversations about responsible AI integration in higher education learning environments.