Mexico is preparing to escalate a car content dispute with the United States, the minister says.

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File Photo: Mexican Economic Minister Tatiana Croutier makes a gesture during an interview with Reuters in Mexico City, Mexico, January 11, 2021.Reuters / Dave Graham

November 25, 2021

By Sharay Angulo

Mexico City (Reuters)-Mexico’s Economic Minister Tatiana Krautier said Thursday that she is working with the automotive sector and the Government of Canada to decide when to call the arbitration panel https://www.reuters.com / business / autos-transportation / Exclusive-mexico-seek-expert-panel-fix-auto-dispute-with-us-sources-say-2021-10-26 resolves disputes with the United States regarding automated content rules ..

Mexico called for the US government to begin formal talks on rule disputes in August. It was agreed under the United States-Mexico-Canada Agreement (USMCA).

But Clouthier said Washington wasn’t in that position.

“The US government misinterprets our and Canadian views,” Clouthier told lawmakers in the Mexican parliament.

“We are about to start the next phase … We are working with the automotive sector and Canada to determine the right time to start the panel.”

The use of the panel will escalate the dispute over the automotive content rules, which was central to former US President Donald Trump’s willingness to replace the North American Free Trade Agreement (NAFTA) with what became the USMCA.

Mexico favors a more flexible interpretation of automotive industry regulations than the United States, which called for a review of NAFTA to protect US manufacturing jobs.

US trade unions claim that employment has moved to lower-cost Mexican factories since NAFTA first came into force in 1994.

(Report by Sharay Angulo, Written by Daina Beth Solomon, Edited by Jonathan Oatis and Paul Simao)

Mexico is preparing to escalate a car content dispute with the United States, the minister says

Source link Mexico is preparing to escalate a car content dispute with the United States, the minister says

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