Maquiladoras which avoid most tariffs because their finished products are for export only, have boomed since the 1994 North American Free Trade Agreement.
Mexico’s government asked the United States and Canada to grant its automotive industry extra time to adapt its supply chains as the deadline for implementing a new North American trade deal approaches.
Date for the revised North American trade deal to kick in now up to Americans.
Yet even before the coronavirus outbreak began in the mainland Chinese city of Wuhan in December, seismic rumblings already were being felt in the field of global logistics.
Maquiladoras in Reynosa are responsible for producing hundreds of products used and sold in the United States, with the majority of their parts coming from China.
Canada and Mexico could help export US coal to Asia via USMCA to get around the blocking of shipments by West Coast states, US Energy Secretary said.
Mexico is negotiating with Brazil to expand economic cooperation and believes it can find areas of mutual benefit even though the Brazilian economy is “very closed,” Economy Minister said.
Even though US negotiators were forced by public opposition to remove language explicitly banning front-of-package graphic labels from New NAFTA, other provisions of concern remain in the trade deal.
On paper, Mexican workers should be big winners from the new Nafta. They’re not holding their breath.
Mexico said it was satisfied by US assurances it was not sending inspectors.
An annex for the implementation of the treaty, the result of political decisions by Congress and the Administration in the United States, was not consulted with Mexico, said Mexico’s deputy foreign minister.
US rules-of-origin demand presents new challenge for Mexico. Requirements for cars are among most complicated USMCA topics.
Mexico is willing to allow panels with US and Mexican judges to resolve labor disputes at specific factories but rejected requests to allow international inspectors to enter Mexican factories.
Singapore and Mexico signed a series of new cooperation agreements that underscored the multi-faceted nature of ties between the two countries, and pledged to conclude a regionwide trade deal by this year.
Brazil and Mexico have begun talks on a free trade deal, seeking to deepen commercial ties between the two largest economies in Latin America.
Turkey’s Trade Ministry plans to visit Mexico in fall with larger business delegation.
This meeting will continue other rounds of negotiations in the first week of October in Quito, and the first week of November on Mexican soil, with the aim of reaching an agreement in 2021.
Mexico became the first country to ratify the new North American free-trade agreement, as its Senate voted overwhelmingly to approve the deal updating the rules for one of the world’s largest trade blocs.
President Trump says an additional tariff on Mexican goods would address a “border crisis” that resulted in America being “invaded by hundreds of thousands of people.”
Mexican President Andres Manuel Lopez Obrador sent the renegotiated Nafta deal for Senate approval, saying he’s optimistic the US Congress will also give it the green light.