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U.S. Trade Representative Now Involved in Trade Issues with Mexico

12/06/2022

USTR Amb. Katharine Tai

The United States Trade Representative, Ambassador Katherine Tai, recently met with Raquel Buenrostro, the Secretary of Economy for the Republic of Mexico to discuss the value of U.S.-Mexico trade and a shared commitment to the USMCA.  Items reviewed included the U.S. position on importation of goods made with forced labor, energy policy, environmental laws and other restrictions imposed by Mexico.  The outstanding issue relates to avoiding disruption in U.S. corn exports to Mexico for both feed and human consumption. A proposed ban on GM-corn  is devoid of any scientific justification.

 

Following the late November meeting between Tom Vilsack, Secretary of Agriculture, and the President of Mexico, policy relating to importation of corn was apparently amended to allow importation of U.S.-origin yellow corn for animal feed.  Apart from the expressed intention for the U.S. to exercise its rights under the USMCA, advisors to the President of Mexico have projected the consequences of the ill-conceived projected ban on GM corn and commodities produced using glyphosate. Mexico imported 17 million tons of corn from the U.S in 2021. It is estimated that less than half of the Nation’s current corn imports could be supplied from non-GMO sources and at a considerably higher price than at present. This would have profound implications for the economy and for consumers.

 

The unintended consequences of the AMLO brainstorm are now becoming evident in Mexico and politicians and administrators are in full backtrack mode to avert a diplomatic and economic catastrophe.