EFE.- The Mexican economy secretary, Tatiana Clouthier, announced on Friday that Canada joined her request for consultations with the United States on the rules of origin of the automotive sector within the new free trade agreement between the three countries (T-MEC).
“We are pleased that Canada has decided to join the request for consultations, which we requested on August 20, in relation to the interpretation that the United States makes of the rules of origin of the automotive sector contained in the T-MEC,” said Clouthier On twitter.
The request for consultations is a still non-contentious stage foreseen in the dispute settlement mechanism of the T-MEC, in force since July 2020.
Last Friday, Clouthier asked the US trade representative, Katherine Tai, for “a divergent position” between the two countries “regarding the interpretation of the provisions on rules of origin for the automotive sector.”
According to the Mexican government, the United States violated the T-MEC agreement by which passenger vehicles and light trucks must have 75% of components from the region to be marketed without tariffs.
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“This request is made with the purpose of avoiding or resolving a possible controversy about the way in which the Government of the United States of America, by its interpretation, is imposing certain requirements on the producers of motor vehicles that are incompatible with the text of the T-MEC ”, he pointed out.
If the governments do not find a solution within 75 days, they could invoke a panel to resolve the dispute.
Since the T-MEC came into force, the United States has filed at least two labor complaints against Mexico for violating freedom of association within companies, as stipulated in the treaty.
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