Mexico prepares for a commission against the United States for rules of origin

The Government of Mexico has decided that it will launch a Dispute Resolution Commission against the United States for differences in the criteria for determining rules of origin for the automotive sector under the Agreement between Mexico, the United States and Canada (T-MEC).

“The United States has continued to stick to the interpretation they have of not accepting what was negotiated, and at this moment we are about to move on to the next stage, which is the committee,” Tatiana Clotheer said in an appearance before the committees on Thursday. Parliament.

On the one hand, Mexico and Canada consider that the text of the T-MEC and uniform regulations allow the use of the standard known as “Roll Up” to calculate the value of the regional content of vehicles. On the contrary, the United States rejects it.

“Part of what they told us, which was part of the saddest thing we could hear, was that they didn’t have the political space,” Clauther told lawmakers regarding the working visit of Mexican officials to the United States last week.

According to the rules of T-MEC, if no agreement is reached within 75 days after the request, the matter is sent to the Dispute Resolution Commission.

Part of what they told us, which was part of the saddest we could hear, was that they had no political space. They never told us about technical issues.”

Tatiana Clauther, Minister of Economy

“We are working side by side with sectors, and we are working side by side with Canada to be able to know the exact moment to start painting. We are in our own time and we will defend the interests of our nation.”

Mexico and Canada state that if, for example, a piece of the United States is exported to Mexico with 80% regional content, this percentage should be rounded up to 100% (since it already complies with the rule of origin) and added to the required regional content of the vehicle in order to be exported to The area is duty-free.

The United States asserts that only the value corresponding to 80% of the door should be added.

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