A number of US business groups, including the Grocery Manufacturers Association (GMA), are calling on Congress to fully implement the North American Free Trade Agreement (NAFTA) and allow the US Department of Transportation to fully implement its cross border pilot trucking program with Mexico in an effort to reverse retaliatory tariffs imposed by the Mexican government on 90 US products.
“It is imperative that Congress fully implement NAFTA and allow the U.S. Department of Transportation to fully implement its cross border pilot trucking program with Mexico,” said Mary Sophos, GMA senior vice president and chief government affairs officer, in a press statement.
“Cancellation of the pilot trucking program as part of the 2009 Omnibus Bill has resulted in Mexico’s retaliation in the form of new tariffs including on food, beverage and consumer household goods,' Ms Sophos explained. 'These retaliation tariffs will have a significant impact on our industry's ability to continue to gain fair access to the Mexican market.
“During these tough economic times, the American consumer can hardly afford additional costs from a retaliation effort on behalf of Mexico. We urge Congress and the Administration to fully implement the program and engage Mexico to develop a solution that swiftly resolves this issue.”
NAFTA has been a success in terms of promoting bilateral trade between the US and Mexico, according to GMA, with total US-Mexico trade quadrupling from US$81bn to US$34bn from 1993 to 2007. Today, Mexico is the third largest trading partner for the US after Canada and China.
Mexico is a top export market for many US businesses and manufacturers, GMA said, and especially for the food and beverage industry.
Mexico is the top export destination for US apples, among other products, and a major market for US fresh potatoes and other consumer-oriented agricultural goods.
