US Senate approves motion to call Mexican officials for consultation on violations of the USMCA trade agreements


When exposing the motion, Senator Bill Cassidy argued that Mexico is not following the trade agreements signed in the USMCA

The plenary session of the United States Senate approved a motion to order the government of President Joe Biden to call Mexico for consultations on the energy policy of President Andrés Manuel López Obrador.

The Republican senator from Louisiana, Bill Cassidy, was the one who proposed the motion and despite its approval, it must be debated in the House of Representatives to be integrated into the Innovation and Competition Law.

When presenting the motion, Cassidy argued that Mexico is not following the trade agreements signed in the USMCA, although the US wants to be a strong and reliable trade partner for the country.

They (Mexico) have forced the closure or partial closure of dozens of fuel facilities and canceled permits to import and export fuel. They are favoring their national industry, Pemex, and hurting US companies, including companies that build renewable projects,” he declared.

Chapter 22 of the USMCA states that the state companies of the United StatesCanada and Mexico may not receive any preferential treatment, so President López Obrador’s project to strengthen Pemex would contravene what is established.

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The North Americans also consider that the modifications to the Law of the Electricity Industry violate the agreements established in the commercial treaty.

It is clear that there has been no change in Mexico’s energy policy, and US companies continue to face arbitrary treatment of the ten billion dollars invested in the sector, especially in renewable energy installations.

We will have to follow up on this issue, which damages the legal certainty that should prevail in a rule of law, and affects the business climate, and investment prospects in our country. In addition, there are signed commitments that must be fulfilled with the United States and Canada, because otherwise there will be a very high cost in all senses for our nation, which requires all the financial support after the pandemic and the inflation that we Mexicans are experiencing. For now, Senator Ricardo Monreal expressed his concern to the US Senate about the intention to summon Mexico to consultations for violations of the USMCA.

Mexico Daily Post