The International Trade Council (ITC) acknowledges the recent proposal by Mexico's economy secretary for further talks with the United States regarding the ongoing dispute over Mexico's energy sector. The ITC supports the commitment of both nations to engage in dialogue to resolve their differences and avoid a full-fledged trade complaint under the U.S.-Mexico-Canada trade agreement.
The United States has expressed concerns about alleged unfair practices favoring Mexico's state-owned electricity and oil companies over American competitors and clean-energy suppliers. While talks have been ongoing since July, a satisfactory solution has yet to be reached. The ITC encourages continued engagement and meaningful progress in consultations to address the trade issues in a mutually beneficial manner.
U.S. Trade Representative Katherine Tai has shown willingness to maintain discussions, emphasizing the importance of prompt and substantial progress. The Mexican Economy Secretary Raquel Buenrostro has emphasized Mexico's desire to resolve the differences through talks, without resorting to arbitration, while safeguarding national sovereignty.
To expedite the resolution process, Buenrostro proposed the establishment of trinational working groups, with meetings planned for December and early January. The aim is to reach an agreement before the expected meeting of the leaders of Canada, Mexico, and the United States in January. The ITC believes that open dialogue and cooperation are essential to overcome trade disputes and maintain strong economic relationships.
Additionally, the ITC recognizes the concerns raised regarding the Mexican ban on imports of genetically modified yellow corn. The ITC encourages both countries to continue discussions to find a balanced approach that considers human health and the preservation of native corn strains while minimizing disruptions to trade flows.
As an advocate for fair and transparent trade practices, the ITC remains committed to supporting constructive dialogue and fostering trade relations that benefit all parties involved.
