NEWS

Mexico has great opportunities for the USMCA

Tuesday, October 29, 2019

The new labor policy proposed by Mexico in the USMCA trade pact leads to a debate among U.S. legislators. Due to their determination to find out what this reform proposes, Mexican President Andrés Manuel López Obrador sent a letter to the Speaker of the U.S. House of Representatives, Nancy Pelosi, about this new law that seeks to prevent our country from competing with low labor costs and lack of labor rights.

In this regard, Graciela Marquez, Secretary of Economy of Mexico, considers that the new labor policy with union democracy is being favored in the new United States-Mexico-Canada Agreement and trusts that the democrats will approve it, given the commitment that our country has shown.

In order to gain enough votes for the USMCA to be approved, Republicans would have to vote in favor, with Republican President Donald Trump negotiating the trade agreement. Democrats should also vote in favor, with Nancy Pelosi, Speaker of the U.S. House of Representatives, taking the floor.

Mexican business organizations also give their opinion, as is the case of the Business Coordinating Council, which has achieved for the U.S. Chamber of Commerce to send a statement saying that it is a critical moment for the new trade agreement, which would be a trigger for regional investments.  

Meanwhile, Canadian Prime Minister and liberal leader Justin Trudeau said that the renegotiation of the free trade agreement with the United States and Mexico is a “critical victory” of his administration that differentiates him in economic matters from his opponents.

Jesús Seade, Undersecretary for North America at the Secretariat of Foreign Affairs, believes that the approval of the USMCA will take place by the end of this month or in November. The main issue on the Democrats’ agenda is the impeachment against Donald Trump, which has generated a great deal of uncertainty.


Source:

  • Mexico’s Secretariat of Economy
  • Sub-Secretariat for North America of the Ministry of Foreign Affairs