North American Free Trade Agreement Resolutions Panel Rules Mexico Cannot Ban Imports
The United States won the trade dispute against Mexico, which sought to ban the import of genetically modified corn.
The decision was announced this Friday (Dec 20, 2024) by the resolution panel convened under the (USA-Mexico-Canada Agreement). Here is the decision (PDF – 1 MB).
The case began 6 months after the start of the USMCA, in July 2020, when then-Mexican President Andrés Manuel López Obrador decreed a ban on modified corn until the end of 2024, on the grounds that the product is harmful to health and safety. biodiversity. His successor, , maintained the policy.
In response, the (Office of the US Trade Representative) stated that the ban “was not based on science and harmed access to the market that [o país] agreed to supply in the USMCA”.
More than 90% of corn produced in the US is genetically modified, with Mexico being one of the main export destinations.
MEXICO WILL COMPLY WITH DECISION
In a joint note, Mexico’s Ministries of Economy and Agriculture expressed regret over the determination on genetically modified corn, but stated that they will comply with it, given that the agreement’s solution system has already given favorable decisions for the country.
“The Government of Mexico does not agree with the panel’s determination, as it considers that the questioned measures are in line with the principles of protecting public health and the rights of indigenous peoples […] Despite this, the Government will respect the determination, since the solution system is a fundamental part of this treaty, as demonstrated in the case of the Rules of Origin for the automotive sector, which resulted favorable for Mexico”. Read (PDF – 287 kB, in Spanish).
The USA celebrated the measure. “The panel’s decision reaffirms long-standing U.S. concerns about Mexico’s biotechnology policies and their detrimental impact on U.S. agricultural exports.”said the commercial representative. Here is the declaration (PDF – 158 kB, in English).
