{"id":1852,"date":"2020-04-07T12:55:22","date_gmt":"2020-04-07T18:55:22","guid":{"rendered":"http:\/\/accesstomexico.mx\/blog\/?p=1852"},"modified":"2020-04-08T12:59:28","modified_gmt":"2020-04-08T18:59:28","slug":"mexico-asks-u-s-canada-to-grant-automakers-transition-for-usmca-rules","status":"publish","type":"post","link":"https:\/\/accesstomexico.mx\/blog\/mexico-asks-u-s-canada-to-grant-automakers-transition-for-usmca-rules\/","title":{"rendered":"Mexico asks U.S., Canada to grant automakers transition for USMCA rules."},"content":{"rendered":"\n
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THE YUCATAN TIMES<\/a><\/p>\n\n\n\n

Mexico\u2019s government on Tuesday asked the United States and Canada to grant its automotive industry extra time to adapt its supply chains as the deadline for implementing a new North American trade deal approaches.<\/p>\n\n\n\n

\u201cWe have absolute understanding of what the industry is facing and we\u2019re willing to have a transition period specifically for the auto sector as it has been requested,\u201d Deputy Economy Minister Luz Maria de la Mora said at a webcast event hosted by the Wilson Center think tank in Washington.<\/p>\n\n\n\n

Mexican auto lobby AMIA said on Monday that 90 days is not enough time for carmakers to adapt supply chains to meet rules of origin requirements in the United States-Mexico-Canada Agreement (USMCA), which could take effect on July 1.<\/p>\n\n\n\n

AMIA has urged authorities to postpone until January 2021 the start of the sectoral rules in the new trade pact, which will replace the 26-year-old North American Free Trade Agreement (NAFTA).<\/p>\n\n\n\n

\u201cWe have put this issue on the table many times. But unfortunately, this is not a Mexican decision, this is a trilateral decision. And we are still in discussions with our counterparts to see if there will be any kind of flexibility on their part,\u201d said de la Mora.<\/p>\n\n\n\n

Last month, groups representing automakers and suppliers in the United States backed delaying the entry date for USMCA to give them more time to prepare for the changes.<\/p>\n\n\n\n

The new USMCA trade deal will require 75% North American content compared with 62.5% under NAFTA, and 40%-45% content from so-called \u201chigh wage\u201d areas.<\/p>\n\n\n\n

This is to be phased in over three to four years, but automakers have to certify compliance with the initial requirements when the agreement takes effect.<\/p>\n\n\n\n

Canada and Mexico recently said they have completed their internal legal processes for the treaty to go into force, but the United States must still follow suit.<\/p>\n\n\n\n

The Mexican economy ministry has told the auto industry the USMCA allows for an alternative transition scheme that could give some companies more time to comply, AMIA says.<\/p>\n\n\n\n

\u201cWe can very well see a scenario in which we have USMCA in place, entering into force in July, August, September, in the very near future and at the same time we could also have a transition period for the automotive sector,\u201d said de la Mora.<\/p>\n\n\n\n

Sharay Angulo and Anthony Esposito. (2020).\u00a0Mexico asks U.S., Canada to grant automakers transition for USMCA rules. Yucat\u00e1n.\u00a0The Yucatan Times.\u00a0<\/em>Recuperado de\u00a0https:\/\/www.theyucatantimes.com\/2020\/04\/mexico-asks-u-s-canada-to-grant-automakers-transition-for-usmca-rules\/<\/a><\/strong> <\/p>\n","protected":false},"excerpt":{"rendered":"

THE YUCATAN TIMES Mexico\u2019s government on Tuesday asked the United States and Canada to grant its automotive industry extra time to adapt its supply chains as the deadline for implementing a new North American trade deal approaches. \u201cWe have absolute […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1852","post","type-post","status-publish","format-standard","hentry","category-uncategorized","clearfix"],"_links":{"self":[{"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/posts\/1852","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/comments?post=1852"}],"version-history":[{"count":1,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/posts\/1852\/revisions"}],"predecessor-version":[{"id":1854,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/posts\/1852\/revisions\/1854"}],"wp:attachment":[{"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/media?parent=1852"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/categories?post=1852"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/accesstomexico.mx\/blog\/wp-json\/wp\/v2\/tags?post=1852"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}