Wisconsin Ag Connection - National/World News - Congress Wants Administration to Resolve Mexico Trucking Issue

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Congress Wants Administration to Resolve Mexico Trucking Issue
USAgNet - 03/03/2010

Representatives Dennis Cardoza (D-Calif.) and Rick Larsen (D-Conn.), along with 54 other Members of Congress, sent a letter to Transportation Secretary Ray LaHood and U.S. Trade Representative Ron Kirk this week asking that they address tariffs imposed by Mexico on U.S. agricultural and manufacturing products. The tariffs were imposed by Mexico after Congress terminated funding of the cross-border trucking pilot program in the FY2009 Omnibus Appropriations Act.

Mexico retaliated by imposing import duties between 10 and 45 percent on over 90 products. The impact has been significant. For example, between April of 2008 and December 2009, U.S. frozen potato exports to Mexico have decreased by 50 percent while Canada’s exports to Mexico have increased by 64 percent.

The Congressional letter asks that the Administration make public its strategy to resolve the dispute so that trade between U.S. and Mexico can be normalized.

The letter points out that Congress removed the funding limitations in the FY2010 Consolidated Appropriations Bill, leaving the resolution to the matter up to the current Administration. President Obama has indicated a plan is being pursued that will fulfill U.S. obligations to Mexico under the North American Free Trade Act but despite these repeated assurances more detailed information has not been forthcoming.