Thursday, August 19, 2010

Just in


Culican market--Jake Putnam photo

Mexico Adds 26 Products to Tariff List in Trucking Dispute

Mexico City--Mexico’s Economy Ministry announced Monday it would add 26 U.S. products to it tariff list while removing 16 others. Included in the tariffs are pork, applies, California oranges and pistachios. The levies would affect 54 agricultural products and 45 manufactured ones.

The move by Mexico is seen as a push to get the Obama administration to end the long-running cross-border trucking ban. It is expected to increase friction between the White House that wants to expand trade and many congressional Democrats aligned with unions that support the trucking ban.

Mexico's tariff adds friction another level of friction with the White House. The Obama Administration wants to expand trade opportunities while congressional Democrats back unions that support the trucking ban, citing safety concerns.

The North American Free Trade Agreement back in 2000 proposed a cross-border trucking program but it never happened because of opposition by the International Brotherhood of Teamsters. They argued that Mexican trucks are unsafe, that some drivers don't know English and that Mexican authorities don't keep adequate safety records on drivers.

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