U.S., Canada say Mexico energy moves break trade deal; Seek talks
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The U.S. and Canada said Mexico’s nationalist energy policies violate North America’s free-trade deal, with Washington requesting dispute-settlement talks under the agreement and Ottawa saying it will do the same.
Mexico’s moves to prioritize energy from its state utility over private renewables companies, as well as denials and revocations of US firms’ abilities to operate in the country’s energy sector, are among the issues the US is concerned about, the Office of the US Trade Representative said in a statement Wednesday.
“We have repeatedly expressed serious concerns about a series of changes in Mexico’s energy policies and their consistency with Mexico’s commitments” under the USMCA trade deal, Trade Representative Katherine Tai said. “We have tried to work constructively with the Mexican government to address these concerns, but, unfortunately, US companies continue to face unfair treatment in Mexico.”
Canada said it agrees with the US that Mexico’s policies are inconsistent with its trade-deal obligations, according to a statement from the office of Trade Minister Mary Ng, adding it will launch its own consultations and support the US in its challenge.
