DOT outlines terms of cross-border trucking agreement

Washington – Mexico will soon lift retaliatory tariffs on more than $2 billion in U.S. manufactured goods and agricultural products, Department of Transportation officials said July 6. The lift on the tariffs is part of a cross-border trade agreement (.pdf file) that states the United States will provide opportunities to increase exports to Mexico.

Mexico imposed retaliatory tariffs after the United States ended a long-haul trucking cross-border pilot program in 2009 amid safety concerns from the U.S. transportation industry. According to the agreement, Mexico agreed to lift retaliatory measures in phases as the cross-border trucking program resumes. Mexico will suspend 50 percent of retaliatory tariffs within 10 days. All tariffs would eventually be completely suspended upon the United States granting authority to the first Mexican carrier.

DOT also released a memorandum of understanding (.pdf file) affirming that one of the key objectives of the North American Free Trade Agreement is to facilitate the cross-border movement of goods and services between Mexico, the United States and Canada. The MOU also reaffirmed that facilitation of efficient trade is dependent on having international transportation systems that apply safety and security standards in a non-discriminatory manner.