The new program puts safety first and paves the way for Mexico to lift tariffs it imposed more than two years ago. Pursuant to an agreement signed by the United States Trade Representative and the Secretaría de Economía of the United Mexican States, Mexico will soon lift retaliatory tariffs on more than $2 billion in U.S. manufactured goods and agricultural products, providing opportunities to increase U.S. exports to Mexico and expanding job creation in the U.S. The agreement also provides that Mexico will suspend 50 percent of the retaliatory tariffs within 10 days. Mexico will suspend the remainder of the tariffs within five days of the first Mexican trucking company receiving its U.S. operating authority. As a result, Mexican tariffs that now range from 5 percent to 25 percent on an array of U.S. agricultural and industrial products such as apples, certain pork products and personal care products would be immediately cut in half and will disappear entirely within a few months.
"The importance of today's action by the United States and Mexico cannot be overstated. For too long this dispute has been allowed to fester and a commitment by both governments to abide by this agreement is an enormous step in the right direction,"said National Potato Council president Justin Dagen of Karlstad, Minn. "The potato farmers of the United States applaud President Obama in his effort to make sure the United States is living up to its trade obligations and look forward to the permanent resolution of the issue and complete elimination of the retaliatory tariffs on U.S. frozen potato exports to Mexico. We intend to work closely with the Administration and Congress to defeat any efforts in Congress to interfere with this important step forward."
