U.S. Senator Chuck Grassley issued the statement below about the Obama Administration’s release of a proposed framework for talks with the Government of Mexico to establish a pilot program that would allow certain trucks from Mexico access to the United States under prescribed circumstances.
Grassley comment:
“This is a positive development. I’ve been encouraging the Obama Administration to sit down with the Government of Mexico to resolve the trucking issue. I hope the Mexicans engage on this framework, and that it leads to the prompt removal of retaliatory tariffs on U.S. exports to Mexico, including tariffs on pork produced in Iowa and other states. Too many U.S. farmers, workers, and manufacturers are being harmed by the current situation, and a way forward must be found.”
Background information:
Under the North American Free Trade Agreement, the United States was obligated to permit cross-border trucking services in 1995, but it has yet to do so. The Bush Administration previously established a demonstration trucking project, but Congress subsequently terminated funding for that pilot program. In March 2009, Mexico retaliated by imposing tariffs on 89 U.S. goods amounting to about $2.4 billion in trade. In August 2010, Mexico revised its retaliation list to include U.S. pork exports subject to retaliatory tariffs.