Mexico has imposed trade sanctions in the form of tariffs ranging from 10-20% on approximately 90 categories of agricultural and industrial products that are shipped from the U.S. to Mexico (whether or not the products are of U.S. origin) in retaliation for suspension by the U.S. of the U.S. Department of Transportation’s ”demonstration project“, which allowed Mexican trucks to make deliveries in the U.S. as required by the North American Free Trade Agreement (NAFTA).  The sanctions, which were authorized by a NAFTA panel ruling several years ago, are are expected to affect approximately $2.4 billion in U.S.-Mexico trade. 

The affected products include certain Christmas trees, onions, cabbage lettuce, almonds, dates, grapes, pears, apricots, cherries, strawberries, nut mixes, uncooked pasta, peanuts, fruit juices, vegetable juices, soy sauce, soups and broths, mineral water, wines and other fermented beverages, dog and cat food, oilcake and other solid residues, paints, manicure and pedicure products, make-up and beauty products, oral or dental hygiene products, shaving products, tableware and kitchenware, toilet paper, statuettes and other ornaments, notebooks and diaries, printed books and brochures, tarn, carpets, glassware, jewelry and precious metals, furniture mountings, refrigerators and freezers, coffee and espresso makers, laundry machines and other electrothermic devices, telephones, batteries, sunglasses, metal furniture, arcade games, pens, pencils, and certain other goods. 

The complete list of affected products and the tariff rates imposed was published in Mexico’s Official Daily (Diario Oficial) on March 18, 2009.

U.S. exporters to Mexico who believe their products may be subject to the tariffs should contact their international trade attorneys and/or customs brokers.

The demonstration project was terminated under a rider to the Omnibus Appropriations Act that President Obama signed on March 11, 2009 (Public Law 1118, division I, title I, 123 Stat. 524).  The Federal Motor Carrier Safety Administration issued a notice of termination effective March 11, 2009.

Thanks to my colleagues Mark Andrews and Ken Siegel of Strasburger & Price, LLP and to Doug Jacobson of tradelawnews.com for providing certain background information for this post; Mexicolawblog.com remains solely responsible for its content.