Dec 1, 2018USMCA deal: Mexico tariff on U.S. potatoes not lifted yet
On Nov. 30, leaders of the United States, Mexico and Canada jointly signed a new free trade deal intended to update the current North American Free Trade Agreement (NAFTA).
During the G20 meeting in Buenos Aires, President Donald Trump and Mexico President Enrique Pena-Nieto, along with Canada Prime Minister Justin Trudeau stood together and announced their intention to ask their respective legislatures to approve the new United States-Mexico-Canada Agreement (USMCA).
Combined, the three countries represent one of the most significant trading blocs in the world. For potatoes, Canada and Mexico represent the second and third largest export markets with a combined value of over $575 million annually.
Despite the formal signing of the new agreement, Mexico’s 20-percent tariff on U.S. frozen fries remains in place. This is because those tariffs were retaliation for the U.S. imposing tariffs on steel and aluminium on a number of countries including Mexico. Those U.S. tariffs have not been eliminated, so the Mexico will continue to maintain its own tariffs for the time being.
— National Potato Council
