{"id":1094823,"date":"2021-12-07T14:28:32","date_gmt":"2021-12-07T19:28:32","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1094823"},"modified":"2021-12-07T14:28:36","modified_gmt":"2021-12-07T19:28:36","slug":"mexico-canada-claim-democrats-budget-bill-violates-trade-agreement","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/mexico-canada-claim-democrats-budget-bill-violates-trade-agreement\/","title":{"rendered":"Mexico, Canada Claim Democrats\u2019 Budget Bill Violates Trade Agreement"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fmexico-canada-claim-democrats-budget-bill-violates-trade-agreement%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1094823&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Mexico doubled down on its criticism of the Democrats\u2019 Build Back Better Act, arguing that a provision favoring U.S. automakers violates the recently-signed United States-Mexico-Canada Agreement (USMCA).<\/p>\n<p>Both the Mexican and Canadian governments have fought against the Democrats\u2019 proposal which would include the largest <a href=\"https:\/\/dailycaller.com\/2021\/10\/13\/democrats-green-energy-electric-vehicle-union-workers-tax-credit\/\">tax credits<\/a> for American, union-made <a href=\"https:\/\/dailycaller.com\/2021\/11\/29\/pete-buttigieg-electric-vehicles-cost-gasoline-prices-americans\/\">electric vehicles<\/a>, <a href=\"https:\/\/thehill.com\/policy\/energy-environment\/584616-mexico-compares-biden-electric-car-tax-credits-to-trumps-tariff?rl=1\">according<\/a> to The Hill. The legislation, which <a href=\"https:\/\/www.thedailybeast.com\/it-took-a-magic-minute-but-the-house-gifts-joe-biden-huge-win\">passed the House<\/a> and is pending Senate approval, <a href=\"https:\/\/www.congress.gov\/bill\/117th-congress\/house-bill\/5376\/text\">would give<\/a> consumers a $12,500 tax credit when they purchase an electric vehicle made in the U.S. with union labor, $4,500 more than the credit for non-union and foreign electric cars.<\/p>\n<p>\u201cI think it\u2019s very legitimate that we search for a way to move toward electric vehicles and toward electromobility,\u201d Mexican Undersecretary for Foreign Trade Luz Mar\u00eda de la Mora told The Hill. \u201cThat issue is not up for discussion, it\u2019s not being questioned that the industry is moving in that direction.\u201d<\/p>\n<p>\u201cIf it\u2019s done using fiscal incentives, we also don\u2019t disagree,\u201d de la Mora continued. \u201cWhat we do disagree with, that worries us, is that these fiscal incentives are conditional on the vehicles being produced in the United States.\u201d <strong><a href=\"https:\/\/dailycaller.com\/2021\/12\/07\/big-oil-executives-green-energy-transition-climate-change\/\">(RELATED: Big Oil CEOs Thumb Nose At Green Energy Transition, Say Fossil Fuels Still Have \u2018Essential Role\u2019)<\/a><\/strong><\/p>\n<p>De la Mora compared the tax credits to the 25% tariffs that former President Donald Trump <a href=\"https:\/\/dailycaller.com\/2019\/05\/31\/trump-tariffs-mexico-automakers\/\">threatened<\/a> Mexico with as border crossings increased, The Hill reported. Shortly before the tariffs were set to go into effect, though, the two sides came to an agreement and the U.S. <a href=\"https:\/\/dailycaller.com\/2019\/06\/07\/trump-tariffs-immigration-agreement-mexico\/\">suspended the levies<\/a>.<\/p>\n<div id=\"attachment_7332962\" class=\"wp-caption alignnone\" readability=\"34\">\n<p id=\"caption-attachment-7332962\" class=\"wp-caption-text\">President Joe Biden, Canadian Prime Minister Justin Trudeau and Mexican President Andres Manuel Lopez Obrador walk together at the White House on Nov. 18. (Alex Wong\/Getty Images)<\/p>\n<\/div>\n<p>Mexican Economy Minister Tatiana Clouthier recently said she is reviewing the \u201cdiscriminatory\u201d tax credit and that Mexico could possibly retaliate with tariffs, Reuters <a href=\"https:\/\/www.reuters.com\/article\/mexico-autos-electric-tax\/update-1-mexico-auto-groups-warn-reaction-to-u-s-ev-tax-credits-could-spark-trade-war-idINL1N2SR22L\">reported<\/a>. She, like de la Mora, said the credit would violate the USMCA.<\/p>\n<p>Mexican Automotive Industry Association Director-General Fausto Cuevas warned that the brewing trade war wouldn\u2019t help either side, according to Reuters.<\/p>\n<p>\u201cThis would lead us to a trade war,\u201d Cuevas said, Reuters reported. \u201cThat does not benefit what we are really looking for, which is the regional integration of the industry.\u201d<\/p>\n<p>Canadian Prime Minister Justin Trudeau, meanwhile, communicated his problems with the provision directly to President Joe Biden during a White House summit on Nov. 18, <a href=\"https:\/\/www.politico.com\/news\/2021\/11\/18\/electric-vehicles-biden-trudeau-summit-523021\">according<\/a> to Politico. Trudeau\u2019s deputy, Chrystia Freeland, said the Canadian government is \u201ccertain\u201d the current language would violate the USMCA.<\/p>\n<p>\u201cWe underlined to what point this would be a big problem for auto production in Canada,\u201d Trudeau said at a news conference following the summit, Politico reported. \u201cWe very clearly underlined our position.\u201d<\/p>\n<p>However, the U.S. Trade Representative\u2019s office stood by the legislation, Reuters <a href=\"https:\/\/www.reuters.com\/business\/autos-transportation\/us-trade-agency-backs-proposed-ev-tax-credit-despite-mexicos-objections-2021-12-03\/\">reported<\/a>.<\/p>\n<p>The USMCA, which went into effect in 2020, was <a href=\"https:\/\/dailycaller.com\/2020\/01\/29\/trump-signs-usmca-mexico-canada-trade-deal\/\">negotiated<\/a> by the Trump administration as a replacement for the North American Free Trade Agreement. It <a href=\"https:\/\/ustr.gov\/trade-agreements\/free-trade-agreements\/united-states-mexico-canada-agreement\/fact-sheets\/rebalancing\">established<\/a> fresh rules on trade and tariffs between the three North American nations.<\/p>\n<p>Content created by The Daily Caller News Foundation is available without charge to any eligible news publisher that can provide a large audience. For licensing opportunities of our original content, please contact <a href=\"mailto:licensing@dailycallernewsfoundation.org\">licensing@dailycallernewsfoundation.org<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Mexico doubled down on its criticism of the Democrats\u2019 Build Back Better Act, arguing that a provision favoring U.S. automakers violates the recently-signed United States-Mexico-Canada Agreement (USMCA).Both the Mexican and &#8230;<\/p>\n","protected":false},"author":181,"featured_media":2315279,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1094823","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1094823","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/181"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1094823"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1094823\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2315279"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1094823"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1094823"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1094823"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}