Mexican Official Optimistic About Resuming Cross-Border Trucking

Mexico's economy minister predicted this week that the trade spat focusing on cross-border trucking would be resolved this year, as U.S. trade envoy Ron Kirk visited the Mexican capital. Under the North American Free Trade Agreement, the U.S.-Mexico border was supposed to have been opened to border-state traffic in 1995 and to long-distance traffic in 2000. The opening was stalled until 2007, in part by difficult negotiations with Mexico, but mainly by the legislative and legal tactics of U.S. labor, owner-operator and citizen advocacy groups who fear loss of U.S. jobs to Mexican drivers and argue that Mexican trucks will not be safe. After Congress cut off a cross-border trucking pilot program last March by prohibiting funding for such a program, the Mexican government slapped $2.4 billion in retaliatory tariffs on U.S. goods. According to published reports, Kirk emphasized that the law that originally cancelled the cross-border program is no longer in effect. The language in the 2009 appropriations bill that essentially cut off the funding for the demonstration safety program was not included in the 2010 appropriations bill. "We have the green light to go forward and start those consultations with Congress (and) with our stakeholders in the U.S.," Kirk said during a news conference held jointly with Mexican Economy Minister Gerardo Ruiz Mateos, who said a solution "will surely occur this year." Before heading to Mexico, Kirk told reporters, "I can tell you that those industries in the united states, our farmers, our ranchers, our other exporters that have been subject of the retaliation, have made their displeasure known to congress and so there is a sense of urgency within the united states," according to KOLD TV in southern Arizona...read more