Introduction to T-MEC Review Process
The Mexican government has announced an opportunity for the public to submit comments on the functioning of the United States-Mexico-Canada Agreement (T-MEC). This initiative comes as the U.S. government also begins a joint review process with specific guidelines.
Mexico’s Invitation and U.S. Request for Comments
Mexico’s Secretary of Economy published an invitation in the Official Gazette of the Federation (DOF), while the U.S. Trade Representative’s Office (USTR) issued a request for comments in the Federal Register.
The T-MEC entered into force on July 1, 2020. Article 34.7 of the agreement stipulates that the trade agreement will terminate 16 years after its entry into force, unless each party confirms their desire to extend it for another 16-year period.
Moreover, Article 34.7 mandates that the Free Trade Commission, composed of government representatives from the U.S., Mexico, and Canada, must meet six years after its entry into force (i.e., July 1, 2026) to conduct a Joint Review of the agreement’s functioning, assess recommendations for action from one party, and decide on relevant measures.
Public Consultation Process
To ensure the participation of all interested sectors, a public consultation process is necessary to gather information, comments, and recommendations for the T-MEC’s functioning evaluation during the joint review, according to the DOF announcement signed by Economy Secretary Marcelo Ebrard.
The deadline for submitting information, comments, or recommendations is 60 days naturally following the DOF publication. Interested parties should send their submissions physically or electronically to [email protected].
Simultaneously, the USTR’s invitation for public comments and a public hearing notice regarding T-MEC functioning is published in the U.S. Federal Register.
To assist in developing their positions and recommendations for the joint review, the USTR invites interested parties to submit written comments or oral testimony on relevant matters for the joint review.
Trilateral Coordination
Mexico’s President Claudia Sheinbaum Pardo clarified that the opening of consultations is not a discretionary act but a legal requirement of the treaty.
Sheinbaum Pardo added that the invitation was coordinated so all three countries could publish it simultaneously, with Mexico’s process initially lasting 60 days and possibly extending an additional 30 days. In contrast, the U.S. set a 90-day deadline for proposals.
The head of state emphasized that the consultations would cover sensitive topics such as tariffs, labor conditions, and other matters.
Sheinbaum Pardo anticipated that the formal review of the trilateral treaty would commence next year, although permanent working tables already exist among the three countries.
Clarity and Participation
The international trade consultancy AGON noted a lack of clarity in the public consultation processes regarding the T-MEC review.
“It remains unclear how comments will be processed, and in Mexico’s case, what the relationship will be between the public consultation process and the one conducted with the industry,” AGON stated in a report.
AGON stressed the importance of closely following the process to ensure that consultation outcomes are incorporated into Mexico’s government position.
Meanwhile, the National Council of the Mexican Manufacturing Export Industry (Index), which contributes 62% of exports, primarily to the U.S., informed that it will collaborate in the T-MEC review.
“As an important industrial and business sector in our country, we reaffirm our commitment to the federal government to contribute to the analysis and review of this significant trade agreement,” Index said in a press release.
Active Participation of “Cuarto de Junto”
The “Cuarto de Junto,” officially known as the Strategic Advisory Council for International Negotiations (CCENI), part of the Coordinating Business Council (CCE), will actively participate in the T-MEC review, according to the Mexican Business Council for External Trade, Investment, and Technology (Comce).
“As part of the ‘Cuarto de Junto’ – the consultation and support mechanism where private sector representatives back the government in international trade negotiations and reviews – our organization will actively engage in this T-MEC consultation and review process,” Comce stated in a press release.
