U.S./Mexico Trade Agreement Ends Harmful Tariffs

Trade equals jobs and a new agreement to reduce trade tariffs on U.S. and Texas products entering Mexico will help level the playing field and remove the unfair burden placed on the backs of our hardworking farmers and ranchers.

Nearly two decades after the signing of the North American Free Trade Agreement (NAFTA) and the political shenanigans that followed, an agreement has finally been reached on cross-border trucking between the United States and Mexico. This agreement, finalized today, will reduce harmful tariffs Mexico imposed on 99 U.S. products exported to our southern neighbor.

Safety is the No. 1 priority for the cross-border trucking program. Every Mexican truck that crosses the border will receive an inspection and have to follow the same safety guidelines as U.S. trucks.

Mexico is Texas’ No.1 international trading partner with $73 billion in total Texas goods and services exported south of the border in 2010. Through April 2011, year-to-date exports from Texas to Mexico have totaled $27 billion. A secure cross-border passageway between the United States and Mexico supports American jobs and expands market access for the export-dependent agriculture industry.

Congratulations to native Texan Ron Kirk, United States Trade Representative, for his work in hammering out the agreement.

Finally – One Step Closer to Ending Unnecessary Mexican Tariffs on U.S. Agricultural Products

Today, the U.S. Department of Transportation introduced a new proposal that would allow Mexican carriers, or long-haul trucks, into the United States in an attempt to come current on a deal the U.S. and Mexico signed in 1993. While long overdue, this action is a critical step toward ending the unnecessary tariffs Mexico has placed on U.S. agricultural products as a means of retaliation after the U.S. terminated the first Cross Border Trucking Pilot Program more than a year ago.

The Lone Star State exports billions of dollars each year worth of food, fiber and other goods across its borders to countries that depend on these Texas-made products. This is why back in 2009 I urged our federal government to find a quick resolution to this dispute. Although today’s announcement comes more than a year after Mexico imposed its retaliatory tariffs, we can only hope our southern trading partner will receive the plan well and immediately lift these unnecessary sanctions.

Our farmers and ranchers face enough challenges, from unpredictable weather to ever changing and growing regulatory policies from Washington. The last thing they need is another unnecessary obstacle. I look forward to the two sides agreeing on a solution so Texans can get back to doing what we do best – providing the world with the finest quality agricultural products.