US-Mexico Trade Deal Includes New Import Licensing Transparency Provisions

The agreement between the U.S. and Mexico (see 1808270032) contains several changes related to customs processing as part of the market access chapter, the Office of the U.S. Trade Representative said in a fact sheet about the deal. Among those are "new provisions for transparency in import licensing and export licensing procedures," the USTR said. The deal would also prohibit requiring "local distributors for importation" and applying import restrictions on used goods for remanufacturing. "Provisions for duty-free temporary admission of goods to cover shipping containers or other substantial holders used in the shipment of goods" would also be updated, the USTR said.

The USTR also mentioned a new "Textiles chapter for United States-Mexico trade, including textile-specific verification and customs cooperation provisions that provide new tools for strengthening customs enforcement and preventing fraud and circumvention." The deal will also require that "that sewing thread, pocketing fabric, narrow elastic bands, and coated fabric, when incorporated in apparel and other finished products, be made in the region for those finished products to qualify for trade benefits," the USTR said.

The agency also released another fact sheet focused on agricultural issues. The U.S. and Mexico agreed to new geographical indication (GI) standards to determine whether a term is a common name or a GI, it said. Also, the countries agreed "to not restrict market access in Mexico for U.S. cheeses labeled with certain names" and to "labeling and certification provisions that will help the countries avoid barriers to trade in wine and distilled spirits." The deal also would extend the minimum copyright term to 75 years beyond the life of the work’s creator, the USTR said. The current copyright term for most music, movies and books extends 70 years.