U.S. asks Mexico to review a second complaint about labor violations in its auto industry

06/10/2021

Source: New York Times

The Biden administration is invoking provisions in a new trade agreement to ask Mexico to look into accusations of labor violations at an auto-parts plant near the U.S. border.

The action, announced Wednesday by the Labor Department and the Office of the United States Trade Representative, follows a complaint by groups including the A.F.L.-C.I.O., the nation’s largest federation of unions, that workers were being denied the rights of free association and collective bargaining.

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In Mexico autos town, labor rights falter despite U.S. trade deal

05/03/2021

Source: Yahoo! News

MATAMOROS, Mexico (Reuters) – After successfully staging a wildcat strike for higher wages in 2019, many workers at the Tridonex auto-parts plant in the Mexican city of Matamoros, across the border from Texas, set their sights higher: replacing the union that they say failed to fight for them.

Six workers at the factory, which refits second-hand car parts for sale in the United States and Canada, told Reuters they felt let down that their union, SITPME, did not back their demands for better pay. About 400 Tridonex workers protested outside a Matamoros labor court last year to be allowed to switch unions.

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Parts with passports: how free trade drives GM’s engines

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11/18/19 – Reuters

By Nick Carey

Long before the pistons for General Motors Co V-6 engines reach the U.S. No. 1 automaker’s Romulus, Michigan plant, they are seasoned international travelers.

Powdered aluminum from Tennessee is shipped to Pennsylvania and forged at high temperatures into connecting rods for the pistons, which are then sent to Canada to be shaped and polished. They are then shipped to Mexico for sub-assembly and finally the finished pistons are loaded onto trucks bound for Romulus to become part of a GM V-6 engine.

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Mexico’s auto production and exports drop sharply, battered by Ford

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11/06/19 – Reuters

By Julia Love and Sharay Angulo

Mexico’s auto production and exports fell sharply in October compared with the same month last year as production from U.S. automaker Ford Motor Co ground to a halt, according to data from the national statistics agency INEGI.

Auto production declined 16.35%, while exports dropped 19.52%, the data showed.

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Mexican government mulls legalization of 18 million “chocolate cars”

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10/23/19 – Freight Waves

By Noi Mahoney

Authorities in Mexico have proposed legislation to legalize around 18 million so-called “carros chocolates,” or chocolate cars – vehicles illegally imported into the country from the United States.

If the proposed legislation passes, it would be a blow to the Mexican automotive industry, which relies heavily on global supply chains from U.S., European and Asian producers to make cars.

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GM laying off another 415 workers in Mexico as U.S. strike continues

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10/07/19 – Reuters

By David Shepardsonm

General Motors Co (GM.N) said Monday it is temporarily laying off another 415 workers in Mexico as a strike by 48,000 U.S. hourly workers enters its fourth week.

GM said it had partially idled its Ramos Arizpe propulsion plant, with the V8 engine line and the CVT transmission line not operating. The plant continues to build engines for the Ramos assembly plant, which is still operating, but GM previously laid off 6,000 workers in Mexico at a separate facility in Silao, Mexico.

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GM lays off 6,000 additional workers in Mexico due to UAW strike

 

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10/01/19 – CNBC

By Michael Wayland

General Motors on Tuesday idled a plant in Mexico that produces its highly-profitable Chevrolet Silverado and GMC Sierra 1500 pickups, temporarily laying off 6,000 workers.

The automaker said the decision was a result of a parts shortage due to the United Auto Workers union’s strike against GM, now in its 16th day. A GM spokesman said the “primary focus is to get a deal and get everybody back to work” as soon as possible.

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Mexican-made autos stream across border at record rate in first half of 2019

7/9/19 – CNBC

By Phil LeBeau

blue and red cargo ship with crane
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Remember President Donald Trump’s threat to slap a tariff on every product the U.S. imports from Mexico? That threat in early June, which the President later dropped, had auto executives worried.

The latest numbers from Mexico shows why so many in the auto industry were so concerned.

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Trump says Mexico auto tariff threat supersedes new NAFTA pact

4/5/2019 – Politico

43627503520_c8eeba9788_bPresident Donald Trump said Friday that the deal his administration struck with Mexico on its auto exports won’t count if the country fails to stop Central American migrants from illegally crossing the border to enter the United States.

If “for any reason, Mexico stops apprehending and bringing the illegals back to where they came from, the U.S. will be forced to Tariff at 25 percent all cars made in Mexico and shipped over the Border to us. If that doesn’t work, which it will, I will close the Border,” Trump wrote on Twitter.

“This will supersede USMCA,” Trump continued, referring to the new North American trade deal, which has yet to be ratified in the U.S., Mexico or Canada. “Likewise I am looking at an economic penalty for the 500 Billion Dollars in illegal DRUGS that are shipped and smuggled through Mexico and across our Southern Border. Over 100,00 Americans die each year, sooo many families destroyed!”

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U.S.- Mexico Border Closing Would Shut Carmarkers and Cripple Farm Goods By Mike Dorning

4/3/2019 – Bloomberg

photo-1535379453347-1ffd615e2e08.jpgBy Mike Dorning

U.S. auto production would grind to a halt in a week, while pork producers and dairy farmers would be shut out of their largest export market. Grocery shoppers would quickly face shortages of avocados, tomatoes and other produce or steep price increases as supplies plummet.

President Donald Trump has been short on details about his threat to close the border with Mexico to cut off illegal immigration, and even inside the White House aides are unsure how — or even if — he’ll follow through. But any move that would shut down or hinder $1.7 billion in daily cross-border trade would have far-reaching consequences for the U.S. economy.

Amid warnings from his Republican allies and his advisers, Trump on Tuesday dialed back somewhat from his threat by tweet last week to shut the border if Mexico didn’t stop the flow of Central Americans heading north. He suggested the U.S. could “close large sections of the border, maybe not all of it.”