Latin America

June 02, 2023 — 02:48 pm EDT

Written by Cassandra Garrison for Reuters

By Cassandra Garrison

MEXICO CITY, June 2 (Reuters) - The U.S. is escalating its conflict with Mexico over agriculture biotech measures, including the stance on genetically modified (GM) corn, by requesting dispute settlement consultations, senior officials of the U.S. Trade Representative's office said on Friday.

The North American neighbors are inching closer to a full-blown trade dispute under the U.S.-Mexico-Canada Agreement (USMCA) on trade over Mexico's policies to limit the use of GM corn, which it imports from the U.S. If the consultations announced on Friday fail to resolve disagreements within 75 days, Washington can request a dispute settlement panel to decide the case.

The United States requested formal trade consultations in March over objections to Mexico's plans to limit imports of GM corn and other agricultural biotechnology products. Those consultations took place, but failed to resolve the matter, the senior USTR officials said. Spokespeople for Mexico's Economy Ministry and Agriculture Ministry did not immediately comment on the move.

Earlier this week, Mexico's agriculture minister expressed confidence in an interview that the dispute with the U.S. would not escalate to a dispute settlement panel. The dispute comes amid other disagreements between the U.S. and Mexico, most notably over energy in which the U.S. has argued that Mexico's nationalist policy prejudices foreign companies.

More:
https://www.nasdaq.com/articles/us-escalates-dispute-with-mexico-over-gm-corn-after-formal-consultations-fail