MEXICO/USA: US and Mexico avoid chicken trade war
The United States and Mexico have struck a deal on American poultry exports, heading off a potential trade row.
Under the North American Free Trade Agreement, Mexican tariffs on US poultry exports fell to zero on1 January.
However, Mexico was concerned about a potential export boom that could have damaged Mexican poultry producers and threatened to invoke its NAFTA right to impose an emergency safeguard tariff of up to 240% on US chicken.
Under the deal, Mexico will admit 50,000 tonnes of US chicken leg quarters duty-free over the next six months and will impose safeguard tariff of 98.8% on these imports above that level. All other US poultry exports will enter Mexico duty free.
- 2017: three major drivers of M&A strategy
- just-food 2017 Survey - your thoughts on growth
- Food market in 2017: need-to-know US trends
- 2017 - what will shape the UK food sector?
- Could BRF's Turkey move pave way for OneFoods IPO?
- Premier Foods issues profit warning
- UK's Bakkavor plays down IPO "speculation"
- Ferrero insists Nutella not pulled from shelves
- Lindt sees FY sales acceleration on Europe growth
- Unilever sets packaging target