Still a Long Way to Go For Nafta Arbitration

A news report from Mexico City Mexico City quoted an unidentified U.S. Department of Transportation official as saying the United States will appeal a decision of the North American Free Trade Agreement arbitration panel which found fault with the U.S. refusal to open the border with Mexico to international trucking.

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Nafta provisions would have allowed U.S. and Mexican truckers hauling foreign-bound cargo to operate in states on both sides of the border, starting in 1995, and throughout both countries as of this year. On the eve of the 1995 opening, the Clinton administration refused to honor the Nafta schedule, citing concerns about the safety of Mexican trucks and drivers. No progress toward an opening has been made since.

Under terms of the agreement, the U.S. could be directed to reimburse Mexico for economic damages (12-1, p. 43).

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Both the U.S. and Mexican governments have 14 days to respond to the panel’s Nov. 29 preliminary report. According to a U.S. Trade Representative official who would only speak off the record, both parties will have the opportunity to correct mistakes or reiterate legal arguments in their responses, which would be due no later than Dec. 13.

For the full story, see the Dec. 11 print edition of Transport Topics. Subscribe today.