The "USMCA Seal" will be an advisory and training service for companies that complies with the rules of origin and labor requirements in compliance with customers and with the authorities of the United States, Mexico and Canada.
The "USMCA Seal" will be an advisory and training service for companies that complies with the rules of origin and labor requirements in compliance with customers and with the authorities of the United States, Mexico and Canada.
What is the USMCA?
The Trade Agreement between Canada, Mexico and, the United States (USMCA), which entered into force on July 1, 2020, replaces the North American Free Trade Agreement (NAFTA), which has been in force for 26 years.
What is the purpose of the "USMCA Seal"?
The recently created private organization, which was formed by businessmen from the automotive sector, former negotiators of the USMCA including Kenneth Smith and Alberto Bustamante, as well as the "Automotive Cluster of Mexico City and the State of Mexico” -mainly- and endorsed by the Business Coordinating Council (CCE), explained that the program will certify companies that are complying with the requirements of the Agreement’s rules of origin and avoid being penalized or excluded from the preferential tariff treatment provided by the trade agreement with the United States and Canada.
For the aforementioned reasons, the companies that obtain the "USMCA Seal" will be included in the List of Reliable Companies, which will be sent to the purchasing departments of light and heavy vehicle manufacturers in the United States and Canada and to Tier 1 suppliers in North America.
How will implementation be conducted?
Elisa Crespo, President of the Automotive Cluster of Mexico City, and the State of Mexico, mentioned that the implementation of this important program for the benefit of the North American automotive sector will begin at an initial stage throughout the country, with special emphasis on the State of Mexico, Hidalgo, and Mexico City.