The President of the United States expressed his discontent with the Mexico-United States-Canada Agreement (USMCA), stating that 'people have not respected it' and anticipating modifications. For her part, the head of government of Mexico City, Claudia Sheinbaum, acknowledged the U.S. president's reasoning, stating that certain Mexican products exported do not comply with the rules of the agreement.
A former negotiator of the North American Free Trade Agreement (NAFTA) pointed out that Mexico has failed to comply in several sectors, such as automotive, corn, energy, and telecommunications. The tendency of the Mexican government towards nationalization in the energy and telecommunications sectors is specifically criticized, failing to meet trilateral commitments made during the renegotiation of the USMCA in 2018.
The new Mexican energy reform, which gives the government the ability to operate in the telecommunications sector by eliminating competition, clashes with the agreements established in the USMCA and the Bilateral Investment Treaties (BITs), generating uncertainty and discouraging foreign investment. The lack of internal coordination and power conflicts within the government are questioned in this context.
Donald Trump highlighted the effectiveness of the USMCA but insisted on the need for compliance to maintain the integrity of the agreement. Meanwhile, in Mexico, actions that question this compliance have taken place, such as the strengthening of the Federal Electricity Commission, the cancellation of investments in renewable energy, and the disappearance of autonomous bodies like the Federal Telecommunications Institute.
The controversial Telecommunications and Broadcasting Law, which triggered internal conflicts and disagreements in Mexico, has been pointed out as another violation of commercial agreements under the USMCA. The possible absorption of the Federal Telecommunications Institute by the Digital Transformation and Telecommunications Agency raises concerns about the independence of regulatory bodies in the communications sector in Mexico and their compliance under the USMCA.
