B103/2024

Mexico City, march 11 2024

  1. Mexico’s Secretariat of Agriculture and Rural Development continues to be disappointed and concerned regarding today’s announcement by the United States Department of Agriculture’s (USDA) final rule on Voluntary “Product of USA” Label Claim.
  2. This final rule will only allow the use of the “Product of the USA” claim to meat, poultry and egg products derived from animals born, raised, slaughtered and processed in the United States.
  3. The Secretariat of Agriculture and Rural Development reiterates that this measure does not take into consideration the deep integration of the livestock and meat industries of North America.
  4. During the rule-making process, Mexico’s Secretariat of Agriculture and Rural Development, as well as the main agricultural trade associations of our country, maintained an open dialogue, requesting the USDA to reconsider the rule and allow consultations between both countries as well as comprehensive technical information exchange to jointly revise alternatives and mechanisms that acknowledge the dynamism and complexity of the trade integration of the industry, and avoid distorting regional supply chains via unnecessary trade barriers.
  5. In 2023, Mexican exports of cattle and beef and beef products to the U.S. were close to $3 billion dollars, including 1.25 million heads of cattle and 260 thousand tons of beef and beef products.
  6. Mexico continues to be one of the U.S. main suppliers of beef and beef products. Currently, our country is the second largest supplier of beef and beef products to the United States, accounting for 20% of global imports.   
  7. The final rule on Voluntary “Product of USA” claim is a setback, allowing inconsistencies with the U.S. obligations to the World Trade Organization (WTO) to fulfill the final determination of the mandatory country of origin labeling (mCOOL) dispute, and Mexico reserves the rights accordingly.
  8. Mexico’s Secretariat of Agriculture and Rural Development is ready to provide elements to the Secretariat of the Economy and the Secretariat of Foreign Affairs to defend the interests of Mexico’s agricultural and livestock sectors.