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Mexico Says It Will Honor GMO Corn Panel Decision

After a panel report found Mexico's plans to replace GMO corn over time in industrial food and animal feed -- and its ban on genetically modified white corn -- violate its USMCA commitments, the Mexican government said it will honor the result.

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"The Government of Mexico does not share the Panel's determination, as it considers that the measures in question are in line with the principles of protection of public health and the rights of indigenous peoples, established in national legislation and in the international treaties to which it is a Party," the economy secretary said, according to an unofficial translation. "Despite this, the Government of Mexico will respect the determination, since the USMCA dispute resolution system is a key part of said treaty, as demonstrated in the case on Rules of Origin for the automotive sector, which was favorable for Mexico."

That last sentence was a reference to a 2023 panel ruling that said the U.S. was in violation of its interpretation of USMCA auto rules of origin (see 2301110058), although U.S. Trade Representative Katherine Tai has said that the U.S. doesn't have to comply with the ruling. She added that Canada and Mexico could withdraw concessions to induce the U.S. to at least offer an accommodation (see 2403070067). She said in March 2024 that a panel decision was "never meant to be something you can shove down the throat of the other side."