The rapid response mechanism of USMCA overturned the initial union election at the General Motors pickup truck plant in Silao, Mexico, and despite Democrats' concern that the election would also be marred by intimidation (see 2201280018), workers overwhelmingly chose an independent union. The AFL-CIO issued a statement that said: "Together, in a democratic union, workers will advocate for higher wages and improved health and safety standards at the Silao facility, helping to set new standards in the automobile industry. The election itself set a hard-won precedent and came only after workers voted to throw out a previous contract that had poor benefits and was negotiated without the workers’ input. Workers overcame gross intimidation and election meddling, and their triumph is an example of what happens when workers stand together. This vote represents a rejection of the past and a new era for Mexican workers’ right to associate freely."

Although concluding negotiations on subsidies that contribute to overfishing may seem like a long shot, since 21 years has not been long enough to reach agreement, World Trade Organization Deputy Director-General Angela Ellard said there is an eagerness among many member country delegations to get it done. She acknowledged that developing countries' desire to claim "special and differential treatment" under the body's rules to curb overfishing does cause dissension. But, she said, "it's important to show we can do this."

A dispute panel that will consider whether the U.S. interpretation of auto rules of origin is too stringent will have Mexico and Canada on the too-strict side of the argument and the U.S. defending itself alone.

Canada's Trade Minister Mary Ng said she told Canadian softwood lumber industry leaders that ending U.S. duties on their products "is a top priority for the Government of Canada. U.S. duties on softwood lumber are unfair." Ng said she spoke with the U.S. National Association of Home Builders and other stakeholders, as well as members of Congress and U.S. Trade Representative Katherine Tai during a recent visit to Washington, and told them all that Canada wants "to discuss ways to reach a mutually acceptable resolution on this matter." Years ago, the U.S. and Canada had a tariff rate quota system that adjusted so that as prices rose beyond a certain threshold in the U.S., more Canadian lumber imports were allowed under the quota.

U.S. allegations of forced labor in Xinjiang are the “lie of the century,” perpetuated by the Congressional-Executive Commission on China (CECC), a group that is “biased” against Beijing and has “no political credibility at all,” a Chinese Foreign Affairs Ministry spokesperson said Jan. 13, according to an English translation of a transcript of a regular press conference. Sen. Jeff Merkley, D-Ore., and Reps. Jim McGovern, D-Mass., and Chris Smith, R-N.J., all members of the CECC, wrote International Olympic Committee President Thomas Bach Jan. 12 seeking “assurances” that the cotton that Chinese sportswear companies Anta Sports and Hengyuanxiang Group source from Xinjiang was produced free of human rights violations. Since cotton made in Xinjiang is “synonymous with forced labor and the systematic repression that takes place there,” there exists the “worrisome possibility that IOC personnel or others attending the 2022 Olympic Games will be wearing clothing contaminated by forced labor,” they said. The IOC didn’t respond to emailed requests for comment.

Although the U.S. has the most trade agreements with Western Hemisphere countries, many of those trading partners haven't developed as strongly as trading partners in Asia, said a panel of former ambassadors and a Brazilian consultant to businesses that operate in Latin America during a Center for Strategic and International Studies online panel Jan. 10.

The Uyghur Forced Labor Prevention Act “maliciously denigrates the human rights situation in China’s Xinjiang in disregard of facts and truth,” a Chinese Foreign Affairs Ministry spokesperson said at a Dec. 24 regular press conference, according to an English translation. President Joe Biden signed the measure into law Dec. 23 (see 2112230018). U.S. allegations of forced labor and genocide in Xinjiang “are nothing but vicious lies concocted by anti-China forces,” the spokesperson said. The U.S. “is engaging in political manipulation and economic coercion, and seeking to undermine Xinjiang’s prosperity and stability and contain China’s development under the pretext of human rights,” he said. “China deplores and firmly rejects this” new U.S. law.

Twenty years after China joined the World Trade Organization, the U.S. is focused on the market distortions and domestic consequences caused by China's export-led growth, even as exports are a smaller and smaller proportion of China's GDP.

After postponing its 12th Ministerial Conference, which was set to start Nov. 30, due to new COVID-19 travel restrictions, the World Trade Organization is now aiming to hold the meeting in person during the first week of March. The WTO delayed the ministerial after Switzerland -- the intended site of the conference -- banned flights from many southern African nations, in response to new information about the Omicron variation of the coronavirus that causes COVID-19 found in that region. In its Nov. 29 statement, the WTO emphasized the need for continued negotiations on key issues such as fisheries subsidies and the intellectual property waiver for any COVID-19 vaccines. Trade experts have speculated that the postponement of MC12 will likely mean a slowdown in negotiations on those topics (see 2111290035).

Plans to increase a tax credit for electric vehicles containing a U.S.-made battery if the car was assembled in a U.S., union-represented plant is a source of worry for Canada, Prime Minister Justin Trudeau said in French Nov. 18 at a news conference after the North American Leaders' Summit, according to a story from the Canadian Broadcasting Corporation. "This would be quite a problem for vehicle production in Canada," he said. "We stressed this with the Americans throughout our conversations. They've heard us loud and clear." The provisions are part of the Build Back Better bill that passed the House the following day on Nov. 19.