US Suspends Liquidation of Tariffs on Goods From Mexican VW Factory

The U.S. has asked Mexico to review whether workers at the Volkswagen de México, S.A. de C.V. facility in Cuautlancingo, Puebla, are being denied their rights to freedom of association and collective bargaining, the Office of the U.S. Trade Representative announced May 28.

While this request is reviewed, the U.S. has suspended liquidation of tariffs on goods from the plant, which makes Volkswagen vehicles and automotive parts, USTR said.

The U.S. made the request in response to a petition by former Volkswagen de Mexico workers who allege they were dismissed in retaliation for activity they conducted as union representatives, USTR said.

The request marks the 23rd time the U.S. has formally invoked the Rapid Response Labor Mechanism in the USMCA.