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U.S. Activates USMCA Labor Probe at ThyssenKrupp Plant in San Luis Potosí

Mexico faces a 10-day deadline to accept a review under the trade pact, followed by up to 45 days to complete it.

Overview

  • The U.S. Trade Representative invoked the Rapid Response Labor Mechanism to examine alleged denials of freedom of association and collective bargaining at ThyssenKrupp Springs & Stabilizers de México.
  • An interagency committee determined there are sufficient and credible indications of violations to proceed under USMCA enforcement procedures.
  • As an immediate trade measure, the United States suspended liquidation of pending imports from the San Luis Potosí facility, which makes suspension components for the auto industry.
  • The petition, filed on October 14 by LSOM, United Steelworkers and ILAW, alleges employer and incumbent-union interference and retaliation, with LSOM’s lawyer saying two of its representatives were fired.
  • If Mexico accepts the request, authorities will conduct the facility-specific review within the 45-day window set by the agreement.