Dr. Jorge I. Dominguez is a longtime academic who taught at Harvard University and held a position as Antonio Madero Professor for the Study of Mexico. With a focus on trade and economic policy, Dr. Jorge I. Dominguez particularly focuses on bilateral relations between countries such as the United States and Mexico.
A late 2021 Reuters article brought focus to the implications of the US Trade Representative’s commitment to bolstering its domestic electric vehicle (EV) industry. The proposal at hand involves a $12,500 tax credit that would encompass $4,500 reserved for EVs manufactured in the United States by union employees. It is included within wide-ranging legislation spanning areas such as social spending and climate change. Popular among certain domestic industries, such a move is seen by other nations as a protectionist policy in violation of various trade agreements. In October, Mexico, alongside Canada, EU members, Japan, and South Korea, wrote to American lawmakers claiming that the tax credit went against international trade rules. Mexico went even further, calling the proposed credit potentially more harmful to its export-focused auto industry than former President Trump’s threatened tariff of 25 percent. In particular, country-of-origin conditions tied to the incentive are characterized as an "undue subsidy.” Mexico’s undersecretary for foreign trade tempered this adversarial stance by acknowledging the legitimacy of a transition toward electromobility and climate-friendly electric vehicles.
0 Comments
Leave a Reply. |
AuthorJorge Dominguez - Doctor of Political Science. Archives
November 2021
Categories |