LatinNews Daily - 12 March 2026

*US Trade Representative (USTR) Jamieson Greer has announced the start of investigations relating to “structural excess capacity and production in manufacturing sectors” for Mexico, along with 15 other trading partners – China, the European Union, Singapore, Switzerland, Norway, Indonesia, Malaysia, Cambodia, Thailand, South Korea, Vietnam, Taiwan, Bangladesh, Japan, and India. According to a USTR press release, the investigation will examine “whether the acts, policies, or practices of a foreign country are unreasonable or discriminatory and burden or restrict U.S. commerce”. According to the USTR, “evidence of structural excess capacity and production exists for Mexico”. It states that Mexico’s bilateral goods trade surplus with the US was US$197bn in 2025, led by “the automotive sector, as well as construction, rail and ship transportation, and health”. According to the USTR, the US accounts for 79.7% of Mexico’s exports in the automotive sector. It also highlights that Mexico’s steel industry achieved “rapid capacity growth between 2000 and 2019”, of 46%. It cites “evidence of structural excess production in numerous other sectors of the Mexican economy, including process manufacturing in food and beverages”. The USTR’s announcement comes as the US and Mexican governments are due to begin negotiations on renewing the US-Mexico-Canada Agreement (USMCA) next week.