Letter to Robert Lighthizer, US Trade Representative - Isakson, Perdue Argue for Seasonal Farmer Protections in Trade Agreement

Letter

Dear Ambassador Lighthizer:

We write to raise concerns regarding the lack of progress in the new U.S.-Mexico-Canada Agreement (USMCA) with respect to improved mechanisms to initiate and sustain legitimate anti-dumping and countervailing duties (AD/CVD) proceedings for trade in seasonal and perishable produce. As you know, providing a fair process for domestic seasonal fruit and vegetable growers to access genuine AD/CVD relief was not just an early objective of the Administration's North American Free Trade Agreement (NAFTA) renegotiations, but was also referenced by Congress under current Trade Promotion Authority (TPA). The USMCA's silence on the matter is significant and concerning.

The President has consistently argued that reducing persistent trade deficits with America's trading partners is an important goal in the pursuit of free, fair, and reciprocal trade. The U.S. agricultural trade deficit with Mexico has risen rapidly since NAFTA came into force, driven by growing Mexican fruit and vegetable exports buoyed by significant government subsidies and unfair pricing practices, among other factors. In 2016, the U.S. faced a $5.1 billion trade deficit in agricultural goods with Mexico. Fruits and vegetables made up the largest source of Mexico's bilateral agricultural trade surplus at $11.2 billion, nearly $2 billion more than the bilateral U.S. trade surplus of meats, dairy, grain, and oilseeds combined. While the Mexican Government has refused to include a mechanism to correct this growing imbalance in the USMCA text, we still believe the Administration must ensure that clear rules are in place to defend domestic seasonal and perishable produce from unfair trade practices.

We strongly insist that the Administration address this issue in a way that gives confidence to all seasonal growers that the federal government can and will act to counter legitimate injury from unfair imports from Mexico or any other country. This could be accomplished by enacting the Defending Domestic Produce Production Act (S. 16 / H.R. 101), or through appropriate administrative action to establish equally effective, enforceable, and durable remedies through existing trade authorities. Those remedies must able to provide relief, as necessary and applicable, across a highly diverse suite of American seasonal producers.

Domestic seasonal and perishable produce growers deserve reasonable access to trade enforcement tools that are readily available to other agricultural and industrial producers in the U.S. Such an outcome would be good for American fruit and vegetable farmers, good for American families, and good for the nation's food security. Moreover, a successful resolution of this issue would provide important support for the USMCA within the agricultural communities we represent.

We greatly appreciate your efforts to secure the strongest trade deals possible for the United States and your commitment to protect American workers and production capacity from unfair and illegal foreign competition. We look forward to working with you towards a successful resolution of this important issue prior to a USMCA vote.

Sincerely,

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