USMCA Action in Mexican Parts Plant

The Office of the United States Trade Representative has invoked the Rapid Response Labor Mechanism (RRM) in the United States-Mexico-Canada Agreement (USMCA) to review whether workers at Modern Metal Alloys, S.A. de C.V. (MMA), located in Querétaro, Mexico, are being denied the right to freedom of association and collective bargaining.

According to Eduardo Castillo, Secretary General of Trade Union Transformación Sindical,  this complaint will set a precedent to halt the CATEM union organization, because "in collusion with the companies, they impose the union organization" on workers to sign new collective bargaining agreements.

The petition alleges that MMA has violated workers' rights by failing to recognize the legitimacy of Transformación Sindical, which holds the certificate of representation; refusing to sign a collective bargaining agreement; denying Transformación Sindical access to the company's facilities; harassing and engaging in retaliation against workers for their union activity, including through termination; and encouraging and pressuring workers to join a company-aligned union.

The United States has suspended liquidation of tariffs on goods from the MMA facility, which manufactures aluminum for the production of auto parts.

This is the 33rd case filed between the United States and Mexican governments, highlighting the ongoing practices throughout the country's auto parts sector which undermine the USMCA trade agreement.