Mexico Scraps Anti-Dumping Duties on U.S. Beef

Mexico has announced an end to countervailing duties on U.S. beef and veal, duties that have been in place for the past decade.

Mexico has announced an end to countervailing duties on U.S. beef and veal, duties that have been in place for the past decade. The Mexican economy ministry says the decision took effect Aug. 11, but would be retroactive to April 29, meaning that companies that have paid the duties since April 29 can request a refund. The duties were put in place in 2000 amid dumping allegations raised by Mexican livestock producers.

Mexico has imposed duties ranging from 3 cents to 29 cents per pound on a wide variety of U.S. beef cuts for ten years, effectively blocking hundreds of millions of dollars worth of U.S. exports, according to the U.S. Meat Export Federation and the National Cattlemen's Beef Association.

The Office of the U.S. Trade Representative's National Trade Estimate Report on Foreign Trade Barriers has estimated losses of $100 million to $500 million annually because of the duties.

Mexico originally imposed the duties on U.S. exports after accusations that the United States was illegally dumping beef at below market prices in Mexico .

However, even with the duties, Mexico has been the largest foreign market for U.S. beef and veal for years. The United States exported about $830 million worth of beef to Mexico in 2008 and $743 million in 2009, according to USDA data.

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