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Canada joins Mexico in spat with US over car parts

January 15, 2022 00:00:00

MONTREAL, Jan 14 (AFP): Canada said Thurs-day it is joining Mexico in challenging how the United States interprets auto sector rules under a revamped three-way trade deal.

Last week Mexico requested a dispute settlement panel to establish that Washington's interpretation of content requirements known as rules of origin are incorrect.

"Canada is joining Mexico's request to establish a dispute settlement panel," International Trade Minister Mary Ng said.

She said Washington's interpretation is "inconsistent" with the US-Mexico-Canada Agreement, which came into effect in July 2020.

The accord, which replaced the North American Free Trade Agreement, allows cars manufactured in North America to receive duty free treatment.

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