The Rapid Response Mechanism (RRM) to settle labor cases against Mexico has reduced the incentive to send jobs abroad unfairly, highlighted the White House trade representative.

The United States Trade Representative (USTR) intends to replicate labor mechanisms similar to those operating in the Agreement between Mexico, the United States and Canada (T-MEC) in other international agreements. The Rapid Response Mechanism (RRM) to resolve labor cases against Mexico has reduced the incentive to send jobs abroad unfairly, highlighted Katherine Tai, White House trade representative.

The MRR allows for the request of an expedited review by an independent panel of specific factories where workers are allegedly denied freedom of association and collective bargaining.

The replication of this mechanism or some similar regulation may be close. In May 2022, the United States and 13 partners launched the Indo-Pacific Prosperity Economic Framework (IPEF), the Biden Administration's first major trade and economic initiative in the region. Partner countries include Australia, Brunei, Fiji, India, Indonesia, Japan, Malaysia, New Zealand, Philippines, Singapore, South Korea, Thailand and Vietnam.

“Since 2021, the United States has requested review of Mexico under the RRM 22 times in facilities spanning various industries, including automotive, clothing, mining and services,” Tai recalled before the hearing of the Ways and Means Committee of the Congress.