Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

U.S. voices concern to Mexico about 'deteriorating climate' for energy investors

Economic IndicatorsApr 01, 2021 05:35PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. FILE PHOTO: Bolivia's President Arce visits Mexico's President Lopez Obrador, in Mexico City

MEXICO CITY (Reuters) - The United States has raised concerns with Mexico about a worsening climate for U.S. energy investors in the Latin American nation, the Office of the United States Trade Representative (USTR) said.

Mexican President Andres Manuel Lopez Obrador, bidding to reverse previous reforms that enticed foreign investors, has sought to strengthen the state's role in the energy sector, including bolstering state oil firm Petroleos Mexicanos (Pemex).

His interventions have upset some of Mexico's main allies, including the United States, Canada and major European countries, and angered investors who believe the government is violating their rights under trade agreements Mexico signed.

U.S. energy companies have expressed concerns about extended delays on permit approvals for retail fuel stations, as well as efforts by Pemex to wrest away operational control of a big shared crude deposit discovered by a U.S.-led consortium three years ago, among other criticisms of the state-centric energy policy pursued by Lopez Obrador.

USTR, in its annual report about trade barriers, said that throughout last year U.S. energy companies in Mexico have complained of permitting delays, discriminatory enforcement of regulations, and lack of notice regarding regulatory and policy changes.

"The United States has raised concerns with Mexico regarding the deteriorating climate for U.S. energy investors in Mexico," said the USTR report published on Wednesday.

The report adds that Washington emphasized "that the U.S. Government is committed to ensuring that U.S. investors are treated fairly and that Mexico adheres to its USMCA commitments."

The U.S. government is also at odds with Mexico over weed-killer glyphosate, which Mexico is trying to phase out amid concerns the pesticide causes cancer.

"The United States continues to press Mexico to grant import permits for glyphosate-containing products," the report said.

U.S. companies also complained about changes in the Mexican procurement process, which included exemptions for Pemex, Mexican armed forces, and power utility the Comision Federal de Electricidad (CFE). U.S. businesses thought the process was less transparent than before, USTR said.

U.S. voices concern to Mexico about 'deteriorating climate' for energy investors
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (2)
Roger Miller
Roger Miller Apr 01, 2021 8:57PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Did Biden approve this? I thought he was going green, or he’s okay with US oil companies producing in other countries but not the US. Does this mean he’s looking out for big oil in the Middle East as well? Funny how Trump did the opposite; promote domestic drilling, as well as try to bring troops home.
gary Gould
gary Gould Apr 01, 2021 8:57PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
funny how this is yet another big hole in US foreign trade agreement from trump......hahaha ..that fella was all show no go .....a great fakester...
Kelly Mayer
Kelly Mayer Apr 01, 2021 5:40PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Geoengineering is deteriorating climate.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email