The Mexican government on Wednesday formally repealed an import ban on genetically edited and modified corn after the U.S. successfully argued the measure violated its commitments under a North American free trade deal.
Mexican President Claudia Sheinbaum’s government rescinded two measures established under her predecessor in 2023, Andrés Manuel López Obrador, banning GE corn in dough and tortillas for human consumption, and an instruction to Mexican agencies to phase out its use in other food uses and animal feed. Mexico had charged that the measures were necessary for protecting public health, but the U.S. argued the claims were not rooted in science and ran afoul of Mexico’s market access commitments under the U.S.-Mexico-Canada Agreement.
A dispute resolution panel in December sided with the U.S. on all seven of its claims. The ruling gave Mexico 45 days to revoke its ban and bring its actions into compliance with the agreement, or the U.S. would be authorized to impose tariffs to offset any economic losses.
Mexico is the U.S.’ largest corn market, with sales topping $5 billion last year. In addition to bringing the country in line with USMCA, Mexico’s removal of the measures eliminates a significant barrier to trade, given more than 90% of U.S. corn production comes from genetically modified varieties, according to the Food and Drug Administration.
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“The United States will continue to monitor closely Mexico’s compliance with its USMCA commitments to ensure that Mexico’s agricultural biotechnology measures are based on science and provide U.S. corn growers the market access that Mexico agreed to provide in the USMCA,” the Office of the U.S. Trade Representative said in a statement on Thursday morning.
The Corn Refiners Association said it was encouraged by what it called "a strong step toward restoring market access" for U.S. GE corn.
"Science has proven crops produced using biotechnology to be safe, and we welcome the opportunity to share American harvests with consumers in search of quality, affordable food," Corn Refiners Association President and CEO John Bode said in a statement.
American Farm Bureau Federation President Zippy Duvall also welcomed the news.
"[Sheinbaum's] predecessor’s attempt to limit trade between the two countries was a clear violation of the USMCA trade agreement, which was recently confirmed by a USMCA panel decision," Duvall said in a statement. "A ban would have hurt hard-working families on both sides of the border. America’s famers are dedicated to growing safe and affordable food, and they look forward to continued access to an important trading partner."
Sheinbaum had previously indicated that she would comply with the three-person USMCA panel’s ruling and reverse the ban. She has, however, continued a domestic drive to limit the emergence of GM corn.
Last month, the president sent the Mexican Congress a constitutional reform proposal that would ban the growth of GE corn on Mexican soil and define the crop as an “element of national identity.”
Sheinbaum’s moves to bring Mexico into compliance with the USMCA come just days after President Donald Trump threatened to adopt new 25% tariffs on all Mexican and Canadian imports in response to what he calls a drug and migrant emergency. While analysts previously told Agri-Pulse the tariff may not technically violate the free trade agreement – as the deal includes a carve out for tariffs for “essential security” purposes – it would undoubtedly violate the spirit of the deal, which was enacted to foster tariff-free trade across North America.
Sheinbaum had indicated that she was prepared to respond swiftly to any new tariffs with retaliatory tariffs of her own.
