12/03/2025
PRESS RELEASE ALERT: NARA was in Washington, D.C. today as Dana Johnson Downing, NARA’s Senior Vice President of International Programs, delivered testimony before the U.S. International Trade Commission. Kent Swisher, NARA President & CEO, joined her for meetings and agency outreach as part of a coordinated effort to address a critical trade concern affecting U.S. exporters.https://nara.org/wp-content/uploads/2025/12/Press-Release-NARA-Testifies-on-Mexicos-Discriminatory-VAT-on-U.S.-Feed-Ingredients-PDF.pdf
The core issue: Mexico continues to apply a 16% VAT on U.S.-origin rendered animal-protein meals and feed inputs—despite USMCA provisions guaranteeing duty-free market access. Meanwhile, comparable Mexican products are exempt from the tax. This imbalance operates as a de facto tariff, violates the spirit of the USMCA, raises concerns under GATT Article III, and undermines the competitiveness of U.S. businesses and their supply-chain partners.
As Dana stated during her testimony, “Effective enforcement is not optional—it is essential.”
After the hearing, Dana and Kent met with leaders at USDA, USTR, and on Capitol Hill to stress the urgency of resolving this VAT issue and securing fair treatment under the USMCA framework.
