Bipartisan Bill Bars Entry for Ships That Visited Expropriated Ports
A bipartisan group of senators, led by Sen. Bill Hagerty, R-Tenn., have introduced a bill that would prohibit entry into the U.S. of both cargo and passenger ships that call on a port that was expropriated. Passenger ships are described as those that carry at least 149 people, with sleeping quarters. It also requires the U.S. trade representative to report to Congress on what the U.S. position will be during USMCA review on such expropriations.
Sign up for a free preview to unlock the rest of this article
Timely, relevant coverage of court proceedings and agency rulings involving tariffs, classification, valuation, origin and antidumping and countervailing duties. Each day, Trade Law Daily subscribers receive a daily headline email, in-depth PDF edition and access to all relevant documents via our trade law source document library and website.
The Defending American Property Abroad Act, which has five co-sponsors, is in reaction to Mexico's plans to seize a port owned by Vulcan Materials Company, based in Alabama.
"No nation or president, and especially one of our largest trade partners, should be allowed to bully an American firm without consequences. Our legislation will help to undermine any attempt by AMLO to profit from his illegal actions and, in the event of a seizure, would strengthen our nation’s position in trade negotiations with Mexico," Hagerty said in a news release announcing the bill.
"Make no mistake -- President López Obrador’s scheme to seize Vulcan’s deep-water port would represent a flagrant expropriation of a lawfully permitted, U.S.-owned operation, and his administration’s assault on the rule of law is putting America’s and Alabama’s economic and national security interests in jeopardy," Sen. Katie Britt, R-Ala., said in the release. “We have repeatedly warned him that there will be substantial ramifications if his administration crossed this line. Our bipartisan Defending American Property Abroad Act makes it clear that we will keep our promises. The United States is prepared to meet President López Obrador’s illegal actions, which violate both Mexican and international law, with crushing consequences.”
Sen. Tim Kaine, D-Va., the sole Democrat on the bill, said he supports it because Vulcan employs more than 1,000 workers in Virginia.
"We must make it clear that this behavior will not be tolerated. On the heels of Mexico’s controversial judicial reforms, this behavior only further harms the economic relationship between our two countries, as well as global investor confidence in Mexico,” he said.