US-Mexico RRM: (16) Asiaway Automotive Components

October 23: USTR and US Department of Labor announced US request to Mexico to review whether workers in San Luis Potosí plant of Asiaway Automotive Components are being denied the right to freedom of association and collective bargaining. This was the first RRM request concerning a plant owned by a PRC investor. Request followed September 20 petition submitted by Mexican union La Liga Sindical Obrera Mexicana (LSOM) and the International Lawyers Assisting Workers Network (ILAW Network); petition alleged that Asiaway dismissed a worker in retaliation for undertaking union organizing activity. Links: text of US request; USTR letter to Treasury Department requesting suspension of customs settlement for imports of goods made in Asiaway plant; USTR press release; Department of Labor press release.

December 8: Ministry of Economy and Ministry of Labor and Social Welfare (STPS) announced successful conclusion of investigation of Asiaway Automotive Components. In the investigation, it was determined that certain actions on the part of Asiaway may have constituted a denial of right to freedom of association and collective bargaining, but during the investigation period, Asiaway carried out following remedial actions, in coordination with STPS:

  • Published and disseminated letter of neutrality and guidelines for its staff;

  • Provided training to all workers at the plant on neutrality charter and conduct guidelines;

  • STPS facilitated training for all workers at the plant on rights to freedom of association and collective bargaining;

  • Asiaway reinstated a worker who had been unjustifiably dismissed.

Accordingly Mexico concluded that the facts complained of were resolved within the USMCA period of 45 calendar days for internal review; governments of Mexico and US will examine closing of this case.

February 16 and 20, 2024: US and Mexican governments announced successful closing of case involving Asiaway Automotive Components. Links: press releases by USTR and Ministry of Economy/Ministry of Labor and Social Welfare. Letter from USTR to US Treasury requesting resumption of liquidation of imports from the Asiaway plant.