Last summer, we told you about how GM plant workers ousted the Confederation of Mexican Workers (CTM, one of the country’s most powerful) after 25 years while citing intimidation tactics. This development owed plenty to the U.S.-Mexico-Canada Trade Agreement (USMCA), which Trump signed as a regional trade deal to replace North American Free Trade Agreement (NAFTA).
The latest related development involves Mexico’s Tridonex auto plant, where workers voted on replacing their union amid claims that officials refused to fight for higher wages and benefits, all of which fell under the USMCA’s enforcement umbrella. In the end, these Tridonex workers chose to oust the CTM (thus ending a two-year battle against a notorious corrupt union) in favor of an independent union. It’s another early USMCA success, one that’s paired with reduced tariffs, which should translate to decreased production costs and higher profits for companies.