Tag Archives: Mexico

Mexico’s Auto Industry Outlook in the New Era of the USMCA and COVID-19

The automotive industry in North America is undergoing a time of unprecedented change as a result of the COVID-19 pandemic and the United States-Mexico-Canada Agreement (USMCA), which replaced the North American Free Trade Agreement (NAFTA) effective July 1, 2020. On top of the disruptions caused by the COVID-19 pandemic, the North American auto industry must contend with new rules of origin, labor value content (LVC) mandates, and steel and aluminum content requirements that are set forth in the new USMCA.

A recent webinar by the international business magazine Mexico Now examined how these issues are affecting the Mexican automotive industry in particular. During this webinar, valuable insights were provided by key industry figures. To read the full text of this Alert, which includes our summary of the webinar, please visit the firm website.

COVID-19 Pandemic Causes Compliance Delays for Mexico’s Anti-Money Laundering Law

The Financial Intelligence Unit (Unidad de Inteligencia Financiera) of Mexico’s Tax Administration Service (Servicio de Administración Tributaria) (SAT) issued a communication relating to potential delays in the compliance of the provisions set forth in the Mexican Anti-Money Laundering Law (Ley Federal para la Prevención e Identificación de Operaciones con Recursos de Procedencia Ilícita) as a consequence of the COVID-19 pandemic.

To read the full text of this Duane Morris Alert, please visit the firm website.

Personal Data Protection During the COVID-19 Health Emergency in Mexico

As a consequence of the COVID-19 health emergency declared by the Mexican government on March 30, many companies in the Mexican market have needed to collect information from their employees as a precaution against the spread of the coronavirus.

In Mexico, the Law on the Protection of Personal Data in the Possession of Private Parties (Ley Federal de Protección de Datos Personales en Posesión de los Particulares) regulates the right to informational self-determination. The law provides that data that may reveal information relating to the health of individuals be deemed as “Sensitive Personal Data.”

To read the full text of this Duane Morris Alert, please visit the firm website.

Mexico’s Federal Government Declares COVID-19 Health Emergency

On March 30, 2020, the Mexican federal government declared a health emergency and issued stricter rules aimed at containing the fast-spreading COVID-19 virus after the number of cases surged past 1,000 and the death toll rose sharply in the country. An important part of the statement made by the Mexican authorities relates to the classification of COVID-19 as a force majeure event, which may have an impact in contractual relationships throughout the country.

To read the full text of this Duane Morris Alert, please visit the firm website.

Mexican Labor Laws and COVID-19

The crisis brought about by the COVID-19 pandemic has affected virtually every sector of the international economy including transnational companies with a large presence in Mexico.

Companies with employees in Mexico are subject to the Mexican Federal Labor Law (FLL), which provides in certain situations for the temporary suspension of employment relationships. This entails the possibility for the employee to refrain from providing their services, and consequently, the possibility of the employer to refrain from paying the respective salary.

To read the full text of this Alert, which contains a summary of important provisions of Mexican labor law that should be considered in light of the current situation caused by the COVID-19 pandemic, please visit the firm website.

Mexican Federal Government Suspends Activities in Wake of COVID-19

Mexican Deputy Health Minister Hugo Lopez-Gatell announced on March 25 that Mexico’s federal government would suspend all nonessential activities beginning on March 26. The government has also asked the private sector to allow employees to work from home to slow the spread rate of COVID-19.

To read the full text of this Duane Morris Alert, please visit the firm website.

Temporary Border Closures Due to COVID-19 Between U.S. and Both Canada and Mexico

To limit the spread of the coronavirus, the United States has entered into joint initiatives with Canada and Mexico to temporarily close its northern and southern borders for all nonessential travel, effective March 21, 2020, for a 30-day period. Essential commercial activity will not be impacted.

To read the full text of this Duane Morris Alert, please visit the firm website.

Mexico’s Judicial System Responds to COVID-19 with Partial Shutdown

On March 19, 2020, a Mexican district court judge issued an order to the federal government to take all necessary measures to prevent the spread of COVID-19 and detect people who have the infectious disease.

Furthermore, Mexico’s Supreme Court said in a March 17 statement that it would suspend its regular court activities from March 18 to April 19 to contain the spread of COVID-19.

The country’s other federal courts followed suit with a similar preventative announcement later on March 17, suspending activities over the same time period “with the aim of avoiding the concentration of people,” the courts said in a separate statement.

To read the full text of this Duane Morris Alert, please visit the firm website.

What is the Meaning of the US- Canada and US-Mexico Temporary Border Closures due to the COVID19 Pandemic?

To limit the further spread of Coronavirus, the United States entered into joint initiatives with Canada and Mexico to temporarily close its Northern and Southern borders for all non-essential travel, effective March 21, 2020, for a 30-day period.  Essential commercial activity will not be impacted.

To read the full text of this post from Duane Morris attorney Teodora Purcell, please visit the Duane Morris Immigration Blog.