USMCA Japanese Auto Supplier Case Resolved

The United States and Mexico announced the successful resolution of the Rapid Response Labor Mechanism (RRM) matter at the Fujikura Automotive wire harness facility in Piedras Negras.   A complaint alleged the firm was blacklisting workers from an American-owned trim plant shuttered in a prior RRM dispute.

After the United States requested that the Government of Mexico review the matter, Mexico conducted an investigation and undertook multiple remediation steps to ensure workers’ rights are protected at the facility.

“Through the RRM, we have advanced the fundamental right of workers to freely organize and support the union of their choice as enshrined in the USMCA.  This includes being free from discrimination by future employers for that union activity,” said Ambassador Katherine Tai. “I commend the Government of Mexico and Fujikura for their work to swiftly address this matter and their continued work to ensure former VU workers can find new employment and receive proper severance for their prior employment.”

Michigan-based soft-trim supplier Manufacturas VU closed its facility rather than comply with the labor relations terms imposed in a prior USMCA settlement.

Fujikura is a leading manufacturer of automotive components, particularly wiring harnesses, and supplies various OEMs (Original Equipment Manufacturers) in the automotive industry. Some of the OEMs that Fujikura supplies include Toyota, Honda, Nissan, Ford and General Motors.
 
Actions taken by the facility and the Government of Mexico to address the matter include:

• Fujikura posting and disseminating a neutrality statement and related guidelines at the facility, affirming its commitment to safeguarding the right to freedom of association;
• Fujikura representatives delivering trainings to all facility personnel on its neutrality statement and guidelines;
• The Government of Mexico delivering trainings on freedom of association and collective bargaining rights at the facility for workers;
• The Government of Mexico delivering trainings on freedom of association and collective bargaining rights for Human Resources representatives from all of Fujikura’s facilities in Mexico;
• The Government of Mexico delivering trainings on freedom of association and collective bargaining to the union delegates representing workers at Fujikura’s facilities in the state of Coahuila.

Background
 
The United States Trade Representative and the Secretary of Labor co-chair the Interagency Labor Committee for Monitoring and Enforcement (ILC).  On November 13, 2023, the ILC received an RRM petition from the Comité Fronterizo de Obreros, a Mexican workers’ rights organization.  The petition alleged that Fujikura Automotive Mexico is refusing to hire workers because of union activity at Manufacturas VU. 

The ILC determined, in response to the petition, that there was sufficient credible evidence of a denial of rights enabling the good faith invocation of enforcement mechanisms.   The Government of Mexico worked with Fujikura to implement facility-wide measures aimed at "reaffirming Fujikura’s commitment to respecting freedom of association and collective bargaining rights and strengthening all personnel’s understanding of these rights.":  

As a result of the above actions taken by the facility and the Government of Mexico to resolve the issue, the United States agrees that there is no ongoing denial of rights.  Ambassador Tai’s letter directing the Secretary of the Treasury to resume liquidation of entries of goods from the Fujikura facility is available here.

A copy of the request for review can be found here.
 
Information about previous requests can be found here.