NDN Applauds High Level Economic Dialogue in Mexico

NDN applauds the creation of the US-Mexico “High Level Economic Dialogue,” which convenes today in Mexico City for its first meeting. The US delegation led by Vice President Biden includes Secretary of Commerce Penny Pritzker, Secretary of Transportation Anthony Foxx, Acting Secretary of Homeland Security Rand Beers, US Trade Representative Michael Froman, State Department Assistant Secretary for Economic and Business Affairs Jose W. Fernandez, Deputy Assistant Secretary for International and Foreign Language Education Clay Pell, US Department of Treasury Under Secretary for International Affairs Lael Brainard, and National Security Advisor to the Vice President Jake Sullivan. On the Mexican side, participants include Secretary of Finance Luis Videgaray, Secretary of the Economy Ildefonso Guajardo, Secretary of Communications and Transport Gerardo Ruiz Esparza, Secretary of Tourism Claudia Ruiz Massieu, and Secretary of Foreign Affairs José Antonio Meade. The impressive convergence of such an all-star cast of high-level officials illustrates the importance and the priority both countries are placing on this new collaborative initiative.

Presidents Obama and Peña Nieto established what will be an annual cabinet-level exchange to “further elevate and strengthen this dynamic bilateral commercial and economic relationship” during their meeting in May 2013. Today’s dialogue will focus on three areas: competitiveness and connectivity; economic growth, productivity and entrepreneurship and innovation; and partnering for regional and global leadership. Prior to the dialogue, private sector members of each country will also meet to discuss greater coordination in business and education initiatives.

Echoing the President and Vice President, Secretary Pritzker stated, “The US strategic relationship with Mexico is one of our most important in the world.” While the United States often focuses on the security collaboration across our shared 2,000 mile border, many do not realize what strides Mexico has made in the last two decades. GDP has tripled and Mexico is now ranked twelfth in the world in terms of purchasing power parity. Meanwhile, Mexico has become US’s third largest trading partner and second largest export market. Bilateral trade with Mexico has quadrupled to $535.9 billion in 2012, and 6 million US jobs alone depend on that trade. Meanwhile, the US efforts to increase its border security regime have successfully resulted in a dramatic decrease in illegal crossings and crime on the US side of the border. This bilateral trade explosion has thrived although the US has strengthened its security blanket.

This meeting comes at a particularly significant moment as we approach the 20 year anniversary of the passing of NAFTA. Participants look back on the success of the trade agreement that led to such regional economic growth, but also to what lies ahead, like the Trans-Pacific Partnership. A senior administration official said, “Mexico is not just a leader in the region, a partner with the United States, but increasingly a global partner of ours.” On Mexico’s growth and reform, Pritzker has also said, "It's going to create continued opportunities for the two countries to work together, both diplomatically and economically."

NDN has written extensively on the importance of US-Mexico relations. For more information, see our report “Realizing the Strategic National Value of our Trade, Tourism and Ports of Entry with Mexico,” as well as our border and immigration powerpoint presentation.