The United States Chamber of Commerce (USCC) urged the empowerment of Mexican customs to better address counterfeit goods.

In a letter sent to the White House Trade Representative (USTR), the USCC urged the U.S. government to work with Mexico to improve its compliance framework under Chapter 20 of the USMCA. 

In addition, the Chamber encouraged Mexican lawmakers to introduce anti-counterfeiting legislation to empower customs to independently seize and destroy counterfeit goods and address the threat of small packages and online sales of counterfeit goods.

Mexican customs

Mexico has long faced challenges in combating illicit trade and counterfeit goods. 

The current Customs Law only gives authorities the power to initiate action, without the power to seize or destroy items that infringe intellectual property. 

Each suspicious shipment requires a warrant from the Attorney General’s Office for inspection and detention. 

“While administrative procedures can be helpful in identifying known infringers, they are costly and time-consuming,” the USCC said. 

As a result, rights holders are increasingly turning to the Specialized Unit of the Attorney General’s Office for criminal prosecution. However, the USCC noted that budget cuts have diminished the effectiveness of this unit in conducting raids and seizures.

Legislation

With respect to the T-MEC, the agreement establishes ex officio enforcement authority as a requirement, but neither the revised Industrial Property Law nor the revised Customs Law establishes clear and unambiguous ex officio authority for border police to act against goods suspected of infringing intellectual property. 

The revised Industrial Property Law retains the emphasis and power of seizures before the IMPI and the Customs Law simply states that any action taken by customs officials will be taken as “auxiliary” to the IMPI.