Trade body lobbies US government over Mexican tariffs on cosmetics

By Guy Montague-Jones

- Last updated on GMT

Related tags Personal care products Federal government of the united states International trade

Personal Care Products Council (PCPC) is lobbying the US government to resolve its trading dispute with Mexico and liberate the American cosmetics industry from the burden of tariffs.

Last month the Mexican government responded to a decision to prevent Mexican trucks from traveling north of the border by imposing tariffs on certain US goods.

US cosmetics manufacturers have been hard hit by the trade restrictions, which have left other industries unscathed.

According to the Mexican government, the tariffs apply to only $2.4bn worth of trade between the two countries, out of a $368bn total.

Impact of tariffs on US cosmetics manufacturers

However, the PCPC said the tariffs affect virtually all personal care products entering Mexico from the US.

PCPC executive VP, global strategies, Francine Lamoriello, said: “Mexico’s recently imposed tariffs affect virtually all personal care products including makeup and skincare, manicure and pedicure preparations, shaving-related goods, hair care products, oral care, deodorants and antiperspirants.”

Mexico is an important market for US cosmetics manufacturers. It is the third biggest export market for US personal care products, behind Canada and the UK, and is worth more than $300m.

Trade body calls for speedy resolution

PCPC is therefore urging the US administration to resolve its differences with the Mexican government on cross border trucking commitments.

“In particular, the Administration and Congress should seek to immediately eliminate the 15 percent tariffs recently imposed by Mexico on U.S. manufactured products, specifically personal care products,”​ said Lamoriello.

The Mexican authorities claims that by preventing its trucks from entering US territory the US government is violating the terms of the North American Free Trade Agreement (NAFTA).

The Obama administration has promised to work with the Congress to find a solution to the impasse.

PCPC said it is actively engaged with foreign industry bodies, foreign governments and the US government to advocate free trade policies in the interest of product development, marketing and jobs.

Related topics Market Trends

Related news