Both efforts seek to take advantage of Asia’s advantage in the semiconductors and batteries needed for electric vehicles and promote production in North America. It was among the main issues discussed in the context and on the sidelines of the two countries’ High Level Economic Dialogue in the Mexican capital. “Key elements of semiconductor supply chains are already established in Mexico, with US-based companies such as Intel and Skyworks conducting research and development, design, assembly and manufacturing testing in parts of Mexico,” said US Secretary Antony Blinken. Blinken and US Commerce Secretary Gina Raimundo had spoken earlier in the day with Mexican President Andrés Manuel López Obrador about opportunities for Mexico to take advantage of recently passed US legislation that would provide $28 billion in stimulus to semiconductor manufacturing, $10 billion for new chip manufacturing and $11 billion for research and development. Lopez Obrador, for his part, outlined his plan to make the northern border state of Sonora a leader in the production of lithium, electric vehicles and solar energy, Mexican Foreign Minister Marcelo Embrad said. Lithium is a key component of batteries for electric vehicles. The president said last month that he had already discussed the idea with US President Joe Biden. Blinken said another piece of the new US legislation aims to incentivize the shift to electric vehicles and the production of the batteries needed in North America. Ebrard said it was a big opening for Mexico’s economy. “This means more jobs for Mexico, more integration,” Ebrard said. “We believe that Mexico could grow twice as much with what was proposed in Mexico today and that means we can reduce poverty even faster in our country and that Mexico’s infrastructure can grow faster.” The dialogue, which was started by then-Vice President Biden in 2013, resumed last year in Washington after stalling under the Trump administration. A global shortage of semiconductors has curbed production of cars, home appliances and other goods, fueling high inflation. Biden appeared at the future factory of a massive Intel factory in Ohio on Friday. Last month, López Obrador said the government had created the state-owned lithium company that would be responsible for exploring and mining the mineral. Mexico nationalized lithium production in May. Asked about the ongoing trade disputes between the US and Mexico in the energy sector, officials from both countries downplayed the differences and stressed that there is a separate process for resolving these disputes under their trade agreement and that it was not an agenda item for them the meetings. Before the talks, Assistant Secretary for Western Hemisphere Affairs Brian Nichols, who is also attending, said one of the priorities for the talks was promoting development in southern Mexico and Central America. Encounters by U.S. border agents with immigrants from the Northern Triangle countries — El Salvador, Honduras and Guatemala — were lower this year than last year, despite overall border encounters this year, according to data from U.S. Customs and Border Protection. USA. Encounters with Mexican immigrants were also higher for most of last year. Mexico has more recently avoided direct confrontations with migrants moving through its territory, instead regularly offering them temporary documents to ease pressure on its southern border. López Obrador has come under fire from some international and domestic organizations for moving the newly created National Guard into the Ministry of Defense. In many ways, the military already commanded the force — and paid its ranks — but it had been created as a political force. López Obrador criticized the UN and the Organization of American States for expressing concern over the move. Mexico continues to struggle with high rates of violence. On Friday, the United Nations Special Rapporteur on the human rights of internally displaced persons said violence related to Mexico’s drug cartels was the main force driving internal displacement. He called on the government to create an official register of the displaced, but said figures collected by non-governmental organizations suggested there were around 400,000. The talks come just days before Mexico celebrates its independence day, to which López Obrador has invited figures such as the daughter of revolutionary leader Ernesto “Che” Guevara and the father of Wikileaks founder Julian Assange. At López Obrador’s daily press conference on Monday, the president said he plans to submit a proposal to the UN aimed at ending Russia’s war in Ukraine. López Obrador, who did not join other countries in imposing economic sanctions on Russia, proposed the creation of a mediation commission made up of Pope Francis, the UN secretary-general and India’s prime minister, which would open talks between the presidents of Russia and Ukraine.
