The RV Industry Association Responds To USTR’s Request For Comments On Trade Of Automotive Goods Through The USMCA

The Office of the United States Representative (USTR) and the Interagency Committee on Trade in Automotive Goods recently requested comments from automotive producers, labor organizations, and other interested parties on different aspects of the United States-Mexico-Canada Agreement (USMCA) regarding automotive goods.

In particular, the USTR and Interagency Committee have asked for comments on the impact, relevance, enforcement, and overall effect of automotive rules of origin on automotive and parts producers, as well as any other topics relevant to USMCA’s trade in automotive goods.

In response to receiving USTR’s personal request for feedback from the RV industry, the RV Industry Association has expressed its support for the Biden Administration’s focus on implementing the USMCA and continuing the North American market. However, the RV Industry Association has also described some of the ongoing challenges that directly impact the industry’s ability to manufacture for the Canadian and Mexican markets, stating that Association members continue to report ongoing delays both at ports and with domestic rail. They also are reporting costs that are consistently five times higher than pre-pandemic levels.

Additionally, while the RV industry sources domestically whenever possible, the RV Industry Association noted that the RV manufacturing sector depends on the Generalized System of Preferences (GSP) program for sourcing required materials for U.S. manufacturing. The long-term expiration of the program is costing the sector over $1 million a month.

The RV Industry Association urges the Administration to continue to focus on solving the ongoing port and rail crisis, and to work with Congress on a long-term GSP renewal as quickly as possible.

The United States is the world’s largest producer of RVs, producing twice as many RVs as the rest of the world combined. In 2020, over 95 percent of all U.S. RV exports were to Canada, accounting for nearly 10 percent of all United States RV shipments—almost 30,000 RVs with a wholesale value of $884 million. Mexico, while far behind Canada, is also a top recipient country for RV shipments. The Association stated that maintaining these export relationships is vital to ensuring that the uniquely American RV industry continues to thrive during a challenging time for manufacturers.

For questions, contact the RV Industry Association’s Senior Manager, Samantha Rocci, at srocci@rvia.org.

View the RV Industry Association’s full comments here.