Last month, the U.S. and Mexico announced a formal course of remediation at four Mexico-based facilities under the Rapid Response Labor Mechanism (RRM) of the United States-Mexico-Canada Agreement (USMCA)—a tool that enables any interested party to petition the U.S. government to investigate alleged denials of workers’ rights within a 30-day review period. This marks the 12th time the two nations have jointly recommended remedial actions.
The petitions, filed on October 24, 2024, as well as April 11, June 12, and July 29, 2025, were brought to the Interagency Labor Committee for Monitoring and Enforcement (ILC) by a contingent of Mexican labor unions. Each petition alleges that the facilities in question threatened and dismissed workers due to their union activity, thus violating their rights to freedom of association and collective bargaining. Addressing the 2024 complaint against French auto parts maker Akwel’s Juárez plant, Former President Biden’s U.S. Trade Representative Katherine Tai stated: “With over 40,000 workers who have directly benefited from this tool, today’s action signals to the workers at Akwel that they are not alone in the face of employer interference.”
The change in administration does not appear to have reduced the U.S. government’s interest in using the RRM. Current U.S. Trade Representative Jamieson Greer plans to continue his predecessor’s implementation of the mechanism, albeit with different objectives. During the recent Davos proceedings, Greer called for a resurgence of a Hamiltonian industrial strategy that “protected our industry from foreign competition where that was necessary to unlock growth or to counteract unfair production conditions abroad.” His statements reflect the Trump Administration’s broader strategy of leveraging non-tariff measures like the RRM to diminish any competitive advantage Mexico or Canada might gain from unfair labor standards. It is also seen as a tool to alleviate downward pressure on U.S. wages in critical industries such as automotives, electronics, and aerospace.
Although efforts to protect American workers’ wages and revitalize domestic industries are admirable, the opaque, ill-defined nature of the RRM review process comes at a significant cost to unwitting employers and workers alike.
For instance, during the remediation process, the U.S. will often suspend liquidation of all unliquidated entries of goods from the facility accused of wrongdoing—meaning that this suspension can impact the admissibility and duty calculations of goods. The RRM does not require the U.S., Mexico, or Canada to notify the company of allegations prior to this suspension, leaving employers blindsided. Rarely are the companies involved in the development of the formal remediation planning process.
The invocation of enforcement mechanisms can also stretch on for lengthy, indeterminate periods of time. The ILC initiated the liquidation suspension on Akwel Juárez México within 30 days of receiving the petition on October 24, 2024, but did not announce a formal course of remediation until February 3, 2026.
These factors pose significant challenges to companies that wish to cooperate or remove the RRM stigma. A Brookings report noted just how strenuous the process can be for smaller companies, citing an instance in which one company had to close during the review. The very workers the RRM seeks to protect were unemployed as a result.
In an October 2025 letter, the Chamber advocated for small updates that would resolve some of these issues: first, giving companies 24 hours’ notice of the RRM petition before the news, and second, giving the targeted employer the opportunity to respond within a fair timeline. Additionally, the Chamber underscored the importance of involving companies in the remediation planning process to foster collaboration and enhance their capacity to navigate and address the process effectively.
The Bottom Line: With the mandatory USMCA joint review on the horizon, it is incumbent on the administration and Congress to push for minimal but much-needed reforms to the RRM that enhance transparency, establish clear timelines, and ensure companies are informed and able to respond effectively throughout the process.
