AMOTAC National Strike Puts Pressure on Federal Authorities
After repeatedly having their petitions ignored by federal authorities, the Mexican Alliance of Carrier Organizations (AMOTAC) began a national strike in attempt to compel authorities to respond to their outstanding demands. The movement comes at a time when Mexico is attempting to position itself as a key logistics and supply chain management hub; if prolonged, the strike could undercut foreign investment.
“[The federal authorities] have forgotten that the Transportation [industry] moves all the merchandise necessary for the development of industry, as well as the basic basket of household [goods], in addition to the fact that we are a sector that generates many jobs and a very considerable economic benefit,” reads the text.
This movement follows last year’s disaggregated manifestations throughout the country, which ultimately concluded without redress from the corresponding federal authorities. Today, the AMOTAC has coalesced worker demands and directed a collective effort to constrain national mobility and transportation, a tactic they expect will pressure the Ministry of Infrastructure, Communications and Transportation (SICT) agency to initiate a negotiation dialogue.
From the northern state of Nuevo Leon to the Yucatan peninsula Mexican, carriers are manifesting to bring attention to their most prominent demands: worker security, abuses from authority figures and exorbitant operating costs. The grassroots organization began its slow march towards Mexico City this morning where they expect their 12 demands to be addressed by federal authorities. On the ground, cities across the country are reporting traffic jams, lane reductions and blockages, promoting authorities to dispatch state police and the national guard.
Presenting a unified front, the organization has effectively constrained mobility and transportation on vital logistical corridors throughout the country, without mention of how long the strike would last. Irrespective of its duration, however, it points to serious shortcomings on behalf of national authorities which could undermine investor confidence in a sector that brought in over US$200 million in investment and jobs in 2021, according to MBN expert contributor Carlos Godinez, VP Sales and Marketing, Transplace.
Still ahead is a “perfect storm of challenges brewing across the US and Mexico supply chain,” said Godinez. Pointing to common uncertainties such as longer running peak seasons, talent scarcity and a changing regulatory landscape, which ultimately stand to hurt the competitiveness of Mexico in the long term.