News & Updates

President Trump’s Visit to San Diego

In his first visit to California since taking office, President Trump, toured the border wall prototypes. In a statement regarding this visit, Chamber President and CEO Jerry Sanders highlighted that trade between the U.S. and Mexico surpasses $1.4 billion per day, 80 percent of which crosses the U.S.-Mexico land border every day. The Chamber’s focus has been on improving border infrastructure, and looks forward to “the opportunity to continue conversations with the Administration about the critical infrastructure projects lacking funding which benefit both security and trade.”

At the Chamber, our mission as champions for cross-border commerce has never been more critical. Home to the busiest land port of entry, our Cali-Baja region has a thriving economy and will continue to do business together regardless of a wall. Focused on funding infrastructure to move legitimate trade, we believe that to increase border security we need to increase efficiency. We continue to lead international trade initiatives, policies, and joint projects such as the Otay Mesa East Port of Entry, Unified Cargo Inspection, Cross-Border Railway, and free trade agreements to promote regional and national economic growth and job opportunities.

To learn more about border infrastructure priorities and projects, click here. To read Jerry Sanders’ full statement regarding President Trump’s visit, click here.

BTA Meetings in South Texas

Earlier this month, VP Paola Avila traveled to McAllen and Brownsville, Texas, as Chair of the Border Trade Alliance to foster deeper collaboration on cross border trade related policy issues including NAFTA. She met with the Mayor of McAllen, executives from the Pharr International Bridge, the City of Harlingen and EDC, the Port of Harlingen, and the Port of Brownsville.

While in Brownsville, she toured the port and spoke at a press conference at the Veteran’s International Port of Entry, celebrating the ground breaking for a new FAST lane to expedite commerce through the region. Avila additionally met with area business leaders and CBP’s David Higgerson, Director of Field Operations, and Bradd Skinner, Assistant Director for Trade Operations.

Steel and Aluminum Tariffs Impact

President Trump signed two proclamations levying tariffs on aluminum and steel imports with exemption of Mexico and Canada. In the week leading up to the signing, the Chamber reached out to targeted members to analyze the impact and gather information to convey to the Department of Commerce. Regardless of the exclusions, these tariffs will have a negative impact on our local and national economy. We continue to work with the administration to convey information and seek additional exemptions.

While there are approximately 140,000 jobs in the steel manufacturing industry, more than 6.5 million jobs rely on steel components, a third of which are imported. The unintended consequences are significant and far reaching. California is among the top five states that import steel. With an imposed tariff on steel imports, any benefit that California companies might receive from recent tax cuts will be nullified with increased costs. These costs are then passed on to the American customer on a wide variety of products such as cars, appliances, and houses. Furthermore, it is also likely that other countries including main trading partners, will take retaliatory action on U.S. exports resulting in additional U.S. job loss.

The 25 percent tariff on imported steel and a 10 percent levy on imported aluminum is expected to take effect before the end of the month.

NAFTA Negotiations Continue

Round seven of the NAFTA talks concluded March 5th in Mexico City with three additional chapters concluded: Good Regulatory Practices, Administration and Publication, and Sanitary and Phytosanitary Measures. Work was also completed on sectoral annexes related to chemicals and proprietary food formulas, and substantial progress was made on the Telecommunications and Technical Barriers to Trade chapter. Negotiators also agreed on including an additional chapter on energy.

As negotiations continue, six out of the thirty chapters in the agreement have been concluded. U.S. Trade Representative Robert Lighthizer stated that he is open “to compromise” on U.S. proposals in hopes of an updated agreement through the current Congress, but is prepared to seek separate agreements with Mexico or Canada if the U.S. walks out of NAFTA.

Round eight of negotiations is expected to be held in Washington in April.

Tijuana River Valley

Kenia Zamarripa, Chamber Director of International Business Affairs, was appointed to a two-year term on the eleven member Citizens Forum under the International Boundary and Water Commission. , In her role on the forum, Zamarripa will be pushing to minimize transboundary pollution on the Tijuana River Valley and promote the exchange of information between the IBWC and the community. This issue is a priority for the Chamber on the upcoming delegation trip to Mexico City taking place April 15th to 18th.

Additionally, in a meeting hosted by the Mexican Consulate in San Diego, Zamarripa and VP Paola Avila met with NAD Bank and stakeholders from both sides of the border to review and discuss current and future efforts and actions to reduce transboundary pollution. Five different issues have been identified and targeted in a work plan including: sediments, water treatment plant maintenance, and water recycling. The Chamber continues to promote binational collaboration seeking to minimize pollution, and is assisting in the development of a communications plan to increase stakeholder awareness.

For updates on the IBWC’s current work plan or progress on the Tijuana River Valley transboundary pollution, please visit their website.

For more information and to register to the Chamber’s upcoming Delegation Trip to Mexico City, please visit: https://sdchamber.org/event/mx2018/

13th Annual Binational Delegation to Mexico City

From international trade to the wall, the U.S. and Mexico relationship and our Cali-Baja region is at the forefront of the national political stage. With this has come a growing uncertainty for the future of our binational relationship. As a national model for productive and collaborative cross-border trade and commerce, it is critical that Cali-Baja leaders voice our support for the policies and projects that will continue to strengthen our cross-border communities.

This year’s Binational Delegation to Mexico City will take place April 15th to 18th, 2018. The Four Seasons Hotel, through our continued partnership, will provide a discounted rate for our delegation. Aside from networking with elected officials and leaders from both sides of the border, here are some other highlights and high-level meetings to expect from the trip:

  • Luncheon with Mexican Senators
  • Meetings with government officials to address the transboundary sewage problem in the Tijuana River Valley
  • Panel discussions on NAFTA, Mexico’s energy sector, and workforce development
  • Breakfast with Mexican Members of Congress
  • Private tour of Carlos Slim’s art collection at the Soumaya Museum, and a tour of the Frida Kahlo Museum
  • And an inside look at Mexico’s historic 2018 presidential elections from national pollsters Lorena Becerra and Alejandro Moreno, covering the election for the city’s leading newspapers

Delegates will also enjoy many networking opportunities to strengthen business and political relationships.

Please visit our website to register and for event details, including flights, and hotel reservations.

Chamber Participates in San Diego and Mexicali MOU Signing

On March 2nd, Mayor Kevin Faulconer, along with Jerry Sanders, met with Mexicali Mayor Gustavo Sanchez to expand binational collaboration between the two cities. A Memorandum of Understanding was signed by both Mayors and Jerry Sanders signing as a witness, committing to generate, promote, and strengthen cross-border commerce between the two cities. Mexicali is the capital of Baja California and is home to just over one million people, located across the border from Calexico. The Chamber is lobbying for funds to improve the Calexico Port of Entry, in recognition of its positive economic impact to Mexicali and our binational region as a whole.

The meeting agenda also included a tour of Skyworks Solutions, an American based technology Company with a manufacturing facility in Mexicali and an office in San Diego. Skyworks Solutions is one of many companies with facilities on both sides of the border which have leveraged NAFTA to expand their business, creating more jobs and growing the binational economy. Following the tour, a meeting was held with more than ten different Mexicali business organizations where attendees learned that they had much in common and much to learn from each other. Jerry addressed the group stating “we want to connect and collaborate, this partnership is so strong because of what each of us adds to it.”

Mayor Faulconer stated “San Diego and Mexicali are setting an example for how two cities can come together across international boundaries for the good of their citizens. I look forward to collaborating with Mayor Sanchez on issues that matter to our residents such as border infrastructure, public safety and trade.” Both Mayors will be joining the Chamber Delegation Trip to Mexico City in April.

Chamber Leads Press Call Pushing for a Legislative Solution for Dreamers

Chamber President Jerry Sanders led a press call discussing the negative impact the dissolution of DACA would have on our labor force. Business and community leaders called on Congress to pass legislation that provides permanent protection for Dreamers. To underscore the important fact that immigrants make up nearly one-third of San Diego County’s workforce, Sanders stated “we need the hard working Dreamers – taking them out of the economy would be disastrous for our regional economy.” He further explained that immigration is crucial to economic growth and Dreamers helping create jobs by starting new businesses and enabling us to be globally competitive: “we must welcome talented individuals rather than turning them away.”

In a recent CNN poll, 84 percent of respondents said they were in favor of DACA, including 72 percent of republicans, 82 percent of independents, and 96 percent of democrats. Almost two-thirds also ranked the program as an extremely or very high priority for Congress. For CNN’s story on DACA and poll results, visit their website. For full poll results, please click here.

The DACA program was scheduled to end March 5 as mandated by President Trump. However, in September 2017, attorneys on behalf of the University of California President and the UC system filed a lawsuit against President Trump’s administration in opposition to his decision to eliminate DACA. As a result, a nationwide judicial order in January required the Administration to resume renewals for DACA recipients.

The Chamber continues to advocate for a permanent solution for Dreamers and a comprehensive immigration reform.

Case-Shiller Index

Home prices in the San Diego region rose 7.4 percent in the past year, according to the latest data in the S&P CoreLogic Index released February 27th. Only Seattle, Las Vegas, San Francisco, and Los Angeles had larger increases in the 20-city index. Home prices continue to rise substantially faster than inflation in metropolitan areas across the nation. Experts point to a lack of supply as the driving factor. The S&P CoreLogic Index is widely viewed by economists as the gold standard metric for housing prices as it evaluates home prices by tracking repeat sales of single-family houses as they turn over through the years.

Water Reliability Coalition Hosts Workshops on Rate Reform

The Water Reliability Coalition, of which the Chamber is a co-chair, hosted the first of two workshops on water rate reform on March 1. These educational events aim to inform the diverse coalition and members of the public on how to incentivize water conservation while keeping cities fiscally stable. The second workshop, on April 5, will be focused on exploring different water rates. Attendance is free, but please register here.