Kaine & Hagerty Urge Mexican Government to Cease Unfair Treatment of U.S.-Based Vulcan Materials Company

WASHINGTON, D.C. – Today, U.S. Senator Tim Kaine, the Ranking Member of the Senate Foreign Relations Subcommittee on the Western Hemisphere, (D-VA) and U.S. Senator Bill Hagerty (R-TN) pressed Mexican Secretary of Economy Ebrard Casaubon to address the country’s unfair treatment of the U.S.-based Vulcan Materials Company, which has operated in Mexico for decades and supports thousands of jobs in both countries. The Mexican government has made efforts to expropriate property from Vulcan, which would both interfere with its ability to do business and undermine the crucial economic ties between the U.S. and Mexico.

“As you know, Vulcan Materials Company, a global leader in construction materials based in Alabama, has been operating in Mexico for over three decades … supporting thousands of jobs in Mexico and across Virginia and Tennessee,” wrote the senators in a letter to Secretary Casaubon. “However, recent efforts by the Mexican government to expropriate Vulcan property undermine efforts to strengthen these ties, as they create a perception of unpredictability toward foreign investments. The Mexican government’s actions against Vulcan are a critical blow to investor confidence under the U.S.-Mexico-Canada Agreement (USMCA).”

“We strongly urge the Mexican government to reconsider its actions against Vulcan and to work with the company toward a resolution that respects the rights of foreign investors and Mexico’s commitments under international agreements. By doing so, Mexico would demonstrate its commitment to honoring the principles of respect, transparency, and legal certainty that foster a stable and welcoming environment for all businesses,” the senators continued. “We understand Vulcan remains ready and willing to negotiate with you to reach an amicable solution. In the interest of reaching such a solution, we would encourage your Government to cease unfounded public accusations against the company as you work to resolve the issue. A balanced and fair approach to foreign investment will help ensure that both the U.S. and Mexico can continue to prosper.”

Kaine and Hagerty have long advocated for protecting American businesses abroad from having their lawful activity encroached upon by foreign governments. In May 2024, Kaine and Hagerty, alongside Senators Tommy Tuberville and Katie Britt (both R-AL), penned a letter to Mexico’s then-foreign minister Alicia Bárcena to first raise their concerns over the Mexican government’s attempts to forcibly take over Vulcan’s port and limestone quarry. In September 2024, Kaine, Hagerty, and several of their Senate colleagues introduced the Defending American Property Abroad Act to impose penalties on countries within the U.S.-Mexico-Canada Agreement (USMCA) that seize American companies’ property, ignore lawful contracts, or engage in other behavior that interferes with land owned by U.S. companies. In December 2024, Kaine and Hagerty participated in a colloquy on the Senate floor to discuss the importance of preventing the Mexican government from expropriating Vulcan’s lawful assets.

Full text of the letter can be found here and below.

Dear Secretary Ebrard Casaubon,

We are contacting your government to address the unfair treatment of Vulcan Materials Company (Vulcan) by the Government of Mexico.

The United States and Mexico enjoy a strong economic partnership and benefit from deep economic integration. U.S. companies support growth and job creation throughout Mexico. We are committed to helping maintain and build this relationship.

As you know, Vulcan Materials Company, a global leader in construction materials based in Alabama, has been operating in Mexico for over three decades. The firm has employed hundreds of people in Mexico and contributes to local economic development. Vulcan’s investment in Mexico highlights the mutual benefits of cross-border economic relations and plays a vital role in its broader business operations, supporting thousands of jobs in Mexico and across Virginia and Tennessee. However, recent efforts by the Mexican government to expropriate Vulcan property undermine efforts to strengthen these ties, as they create a perception of unpredictability toward foreign investments. The Mexican government’s actions against Vulcan are a critical blow to investor confidence under the U.S.-Mexico-Canada Agreement (USMCA).

We strongly urge the Mexican government to reconsider its actions against Vulcan and to work with the company toward a resolution that respects the rights of foreign investors and Mexico’s commitments under international agreements. By doing so, Mexico would demonstrate its commitment to honoring the principles of respect, transparency, and legal certainty that foster a stable and welcoming environment for all businesses.

We are ready to work with you to strengthen the bonds between our countries and sincerely hope that the Mexican government will take the necessary steps to address our bipartisan concerns. We understand Vulcan remains ready and willing to negotiate with you to reach an amicable solution. In the interest of reaching such a solution, we would encourage your government to cease unfounded public accusations against the company as you work to resolve the issue. A balanced and fair approach to foreign investment will help ensure that both the U.S. and Mexico can continue to prosper.

We appreciate your time and attention to this urgent matter. We look forward to hearing your thoughts on how we can work together to resolve these concerns in a mutually beneficial manner.

Sincerely,

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