Corn Products International v.

The United Mexican States

Corn Products International, Inc., a U.S. corporation, filed a notice of arbitration against
Mexico under the ICSID Additional Facility Rules on behalf of itself and its wholly-owned
subsidiary, Arancia Corn Products, S.A. de C.V., a Mexican company.
Corn Products claims that its investments in the high fructose corn syrup industry in Mexico
have been adversely impacted by Mexico's 2002 adoption of a tax on high fructose corn
syrup. Corn Products alleges that the tax is aimed at protecting Mexico's domestic sugar
producers and excluding high fructose corn syrup from the soft drink sweetener market.
Corn Products asserts that Mexico's tax on high fructose corn syrup violates the national
treatment obligation under NAFTA Article 1102, the prohibition on performance
requirements in NAFTA Article1106 and the prohibition on indirect expropriation in NAFTA
Article 1110. Corn Products seeks damages in excess of $325 million.
The tribunal sided with Corn Products and found that the tax violated NAFTA's national
treatment provisions by discriminating in favour of domestic cane sugar producers, the
company said.
Archer Daniels was a similar case.
Corn Products had agreed to terminate litigation still pending after the award, and to waive
post-award interest costs in order to prompt Mexico to make the payment, the company said.
In context of the memorial it is used to establish that there cant be retaliatory action without
any instigating action