First let me talk for a second about a sector that is very important in my part of the country: the auto sector. If a company cheats in an auto facility in a Mexican community and we find labor violations and we take action against that company, the action is not against just that company's facility in that community. If a company cheats its workers and has broken the law on any number of labor violations, that applies to any product that company ultimately sends in from any one of its factories in Mexico. It addresses sort of the Whac-A-Mole kind of attempts companies might have: Well, they cheat there, but they bring in products from somewhere else. We look at that in a pretty broad way. Fundamentally, it works this way: If we find a violation, first, there is a fine, and the fine is essentially proportionate to the violation, meaning that it is not as punitive. The first offense is not especially punitive. The second and the third offense get more serious. For the second offense, the fine is much greater--beyond proportionality, if you will. The third offense is when we step in and deny them NAFTA benefits, deny them access to our markets, and deny them the breaks they get under NAFTA at the border on the tariffs. So if it is a violation of labor law, by the third violation, the enforcement and the penalties are such that the companies are going to quit doing it. I mean, that is the whole point. I don't want to levy these fines.…
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