"Purpose of your trip to Canada?"
Gasoline is selling for six pesos per liter across the border in Tijuana, which works out to about $2.50 a gallon, way cheaper than gas prices approaching $5 a gallon in San Diego County. Diesel fuel is cheaper still -- $2.19 a gallon.
All of this is a boon for James Blue's auto shop, located in a strip mall in the arid hills east of downtown San Diego. His business, Express Performance Center, installs extra-large fuel tanks in pickups and other work vehicles used for runs to fill up with cheap gas in Mexico.
"Buy some of Her Majesty's cheap gas."
Yes, I actually got away with that one in the spring of 1980. After President Reagan removed the price controls on U.S. produced new oil (it's too late in the evening to get into "old oil", "new oil", and "subject to windfall profit tax") that particular reason for a lunchtime trip to Canada went away.
The article explains the way in which the subsidized price rips up Mexico's economy.
There is another reason Mexicans do not like the American invasion of their filling stations. Even though Mexico is an oil exporter, it doesn't have the refinery capacity to turn enough of the oil into gasoline, and therefore imports much of its gas from the U.S. By subsidizing the fuel and reselling it to Americans at cut rates, the Mexican government loses twice.The same argument applies to Chinese subsidies to its steel industry, intention of exporting to the United States notwithstanding, or to any other national policy that might provoke allegations of "dumping".
As Dave Tufte notes, You Can't Make This Up.
Conjecture: if a trade practice is really "dumping" it hurts the dumping country more than it hurts the country being dumped on.
So ... get this ... they sell crude oil to the U.S. at the going rate, buys back gasoline at the going rate (about 1/3 higher), and then knocks over 40% off of that price to sell to consumers.
Taxpayers foot the bill.