March 25 (Reuters) - A U.S. judge on Monday ruled that

the Mexican government could move forward with a lawsuit

accusing five Arizona gun dealers of participating in the

trafficking of weapons and ammunition to Mexican drug cartels.

U.S. District Judge Rosemary Marquez in Tucson rejected

arguments that a U.S. law that provides the firearms industry

broad protection from lawsuits over their products' misuse

precluded Mexico's claims against the gun dealers.

Those dealers - Diamondback Shooting Sports Inc, SnG

Tactical LLC, Loan Prairie LLC, Ammo A-Z LLC, and Sprague's

Sports Inc - argued the federal Protection of Lawful Commerce in

Arms Act (PLCAA) shielded them from the lawsuit Mexico filed in

2022.

Marquez said Mexico makes plausible claims that are exempt

from PLCAA protection, including that the five companies

violated various U.S. firearm-related laws, causing harm to the

foreign nation.

Mexico alleged that the gun dealers facilitated the

trafficking of military-style assault weapons like the AR-15 and

ammunition to cartels through reckless and unlawful practices,

including firearm sales to straw purchasers who illegally bought

them for others.

While the judge allowed much of the lawsuit to move forward,

she dismissed several of Mexico's individual legal claims,

including that the companies violated U.S. racketeering law and

created a public nuisance.

Lawyers for Mexico including Jonathan Lowy, president of the

U.S.-based gun control advocacy group Global Action for Gun

Violence, said they looked forward to proving their case in

court.

"Today's ruling is a huge step forward in holding the gun

industry accountable for its contribution to gun violence, and

in stopping the flood of trafficked guns to the cartels," Lowy

said in a statement.

Defense attorneys did not respond to requests for comment.

Mexico sued the Arizona dealers days after a federal judge

in Boston dismissed a $10 billion lawsuit it filed in 2021

seeking to hold several U.S. gun manufacturers responsible for

facilitating weapons trafficking across the U.S.-Mexico border.

A U.S. appeals court in January revived that lawsuit against

manufacturers including Smith & Wesson Brands ( SWBI ), and

Sturm, Ruger & Co. ( RGR ) The manufacturers are planning to ask

the U.S. Supreme Court to hear their appeal.