A major new trade agreement involving Mexico is raising hopes for juicy new export opportunities in some sectors, although others are wringing their hands. The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), previously called the Trans-Pacific Partnership or TPP and designated the TIPAT in Mexico, entered into effect December 30, 2018 for Mexico and five other of the 11 signatory countries. The initial group of six was joined by Vietnam on January 14. The remaining four continue to pursue parliamentary approval of the deal and are expected to join officially in the near to medium term. The pact updates trade rules and most importantly will reduce import tariffs between four countries in the Americas and seven countries in Asia, including Australia and New Zealand. Importantly, China and the United States are not participating in the CPTPP. Continue reading CPTPP opens trade opportunities for Mexico
Tag Archives: Trans-Pacific Partnership
South Korea and Mexico eye trade pact as Trump looms
Thanks to BDP Managing Partner José A. Jiménez for contributing the following post
Now that the Trans-Pacific Partnership (TPP) has been, for all practical purposes, ditched by U.S. President-elect Donald Trump, a wait-and-see phase has begun regarding what will happen to U.S. foreign trade policy once Mr. Trump assumes power on January 20, 2017 — particularly his threats to renegotiate the North American Free Trade Agreement (NAFTA) with Mexico and Canada, and impose prohibitive tariffs on imports from China. With this backdrop, Mexico and South Korea have pledged to move forward with the trade negotiations begun by the TPP and establish a formal trade agreement between the two countries.
On her visit to Mexico in April 2016, President Park Geun-hye of South Korea and Mexico’s President Enrique Peña Nieto reiterated their support for integration into the then expected TTP and signed a 17-point memorandum of understanding with the aim of strengthening bilateral economic relations. The cooperation agreements signed cover areas such as clean energy, technology, law enforcement, telemedicine and tourism, among others. The two countries further announced two new lines of credit, one for US$1 billion for electrical infrastructure development and another for US$200 million to finance Mexican suppliers of Korean industries. Continue reading South Korea and Mexico eye trade pact as Trump looms
Mexico eyes pros and cons of trade under TPP
In October 2015, officials from 12 countries bordering the Pacific ocean, including Mexico and the United States, reached agreement on the Trans-Pacific Partnership (TPP) trade facilitation accord. The text of the pact, which still must be approved by the participants’ parliamentary bodies, was released only this past November, opening debate on its merits to the sectors of the economy that may be affected by the deal in each country. Although Mexico, the United States and Canada have long enjoyed free trade under the North American Free Trade Agreement (NAFTA), the new agreement stands to impact North American relations by increasing access to trade with Asian TPP member nations. Continue reading Mexico eyes pros and cons of trade under TPP