15 Apr What Countries Does Mexico Have Trade Agreements With
Since the early 1990s, Mexico has increasingly committed to trade liberalization and one of the most open trade policies in the world. Mexico has actively entered into free trade agreements with other countries to stimulate economic growth, but also to reduce its economic dependence on the United States. The United States is by far Mexico`s largest trading partner. More than 80% of Mexico`s exports go to the United States. To strengthen trade with other countries, Mexico has signed 11 free trade agreements with 46 countries.3 Mexico is a signatory to the Trans-Pacific Partnership (TPP), a proposed free trade agreement (FTA) signed on February 4, 2016 by 12 Asia-Pacific countries after eight years of negotiations. It would require ratification by Congress before it is effective. On January 30, 2017, the United States informed the other TPP signatories that it had no intention of ratifying the agreement, effectively ending the U.S. ratification process and the eventual entry into force of the TPP, unless the government changed its position. Mexico and other TPP countries have proposed to advance a free trade agreement without the participation of the United States4.Mexico and Uruguay began implementing their free trade agreement in July 2004, deepening an existing agreement. In addition to opening up trade markets, the free trade agreement includes provisions on services, investments, intellectual property rights, dispute settlement procedures, public procurement, rules of origin and customs procedures, among others. Mexico and the United States began NAFTA negotiations in the early 1990s. Canada then joined the negotiations and the three countries signed the agreement on December 17, 1992.
Before NAFTA came into force, Mexico had already concluded its first free trade agreement on goods, the free trade agreement between Mexico and Chile. NAFTA came into force with provisions much broader than the Free Trade Agreement in Chile, such as trade in services. B, public procurement, dispute resolution procedures and the protection of intellectual property rights. In 1999, the original text of the free trade agreement between the two and Chile was supplemented by broader provisions similar to those of NAFTA. Mexico`s initial motivation to pursue free trade agreements with the United States and other countries was to stabilize the Mexican economy, which in most of the 1980s encountered many difficulties with the considerable worsening of poverty.