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In 2016, the EU and Mexico decided to modernise the EU-Mexico Global Agreement in a comprehensive and ambitious manner. Please take a moment to review these changes. The EU-Mexico FTA provides each party with guaranteed non-discriminatory access to certain procurement markets of the other. Mexico Free Trade Agreement (EU-Mexico FTA). The two sides reached an agreement in principle on the trade part in April 2018, complemented by commitments on public procurement in April 2020. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006. Joint Committee, special committees and other bodies’ meeting reports, More information about accessibility options, 20 years since the Global Agreement entered into force, Trade defence measures in force in Mexico, the EU's overall political and economic relations with Mexico. Disclaimer In view of the Commission's transparency policy, the Commission is publishing the texts of the EU-Mexico Agreement in principle announced on 21 April 2018. … New EU-Mexico agreement: The Agreement in Principle and its texts. The EU's key imports from Mexico are transport equipment, machinery and appliances, mineral products, and optical/photographic instruments. This new EU-Mexico trade agreement aims to be more wide-ranging and ambitious than its younger predecessor. The European Commission today announced that the EU and Mexico have concluded the remaining element of negotiation for a new trade agreement. The KPMG logo and name are trademarks of KPMG International. Putting joint ambitions into practice. The deal could have significant long-term economic implications for both entities . KPMG International and its member firms are legally distinct and separate entities. EU-Mexico trade in goods has more than tripled since the entry into force of the original agreement in 2001. In services, EU imports from Mexico are dominated by travel and transport services. For quick bites of information, follow our twitter feed @SIA_EUMexico, getting you all of your EU-Mexico GA SIA updates in 150 characters! On April 21 st, the European Union announced that it had reached an agreement in principle with Mexico on a new trade pact, which upgrades an existing agreement. Mexico and the EU have wrapped up four years of negotiation with a new free-trade agreement that will make virtually all trade in goods between the EU and Mexico duty free. This new agreement is the update of a previous one completed between the EU and Mexico in 2000, the EU-Mexico Global Agreement. In 2019, the EU was Mexico's second-biggest export market after the US. The legal revision of the agreement is now being finalised. The modernised trade agreement will help boost this strong historical growth. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. Decision Nº 1/2010 of the EU-Mexico Joint Committee of 17 September 2010 relating to Annex III to Decision Nº 2/2000 of the EU-Mexico Joint Council concerning the definition of the concept of originating products and methods of administrative cooperation : Full Text of the Agreement : Source:Secretaría de Economía de México; EUR-Lex La Unión Europea y México llegan a un acuerdo comercial. The facilities given by these trade agreements create a beneficial atmosphere for business relations between European and Mexican businessmen. All rights reserved. The EU and Mexico meet regularly to discuss issues and best practices relating to the implementation of the Trade Decisions under the Global Agreement. An agreement in principle with Mercosur countries was reached in June 2019, however this is subject to approval by the Council and European Parliament. We want to ensure that you are kept up to date with any changes and as such would ask that you take a moment to review the changes. The agreement includes: Mexico is the EU's number one trade partner in Latin America. The European Union and Mexico today reached a new agreement on trade, part of a broader, modernised EU-Mexico Global Agreement. The new EU-Mexico Free Trade Agreement (FTA) is important for Mexico in that it is a part of the country’s strategy to decrease its reliance on commerce with the United States. Mexico has two trade agreements with groups of European nations. Such services are provided solely by member firms in their respective geographic areas. The agreement in principle struck today brings the EU's trade relationship with Mexico into the modern era, tearing down most of the remaining barriers to trade. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. As for foreign direct investment, the EU is the second largest investor in Mexico after the US. These agreements form part of the instruments establishing the free trade area and are subject to the relevant disciplines for trade in goods in the main agreement. 3. The Commission’s response to the SIA’s findings and recommendations are in this Position Paper. Trade relations between the EU and Mexico are governed by the trade pillar of the EU-Mexico Economic Partnership, Political Coordination and Cooperation Agreement (also referred to as the 'Global Agreement'). The EU-Mexico Agreement is undergoing the necessary internal procedures on both sides, culminating in the signature and conclusion of the Agreement. The Global Agreement’s tra… For more information on this topic or to learn more about KPMGâs Trade & Customs Services, contact: Doug Zuvich Partner and Global Practice Leader T: 312-665-1022 E: dzuvich@kpmg.com, John L. McLoughlin Principal and East Coast Leader T: 267-256-2614 E: jlmcloughlin@kpmg.com, Andy Siciliano Partner and National Practice Leader T: 631-425-6057 E: asiciliano@kpmg.com, Steve Brotherton Principal and Global Export and Sanctions Leader T: 415-963-7861 E: sbrotherton@kpmg.com, Luis (Lou) Abad Principal, Washington National Tax T: 212-954-3094 E: labad@kpmg.com, Irina Vaysfeld Principal T: 212-872-2973 E: ivaysfeld@kpmg.com, Amie Ahanchian Principal T: 202-533-3247 E: aahanchian@kpmg.com, Christopher Young Principal T: 312-665-3229 E: christopheryoung@kpmg.com, Gisele Belotto Managing Director T: 305-913-2779 E: gbelotto@kpmg.com, George Zaharatos Principal T: 404-222-3292 E: gzaharatos@kpmg.com, Andy Doornaert Managing Director T: 313-230-3080 E: adoornaert@kpmg.com, Jessica Libby Managing Director T: 612-305-5533 E: jlibby@kpmg.com. Practically all trade in goods between the EU and Mexico will now be duty-free, including in the agricultural sector. The announcement was made in April and, once ratified, the pact will replace the existing EU-Mexico Global Agreement, which entered into force in 2000. EU-Mexico Agreement in Principle: Procurement Posted on April 24, 2018 by Jean Heilman Grier On April 21 st , the European Union announced that it had reached an agreement in principle with Mexico on a new trade pact, which upgrades an existing agreement. Texts of the agreement. This Agreement came into force in 2000 and covers political dialogue, trade relations and cooperation. You will not receive KPMG subscription messages until you agree to the new policy. EU and Mexico conclude negotiations for trade agreement, Progressive rules on sustainable development, such as a commitment to effectively implementing the Paris climate agreement, Measures on issues concerning investment protection. The necessity to replace the old agreement is justified by two reasons, namely the importance to include within the document aspects which go beyond trade and … The new agreement, once ratified, will replace the existing EU-Mexico Global Agreement. The agreement in principle. Twitter Feed. The two sides reached an ‘agreement in principle’ on the trade part of the modernised EU-Mexico Global Agreement in April 2018. Mexico and the European Economic Community (EEC) signed an agreement intending to foster economic and trade relations on 15 July 1975. Free Trade Agreements (FTAs) - enable reciprocal market opening with developed countries and emerging economies by granting preferential access to markets 3. In 1997 Mexico was the first country in Latin America to sign an Economic Partnership, Political Coordination and Cooperation Agreement (Global Agreement) with the EU. The EU-Mexico Trade Agreement recently concluded on April 28th after four years of negotiations. Association Agreements (AAs) - bolster broader political agreementsThe EU also enters into non-preferential trade agreements, as part of broader deals … Read the existing impact assessment on the EU-Mexico Global Agreement's trade pillar and other related publications to inform yourself and your contributions. © 2021 KPMG LLP, a Delaware limited liability partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. Agreements. According to the EC release, the new EU-Mexico trade agreement is to provide that practically all trade in goods between the EU and Mexico would be duty-free.The agreement includes: Progressive rules on sustainable development, such as a commitment to effectively implementing the Paris climate agreement The EU and Mexico are strategic partners. Free Trade Agreement between Mexico and the European Union (FTA EU-MX), is a trade agreement between the European Union and Mexico. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. Economic Partnership Agreements (EPAs) - support development of trade partners from African, Caribbean and Pacific countries 2. The EU-Mexico Global Agreement, including the existing trade agreement, is the legal basis of this partnership. A political agreement was found on 21 April 2018. #3 EU-Mexico Association Agreement. By 2020, bilateral trade had more than tripled in the 20 years since the Global Agreement entered into force. Here’s the deal: what the EU-Mexico trade agreement means for both parties. The European Union and Mexico in April 2018 reached a new agreement on trade, part of a broader, modernised EU-Mexico Global Agreement. EU-Mexico trade in goods has more than tripled since the entry into force of the original agreement in 2001. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. The new trade agreement also covers these areas. EU-MEXICO TRADE AGREEMENT . Rules and requirements for trading with Mexico. They contain slightly different provisions. The UK has signed a trade agreement with Mexico. Click anywhere on the bar, to resend verification email. Mexico will open more procurement to the EU than it has in any other free trade agreement (FTA). Mexico and the European Union (EU) have had a free trade agreement since 2000 and the two benefit from high investment flows.. The EU- Mexico FTA and the Mexico – EFTA- FTA offer great business opportunities, derived from its market size and the wealth of its population. Trade in agricultural products is covered in three bilateral agricultural agreements negotiated between the respective EFTA State (Iceland, Norway and Switzerland) and Mexico. The EU and Mexico have negotiated an updated free trade agreement, removing tariffs on almost all goods. Proudly powered by Weebly. Find out how KPMG's expertise can help you and your company. Find out about all the different areas of the new EU-Mexico trade agreement. Negotiations and agreements; More information on EU-Mexico trade relations Our privacy policy has been updated since the last time you logged in. EU services exports to Mexico consist mainly of business services, transport services, travel services, and telecommunications, computer and information services. Newly updated in 2020, the EU-Mexico FTA makes 99% of trade between Mexico and EU nations duty-free. Since the last time you logged in our privacy statement has been updated. We want to make sure you're kept up to date. This Agreement came into force in 2000 and covers political dialogue, trade relations and cooperation. Once the process is concluded, the agreement will be translated into all EU languages. Mexico also commits to enter negotiations with its states to open some of their procurement to EU firms by the time the agreement is signed. Get the latest KPMG thought leadership directly to your individual personalized dashboard. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. According to the EC release, the new EU-Mexico trade agreement is to provide that practically all trade in goods between the EU and Mexico would be duty-free. These provisions came into force in October 2000 and 2001, respectively. Key EU exports to Mexico include machinery and appliances, transport equipment, chemical products, and base metals. Trade agreements differ depending on their content: 1. After nearly two years, Mexico and the European Union (EU) have concluded negotiations of a new trade agreement. The Mexican government announced that the accord would offer the opportunity to diversify “our” exports and attract investment in … For the European Union, the Mexico agreements adds to deals struck with Japan and the Mercosur bloc of Argentina, Brazil, Paraguay and Uruguay, while trade tensions with the United States persist. Some of the key new features include: … In 1997, Mexico became the first country in Latin America to sign an Economic Partnership, Political Coordination and Cooperation Agreement (Global Agreement) with the EU. For Mexico, it is the second most important such treaty after the North American Free Trade Agreement (NAFTA). The European Commission hired an independent consultant to carry out a Sustainability Impact Assessment (SIA) to analyse the social, environmental and economic impacts of the new agreement with Mexico. In 1997, Mexico was the first country in Latin America to sign a partnership agreement with the EU. Protection of human rights, as well as chapters on political and development cooperation. Negotiations with Mexico on modernising the EU-Mexico Global Agreement started in June 2016. The EU was Mexico's third-largest source of imports in 2019, after the US and China. EU-Mexico trade in goods has more than tripled since the entry into force of the original agreement in 2001. KPMG International provides no audit or other client services. The Global Agreement’s trade provisions later developed into a comprehensive Free Trade Agreement, covering trade in goods and trade in services. The last outstanding element was the scope of the opening of their public procurement markets. For more detail about the structure of the KPMG global organization please visit https://home.kpmg/governance. During the EU-Community of Latin American and Caribbean States Summit of 2013, leaders decided to explore the options for a comprehensive update of the Global Agreement. Negotiations with Mexico started in May 2016. Please note that your account has not been verified - unverified account will be deleted 48 hours after initial registration. You will not continue to receive KPMG subscriptions until you accept the changes. After Brazil, Mexico is the second largest Latin American trading partner with the EU. Unless otherwise mentioned “EU” concerns for all indicated years the current European Union of 27 Member States. Total trade between the EU and Mexico currently stands at a total of € 79 billion. Practically all trade in goods between the EU and Mexico will now be duty-free, including in the agricultural sector. They concluded the final technical details on public procurement in April 2020. With this agreement, Mexico joins Canada, Japan and Singapore in the growing list of partners willing to work with the EU in defending open, fair and rules-based trade.” The Free Trade Agreement between the European Union and Mexico (FTA EU-MX) has contributed to reactivate the economic relations between them since they have implemented the global agreement that came into effect in the year 2000 and that has permitted that the economic and trade relations between both parties have strengthened. The European Union and Mexico have negotiated a new agreement on trade, as part of a broader, modernised EU-Mexico Global Agreement. Details of the published texts and the Agreement in principle. The Trade Aspects of the Global Agreement were adopted by Decisions 2/2000, which establishes a free trade area in goods and 2/2001, which establishes a free trade area …
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