Volume 6, Number 15, Page 4

Proposed Elimination of 80 percent of Mexican Chemical Sector Tariffs

In light of new free trade agreements with the EU, Mexican industrialists in the chemical industry have arranged to negotiate lowering up to 80 percent of individual tariffs on more than 400 goods within the chemical sector. The National Association of the Chemical Industry (ANIQ), representing the 230 most important chemical industries, has proposed forming three working groups to study the terms of lowering duties. 80 percent of tariffs would be eliminated immediately (the same day as the agreement is signed) and the other 20 percent of tariffs on remaining goods (280 products) to be eliminated within a period of 10 years. ANIQ indicated that a similar scheme was applied during negotiations conducted with Canada and the U.S. upon the signing of NAFTA. ANIQ also emphasised that the agreement should be negotiated in a balanced manner and that the opening of the market be dealt with gradually. Finally, ANIQ stated that the commercial agreement it has with the EU will help diversify Mexico’s foreign trade, as well as increase European confidence in investing in Mexico.

Compiled from wire sources and translated by Manuel Mascarenas.