President Enrique Peña Nieto participated in Panel Number 10: Redesigning Commerce of the CEO Summit currently underway in Peru, within the framework of the Asia-Pacific Economic Cooperation (APEC) Leaders’ Meeting.
Mexico’s trade liberalization began just 30 years ago, with its entry into the General Agreement on Tariffs and Trade (GATT) in 1986, and has continued uninterruptedly ever since.
Mexico has 12 FTAs with 46 countries, 32 agreements for the promotion and reciprocal protection of investments as well as six economic complementation agreements and three partial agreements.
The benefits of this trade liberalization are evident: Mexico is currently the leading exporter in Latin America and the 15th largest worldwide.
“NAFTA has undoubtedly been a key instrument. Mexico is a strategic partner for the United States, as the United States is for Mexico”.
Both nations have significant trade, reflected in the million dollars traded every minute between Mexico and the United States.
Of every dollar that Mexico exports, 40 cents are inputs from the United States, which means that, on both sides, in both countries, job creation is behind these figures.
"The perspective Mexico has on the NAFTA is that, in the end, both Mexico and the United States and Canada are a North American region that has been consolidated as one of the world’s major logistic hubs, which also has great potential to become one of the most competitive, productive regions in the world”. EPN
Actions for economic integration
- Redesign the system to democratize the benefits of free trade. The fundamental challenge is therefore to make trade more inclusive, by incorporating more businesses, sectors and regions.
In order to move towards an inclusive model of economic integration, countries will have to perform two tasks:
1. Design plurilateral and multilateral trade agreements that incorporate issues to make trade more inclusive.
At the plurilateral level, agreements such as the TPP and the Pacific Alliance include Small and Medium Enterprises (SMEs), connectivity, electronic commerce and capacity building.
At the multilateral level, it is essential to support the World Trade Organization (WTO) so that it continues to be the forum that benefits less developed countries, advancing issues such as the elimination of agricultural subsidies and programs to help them trade on equal terms with more developed countries.
2. Each of the economies must adapt its institutional framework to promote the benefits of free trade because this is not sufficient on its own to meet the needs of our populations.
Mexico has placed special emphasis on continuing to ensure a stable economic environment, with sound public finances, an autonomous monetary policy, exchange rate flexibility; and a robust banking system.
This has been complemented by the establishment of Special Economic Zones to achieve balanced regional development.
“We believe in openness, integration and globalization as a vehicle that should provide development, opportunity, growth and success stories.
I want to make it quite clear that Mexico will remain a fervent believer in trade liberalization. For Mexico, this has involved a change in the paradigm and the development of our country over the past 30 years”: EPN