Economic Complementation Agreement 55

By september 18, 2021Geen categorie

On 10 March 2015, the Governments of Brazil and Mexico concluded an agreement amending Supplementary Agreement 55 (ECA 55). A few days later, on 16 March 2015, Argentina and Brazil signed with Mexico the Fifth Additional Protocol to Annex I and the Fifth Additional Protocol to Annex II amending ACE 55 respectively. On 19 March 2019, Argentina and Mexico agreed to continue trading on the basis of allowances for a further three years. From March 19, 2019, the rate of car traffic between Mexico and Argentina will increase by 10% per year in the first year, 5% in the second year and 5% in the third year. Once this transition period is over, free trade in cars will enter into force at the same time as the extension and deepening of the Mexico-Argentina ACE 6. Brazil`s President Dilma Rousseff is grappling with an economic policy aimed at maintaining Brazilian GDP growth, while the country`s currency continues to instil. Brazil`s protectionist measures could in the future be to the detriment of the country`s status as a trading and investment partner. The renegotiation of ACE 55 is of concern to many potential partners. Under the Auto Agreement, countries negotiate annual bilateral import quotas for duty-free automobiles. Such annual quotas have been established between Mexico and Argentina; Mexico and Brazil; And Mexico and Uruguay. Negotiations on the agreement on the automotive sector, concluded on 5 July 2002 at the XXII Summit of MERCOSUR Presidents. The agreement signed on 27 September 2002 provides for free trade in cars from July 2011. Mexico agreed to limit the value of its automotive exports to Brazil to $US 1.45 billion (2012), US$1.56 billion (2013) and $US 1.64 billion in 2014.

Adaptations to the original agreement also include conditions to increase the quantity of auto parts in the Mexican auto industry from Latin America. The Mexican government said the export allocations would remain in effect for a period of three years, after which they would be removed. . . .