In 2018, Mexico and the European Union reached an « agreement in principle » to update their trade agreement, which replaces the 2000 EU-Mexico economic partnership. The new agreement allows EU companies to sell more services to Mexico and commits to protecting workers` rights and the environment. The free trade agreement covers trade in industrial products, fish and seafood. One of the objectives of the agreement is the phasing out of tariffs. It covers not only trade in goods, but also covers trade in services, investment and public procurement in its scope. When the North American Free Trade Agreement came into force on January 1, 1994, it began with an exit from most tariffs on trade between Mexico, Canada and the United States. NAFTA establishes rules allowing duty-free trade in goods in which 60% of the content of the production originates in North America. In addition, border treatment has been streamlined and other barriers to cross-border activity have been reduced and environmental, health and intellectual property rules have been established. The free trade agreement between Mexico and Colombia dates back to 1994, although the agreement was adapted and extended in the years that followed. The most recent version contains provisions relating to market access and rules of origin. After ratification, almost all tariffs on manufactured goods were abolished, with a few exceptions.
Wool products, for example, remain subject to tariff quotas, while some agricultural products benefit from lower tariffs. Automotive products fall under a separate complementary economic agreement. The Court encourages fair competition in trade between the two countries, without undermining the conditions of investment, trade in services, intellectual property rights or public procurement. The agreement also facilitates the activity of EU companies in Mexico by simplifying customs procedures to streamline industrial trade and establishing a clause on the free flow of data and investment protection. With more free trade agreements than any other country, Mexico serves as a strong export platform for its U.S. neighbor and the world. Mexico is a trading partner with more than 50 countries whose agreements arrive in Europe, South America and Africa. These agreements reduce trade barriers, including tariffs and import quotas, in order to develop close cooperation in trade in goods and services.
The trade agreement monitored an increase in trade in agricultural products, industrial products, oil and gas and other raw materials from about $290 billion in 1993 to more than $1.1 billion. Until 2016. The NAFT has significantly increased the GDP rates of the three countries concerned since 1994. By signing the Lima Declaration that created the Alliance, the four participating countries agreed on a common commitment to promote a better quality of life for their citizens and promote integration, with a vision of inclusive development.