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Japan, Mexico Agree to Conclude FTA.
(From Journal of Japanese Trade & Industry (JJTI))
Japan and Mexico on March 12 finally agreed to conclude a bilateral free trade agreement (FTA) after 16 months of negotiations. The agreement was confirmed when Japanese Foreign Minister Kawaguchi Yoriko, Economy, Trade and Industry Minister Nakagawa Shoichi and Agriculture, Forestry and Fisheries Minister Kamei Yoshiyuki held a video teleconference with Mexican Economy Secretary Fernando Canales and Agriculture Secretary Javier Usabiaga. The two countries will seek to thrash out the details in order to put the FTA into effect in January 2005.
The FTA with Mexico is Japan's second with a trading partner, following the one signed with Singapore in 2002. The agreement with Mexico also represents the first comprehensive deal for Japan that covers the agricultural sector. The Japanese government aims to promote the FTA negotiations that were launched recently with South Korea, Thailand, the Philippines and Malaysia.
The final round of negotiations with Mexico focused on the industrial products sector, in which Mexico agreed to abolish tariffs on all types of steel products from Japan within the next 10 years. Mexico will also create additional duty-free import quotas for Japanese motor vehicles, which are equivalent to 5% of the Mexican auto market, on top of the current duty-free import quotas in the first year of the bilateral FTA taking effect. The import duties on Japanese autos will be reduced in stages, with such imports from Japan becoming tax-free after seven years.
Japan will establish an import quota of up to 6,500 tons for orange juice from Mexico. Japan will also ...
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