World's Top Free Trade Country
Mexico Leading Nation With Most Privileged Export-Import Deals
With a population of 108 million, Mexico conducts more than 90% of its exports and imports under free trade agreements.
Mexico is striving to revitalize its economy and open up to international competition. Basing its strategy on liberalized trade, Mexico continues to push for closer trade relations with the United States, western Europe and Asia.
Since the implementation of North American Free Trade Agreement (NAFTA) in 1994, Mexican trade with the U.S. and Canada has tripled. Building on that success, Mexico has negotiated 13 additional free trade treaties with over 40 countries.
Mexico's Free Trade Agreements
Below is a list of partners privy to free trade agreements with Mexico. The effective date for each free trade treaty is shown within parentheses.
- United States, Canada (January 1, 1994)
- Columbia, Venezuela (January 1, 1995)
- Bolivia (January 1, 1995)
- Costa Rica (January 1, 1995)
- Nicaragua (July 1, 1999)
- Chile (August 1, 1999)
- European Union (July 1, 2000)
- Israel (July 1, 2000)
- El Salvador, Guatemala (March 15, 2001)
- Honduras (June 1, 2001)
- EFTA: Iceland, Liechtenstein, Norway & Switzerland (July 1, 2001)
- Uruguay (July 15, 2004)
- Japan (April 1, 2005)
- Mercosur: Argentina, Brazil, Paraguay, Uruguay, Venezuela (pending ratification)
In addition, Mexico has negotiated multilateral agreements, regional scope accords as well as general association and cooperation treaties with South American, Central American and Caribbean nations.
Mexico's Economy
Mexico's agricultural products include corn, wheat, soybeans, rice, beans, cotton, coffee, fruit, tomatoes; beef, poultry, dairy and wood products.
Mexico produces food and beverages, tobacco, chemicals, iron and steel, petroleum, mining, textiles, clothing, motor vehicles and consumer durables.
Mexican Exports
Mexican exports were some US$249 billion in 2006.
Mexico exports oil and oil products, manufactured goods, silver, fruits, vegetables, coffee and cotton.
The U.S. is Mexico's dominant trade partner, accounting for over 85% of total Mexican exports. Mexico ships 2% to Canada and 1.4% to Spain.
Mexican Imports
Last year, Mexico imported about US$253 billion worth of metalworking machines, steel mill products, agricultural machinery, electrical equipment, car parts for assembly, repair parts for motor vehicles and aircraft.
Mexico imports mostly from the U.S. (53%), China (8%) and Japan (7%).
Only one quarter of Mexican imports are consumer goods. Three quarters of Mexican imports are intermediate goods (like car parts for assembly) that Mexican industries use to make finished products.
Mexico's deficit in 2006 was an estimated US$400 million, its smallest deficit since Mexico turned in a surplus in 1987.
Sources: CIA World Factbook, SICE Trade Agreements - Mexico, Export Development Canada
