REGIONAL TRADE AGREEMENTS: ECONOMIC COMPLEMENTARITY AGREEMENT

Chairperson: H.E. Mr Ram Prasad Subedi (Nepal)

1.  The draft agenda for the 25^th Dedicated Session on Regional Trade Agreements (RTAs) was contained in document _WTO/AIR/COMTD/RTA/20/Rev.1, circulated on 17 March 2025. An annotated agenda for this meeting had been circulated in document _JOB/COMTD/RTA/5. Under item 2 of the agenda, the Committee considered the Economic Complementarity Agreement between Argentina and Mexico (Goods) (_WT/COMTD/RTA5/N/1, _WT/COMTD/RTA5/1, _WT/COMTD/RTA5/2). The present document contains the minutes relating to the consideration of this item.[1]

2.  The Chairperson noted that the Economic Complementarity Agreement between Argentina and Mexico was notified by Mexico under paragraph 4(a) of the Enabling Clause and was contained in document _WT/COMTD/RTA5/N/1. The factual presentation on the Agreement, which was prepared by the Secretariat under its own responsibility and in consultation with the parties concerned, was circulated to Members on 23 January 2025 in document _WT/COMTD/RTA5/1. Since written questions were received from the delegation of Thailand following the circulation of the factual presentation, a Questions and Replies document had been prepared by the Secretariat and was made available to Members in document _WT/COMTD/RTA5/2. Following usual practice, the Chairperson invited the parties to the Agreement to take the floor.

3.  The representative of Mexico delivered the following statement:

4.  I would like to extend a special thanks to the WTO Secretariat team for drawing up the factual presentation on the Economic Complementarity Agreement between Mexico and Argentina (ECA No. 6). I also wish to thank the Argentinian delegation for the excellent coordination and the joint efforts. Mexico and Argentina are brother nations, as evidenced by the 136 years of diplomatic relations and our economic and trade relationship, which was established in 1987 with the entry into force of ECA No. 6. This trade relationship was strengthened in 2003 with the entry into force of ECA No. 55, Appendix 1, on trade in the automotive sector. The main aim of ECA No. 6 is to increase, diversify and promote trade, as well as to coordinate and complement economic activity and encourage investment. Our Agreement grants tariff preferences for agricultural products, food, minerals, chemicals, plastics, pharmaceuticals, manufactures and textiles, among other items. Since the entry into force of ECA No. 6, sixteen (16) additional protocols have been signed, the most significant being the fifteenth Additional Protocol signed in 2006, adopting the revised and consolidated text of the Agreement and rendering the preceding protocols null and void. The sixteenth Additional Protocol, signed in 2022, granted preferential tariff treatment to imports of beans from Argentina, with an annual seasonal quota of 50,000 tonnes from 1 July to 30 November, and eliminated phytosanitary regulations for the product.

5.  Although trade has fluctuated owing to challenges at the international level, cooperation has allowed both countries to overcome various obstacles, including the COVID-19 pandemic of 2020‑21, recovering to USD 2.09 billion in trade. Within the first year of signing our most recent Additional Protocol in 2022, trade grew at a rate of 12.56%. The main products from Argentina traded in 2023 were sunflower-seed, safflower and cotton-seed oil, while the main sales from Mexico were automotive parts. We are aware of challenges including the lack of certainty caused by international conflicts, such as the ongoing Russia-Ukraine conflict, trade threats and the imposition of tariffs. However, we are confident that by cooperating and strengthening our trade instruments we can expand and increase our trade. To conclude my statement, I would like to underscore that Argentina is a strategic partner for Mexico in Latin America, and we reiterate the need to continue taking advantage of our trade and investment Agreements to develop the potential of our economies. Mexico stands ready to continue working with Argentina in order to strengthen our trade relationship.

6.  The representative of Argentina delivered the following statement:

7.  Argentina thanks the Secretariat for preparing the factual presentation and Mexico for its statement. We agree with all the factual elements. Through agreements of this type, both Argentina and Mexico are demonstrating how trade can be a tool for strengthening peace, international security and the well-being of our people.

8.  The representative of Thailand delivered the following statement:

9.  My delegation would like to thank Mexico and Argentina for their constructive presentations. Thailand had submitted their written questions concerning tariff liberalisations and participation in other RTAs. We appreciate the parties for providing the answers to our questions, as shown in document _WT/COMTD/RTA5/2, which has enriched our understanding of the Agreement. We wish for the successful implementation of the Agreement.

10.  The representative of India delivered the following statement:

11.  We thank Argentina and Mexico for their presentations. We would like to thank Secretariat for all their efforts in preparing the factual presentation, which seems to have taken some time. It is an interesting Agreement, and we would like to understand in more detail Argentina's comments reflected in the box titled "General Note" on page 3 of the factual presentation. We wish both parties a successful continued partnership under this Agreement.

12.  The representative of the European Union delivered the following statement:

13.  We would like to thank the parties for their explanations and the Secretariat for having produced the factual presentation.

14.  The representative of the United States delivered the following statement:

15.  The United States would like to thank Argentina and Mexico for this notification and for participating in this very valuable transparency exercise.

16.  As there were no further requests for the floor, the Chairperson noted that Members were invited to submit any follow-up questions in writing to the Secretariat by Wednesday, 2 April 2025. The parties to the Agreement were then requested to submit their written replies within two weeks and no later than Wednesday, 16 April 2025. In accordance with paragraph 13 of the Transparency Mechanism for Regional Trade Agreements, all written submissions as well as the minutes of this meeting, will be circulated in all WTO official languages and be made available on the WTO website.

17.  The Chairperson proposed that the Committee takes note of all interventions made.

18.  It was so agreed.

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