An impact assessment carried out by the Commission shows that the updated agreement could lead to an increase in EU GDP of 0.01% per year by 2028. This has not yet been done until the final negotiations and ratification by all EU Member States are completed. At the 115th Congress, issues of concern about trade and economic relations with Mexico could be related to a possible renegotiation of the North American Free Trade Agreement (NAFTA) and its implications, Mexico`s foreign trade policy with other countries, the promotion of Mexico`s intentions, multilateral or bilateral free trade agreements with Asian and Pacific countries, economic conditions in Mexico and the labour market, and the status of Mexican migration to the United States. This report provides an overview of Mexico`s free trade agreements, the reasons for trade liberalization and free trade agreements, as well as trade trends with the United States and other countries around the world. In general, economic reasons are the main drivers of free trade agreements between countries, but there are other reasons why countries include free trade agreements, including political and security factors. Mexico`s main motivation for unilateral trade liberalization in the late 1980s and early 1990s was to improve economic conditions in the country, which was the hope of policymakers to strengthen investor confidence and attract more foreign investment. This motivation has been an important factor in the NAFTA negotiations with the United States and Canada. Permanent removal of trade and investment barriers and predictable trading rules under free trade agreements can boost investor confidence in a country, helping to attract foreign direct investment. Multinationals invest in countries to access markets, but they also do so to reduce production costs. More information on the specific rules for regional trade agreements between WTO members is available on the WTO website, which is available on the www.wto.org website.

In 2015, Mexico exported $23 billion worth of goods and services. In particular, exports to Germany reached $6.83 billion in the same year, making it Mexico`s fourth largest export destination and second largest free trade region. Germany, along with Mexico, was one of the major G20 economies, which insisted on improving trade and diplomatic relations. The agreement contains provisions relating to the treatment of rehabilitation and access to the goods market; health and plant health measures; Standards Rules of origin Customs procedures Security measures DPI; Dispute resolution Financial services and public procurement. The revised agreement also contains chapters in which the two countries agreed to strengthen cooperation in a number of areas, including vocational education and training, agriculture, tourism and the environment26. Mexico agreed to remove import duties on auto parts and paper for inkjet printers earlier than planned for 2014.27 Prior to the original EPA, only 16% of Japanese exports to Mexico were duty-free, while 70% of Mexican exports to Japan were duty-free. The agreement contains provisions relating to the treatment of rehabilitation and access to the goods market; Agriculture; Rules of origin Security measures 19 In the first six years, the free trade agreement reduced the average Mexican tariff on EFTA industrial products from 8% to zero. Mexican industrial exports to EFTA have been exempt from tariffs since the free trade agreement came into force.20 The 1998 Free Trade Agreement between Mexico and Chile came into force on 7 July 1999 in Chile and 1 August 1999 in Mexico.