This week Mexico received an economic mission from Belgium, which was lead by HRH Princess Astrid and high government officials, accompanied by about 200 businessmen and businesswomen from Belgium visited.
Mexican President, AMLO, received the mission on Monday morning, and afterward, a forum was held where Kris Peeters, Belgium Minister of Employment, Economy and Consumer Affairs, and Graciela Marquez, Mexican Minister of Economy, gave a speech.
In their speech, it was emphasized the importance of the Belgium-Mexico economic relationship, particularly that Belgium is the 4th source of FDI in Mexico (1999-2018) and trade has increased five times since the EU-MEX-FTA, forming global value chains, for instance, in airspace and auto industry. Both Ministers reaffirmed the importance of the modernization of the EU-MEX-FTA, which is in its final process for its signature.
Our associate Emilio Arteaga attended this forum and B2B meetings.
This Sunday the DOC informed that it had delivered its 232 national security investigation on imports of autos and auto parts to the President, report that is not publicly available. We highlight the following two aspects.
First, President Trump has 90 days to decide whether he establishes or not measures, as reported in news outlets.
Second, the US-Mexico side letter under USMCA excludes Mexico from the application of any 232 measures on auto and auto-parts, the exclusion is limited to 2.6 million passenger vehicles and up to 108 billion USD of auto parts.
Hopefully, the US administration will respect this side-letter despite that USMCA is yet in the process of its ratification. Under-minister of Foreign Trade, Luz María de la Mora, holds that in the side-letter the US undertakes not to impose 232 tariffs on Mexico.