EU Greenlights Major Trade and Security Agreements with Mexico Ahead of Summit
Overview of EU-Mexico Trade and Security Agreements
Background and Upcoming Summit
MEXICO CITY, May 11 (Reuters) - The European Council on Monday gave the green light for the European Union to sign two deals governing trade, security and cooperation between the European Union and Mexico, a week ahead of their first bilateral summit in 11 years.
Key Participants and Summit Details
• Mexican President Claudia Sheinbaum, European Commission President Ursula von der Leyen and European Council President Antonio Costa are set to meet in Mexico City on May 22 to sign these deals, in the first summit since 2015.
Trade Relations and Economic Impact
Growth in Bilateral Trade
• Trade between Mexico and the EU reached about 86 billion euros (over $101 billion) last year, up 75% in a decade, dominated by exchange of transport equipment, machinery, chemicals, fuels and mining products.
Details of the Interim Trade Agreement (ITA)
• The Interim Trade Agreement (ITA) would remove tariffs on goods such as EU agri-food exports and boost raw materials cooperation while the Political, Economic and Cooperation Strategic Partnership Agreement (MGA) comes into effect.
Strategic Partnership and Broader Cooperation
Main Provisions of the MGA
• The MGA, as well as governing trade, establishes a far broader cooperation framework spanning security, climate change and development and will require ratification by all 27 EU member states.
Modernization of EU-Mexico Relations
• "These agreements mark a major step in modernizing the EU's partnership with Mexico, replacing the current framework established in 2000," the European Council said in a statement. "They will notably benefit more than 45,000 EU companies exporting to Mexico."
Next Steps for Ratification
• The two agreements will need to be backed by the EU Parliament in Strasbourg before they can formally conclude.
Additional Information
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(Reporting by Sarah Morland, Editing by Natalia Siniawski)
