Mexico's Path to FTAA: A Step towards Continental Agreement

Strategic Insights -

President Vicente Fox's vision for Mexico's involvement in Mercosur marks an important milestone in the creation of the Free Trade Area of the Americas (FTAA). Fox's statement highlights the significance of consolidating regional and bilateral trade agreements as a precursor to the FTAA. The FTAA, initially proposed in 1994, aims to establish a free trade zone spanning North, Central, and South America, with an estimated market of 800 million consumers.

Key Takeaways:

  • President Vicente Fox's announcement marks a significant step towards the creation of the FTAA, a free trade zone spanning all of North, Central, and South America.
  • The FTAA aims to consolidate regional and bilateral trade agreements, with an estimated market of 800 million consumers.
  • Mexico's inclusion in Mercosur has both political and economic implications, with the potential to strengthen regional trade and economic cooperation.
  • The FTAA negotiations have been slowed down in several countries, hindering progress towards the creation of a continental trade agreement.
  • The involvement of Mexico in Mercosur is crucial in shaping the FTAA, with a potential impact on regional and bilateral trade agreements.
  • The FTAA's creation will have far-reaching economic and social implications for the countries involved.

Statistics:

  • Estimated market size of the FTAA: 800 million consumers
  • Number of countries involved in FTAA negotiations: several
  • Proposed creation of FTAA by: 2005 (initial target)
  • Number of countries in Mercosur:
  • Market size of Mexico: omitted
  • Percentage of Mexico's GDP dedicated to trade: omitted

Sources:

  • Mexico Analytica/Corporate Mexico by Internet Securities, Inc. via COMTEX
  • La Nacion (Mexican newspaper)
  • Euromoney Institutional Investor Company
  • COMTEX (http://www.comtexnews.com)