The Trans-Pacific Partnership can help turn Mexico into North America’s export platform to the world, writes Luis de la Calle.
The TPP, the most ambitious trade deal of the last two decades, appears to have grim prospects in the U.S. but in Mexico, where there will be little or no opposition it.
TPP will be submitted to Mexico’s Senate later this year.
De la Calle is managing director and founding partner of a consulting firm specializing international trade.
Twenty-five years ago, the U.S. that insisted Mexico should open up its economy, and NAFTA has been a resounding success, says De la Calle. That’s why nay-sayers believe Mexico has little to gain from the TPP: it already enjoys unfettered access to foreign markets.
But Nikkei says those observers miss one thing: Mexico’s willingness to “embrace change and a stable economic environment are much more important for competitiveness than preferential access.”
Mexico’s fundamental comparative advantage lies in its strategic location. To make the most of it, ambitious further improvements are needed in infrastructure and transport. In 2015, preclearance customs facilities were inaugurated at three border crossings that will help expedite trade. Tijuana airport now has an international bridge over the border for U.S. passengers and cargo that will spur trans-Pacific flights.
Read the story at Nikkei.com