Obligations Affected: National Treatment (Article 12.4) Local Presence (Article 12.5) Market Access (Article 12.6)
Level of government: Federal
Measures: Political Constitution of the United Mexican States, Article 32. General Ways of Communication Act, Book I, Chapters I, and Il. Maritime Navigation and Commerce Act, Title I, Chapter Il. Ports Law, Chapter IV.
Description: Cross-Border Trade in Services
A concession granted by the Ministry of Communications and Transportation (SCT) is required to establish and operate, or only operate, a shipyard. Only Mexican nationals and Mexican companies may obtain such concession.
45. Sector: Transportation
Subsector: Water Transportation
Industrial Classification: CMAP 712011Maritime Transportation Service of Height CMAP 712012Maritime Transportation Service of Cabotage CMAP 712013 = Altamar Towing Service and Coastal CMAP 712021 Water Transportation Service ; Lakes and Dams CMAP 712022 Intrastate Transportation Service of Ports.
Obligations Affected: National Treatment (Articles 11.4 and 12.4) Most-Favored-Nation Treatment (Articles 11.5 and 12.3).
Level of government: Federal
Measures: Maritime Navigation and Commerce Act, Title Ill, Chapter I. Foreign Investment Law, Title I, Chapter Ill. Federal Antitrust Law, Chapter IV.
Description: Investment and Cross-Border Trade in Services
The operation or exploitation of vessels in deep-sea navigation, including international maritime transport and towing, is open to shipowners and vessels of all countries, when there is reciprocity under the terms of international treaties. The Ministry of Communications and Transportation (SCT), with the prior opinion of the Federal Competition Commission (CFC), may reserve, totally or partially, certain international deep-sea cargo transportation services, so that they may only be carried out by Mexican shipping companies, with
Mexican vessels or vessels reputed as such, when the principles of free competition are not respected and the national economy is affected.
The operation and exploitation of inland navigation vessels is reserved to Mexican shipowners with Mexican vessels. When there are no suitable and available Mexican vessels, or the public interest so requires, the SCT may grant to Mexican shipowners, temporary navigation permits to operate and exploit with foreign vessels, or in case there are no interested Mexican shipowners, it may grant these permits to foreign shipping companies.
The operation and exploitation of vessels in coastal navigation may be carried out by Mexican or foreign shipowners, with Mexican or foreign vessels. In the case of foreign shipping companies or vessels, a permit will be required from the SCT, after verifying the existence of reciprocity and equivalence conditions with the country where the vessel is registered and with the country where the shipping company has its registered office and its real and effective place of business.
The operation and exploitation in inland navigation and cabotage of tourist cruise ships, as well as dredges and naval artifacts for the construction, conservation and operation of ports, may be carried out by Mexican or foreign shipowners, with Mexican or foreign vessels or naval artifacts.
The SCT, with the prior opinion of the CFC, may resolve that, totally or partially, certain cabotage traffic may only be carried out by Mexican shipowners with Mexican vessels or vessels reputed as such, when the principles of competition are not respected and the national economy is affected.
Investors of the other Party or their investments may only participate, directly or indirectly, up to a maximum of 49 percent in the capital of a Mexican shipping company established or to be established in the territory of Mexico, engaged in the commercial operation of vessels for inland navigation and cabotage, with the exception of tourist cruises and the operation of dredges and naval construction artifacts, port conservation and operation.
A favorable resolution of the National Foreign Investment Commission is required for investors of the other Party or their investments to participate, directly or indirectly, in a percentage greater than 49 percent in companies established or to be established in the territory of Mexico dedicated to the exploitation of vessels in deep-sea traffic.
46. Sector: Transportation
Subsector: Water Transportation
Industrial Classification: CMAP 973201 Loading and unloading services, Related to Water Transportation (includes operation and maintenance of docks; coastal loading and unloading of vessels; marine cargo handling; operation and maintenance of wharves; vessel cleaning; stevedoring; transfer of cargo between vessels and trucks, trains, pipelines and docks; port terminal operations).
Obligations Affected: National Treatment (Articles 11.4 and 12.4) Local Presence (Article 12.5) Market Access (Article 12.6)
Level of government: Federal
Measures: Political Constitution of the United Mexican States, Article 32. Maritime Navigation and Commerce Law, Title I, Chapter Il, and Title Il, Chapters IV and V. Port Law, Chapters Il, IV and VI. General Ways of Communication Act, Book I, Chapters I, and Il. Regulations for the Use and Development of the Territorial Sea, Waterways, Beaches, Federal Maritime Terrestrial Zone and Land Reclaimed from the Sea, Chapter Il, Section Il. Foreign Investment Law, Title I, Chapter Ill, as qualified by the element Description.
Description: Investment and Cross-Border Trade in Services
A favorable resolution of the National Foreign Investment Commission (CNIE) is required for an investor of the other Party or its investments to acquire, directly or indirectly, more than 49 percent of the participation in an enterprise established or to be established in the territory of Mexico that provides port services to vessels for their inland navigation operations, such as towing, mooring of ropes and launching.
A concession granted by the Ministry of Communications and Transportation (SCT) is required to build and operate, or only operate, marine terminals, including docks, cranes and related activities. Only Mexican nationals and Mexican companies may obtain such concession.
A permit granted by the SCT is required to provide warehousing and stevedoring services. Only Mexican nationals and Mexican companies may obtain such permit.
47. Sector: Transportation
Subsector: Water Transportation
Industrial Classification: CMAP 973203A Maritime, Lake and River Port Administration
Obligations Affected: National Treatment (Article 11.4)
Level of government: Federal
Measures: Port Law, Chapters IV and V. Regulations of the Port Law, Title I, Chapters I and VI. Foreign Investment Law, Title I, Chapter Ill.
Description: Investment
Investors of the other Party or their investments may only acquire, directly or indirectly, up to 49 percent of the equity interest in a Mexican company that is authorized to act as an integral port administrator.
48. Sector: Transportation
Subsector: Water Transportation
Industrial Classification: CMAP 973203A Maritime Ports Administration, Lakeshore and Fluvial (limited to n: to port pilotage services)
Affected Obligations: National Treatment (Article 11.4)
Level of government: Federal
Measures: Maritime Navigation and Commerce Act, Title Ill, Chapter IIl. Foreign Investment Law, Title I, Chapter Ill. Ports Law, Chapters IV and VI.
Description: Investment
Investors of the other Party or their investments may only participate, directly or indirectly, up to a maximum of 49 percent in Mexican companies engaged in providing port pilotage services to vessels for inland navigation operations.
49. Sector: All Sectors
Subsector:
Industrial Classification:
Reserved Obligations: National Treatment (Articles 11.4 and 12.4) Most-Favored-Nation Treatment (Articles 11.5 and 12.3) Performance Requirements (Article 11.7) Senior Management and Boards of Directors (Article 11.8) Local Presence (Article 12.5) Market Access (Article 12.6)
Level of government: State
Measures: All existing non-conforming measures of all Mexican Federal Entities.
Description: Investment and Cross-Border Trade in Services
Annex I. Non-Conforming Measures. List of Nicaragua
1. Sector: All Sectors
Subsector:
Industrial Classification:
Obligations Affected: Local Presence (Article 12.5)
Level of government: Central
Measures: Nicaraguan Commercial Code.
Description: Cross Border Trade in Services
Companies formally incorporated abroad that establish themselves in Nicaragua or have an agency or branch, must maintain in the country a legal representative with general power of attorney, registered in the corresponding registry.
2. Sector: Artistic Activities
Subsector: Musicians and Artists
Industrial Classification:
Obligations Affected: Most-Favored-Nation Treatment (Article 12.3) National Treatment (Article 12.4) Market Access (Article 12.6)
Level of government: Central
Measures: Law for the Promotion of National Artistic Expressions and the Protection of Nicaraguan Artists Law No. 215. Law of Cinematography and Audiovisual Arts Law No. 723, published in La Gaceta No. 198 of October 18, 2010.
Description: Cross Border Trade in Services
Co-productions with Nicaraguan filmmakers must have a minimum of 30 percent national artistic, technical and creative personnel and must also have a Nicaraguan economic participation in the production of no less than 10 percent.
Foreign film productions made in Nicaragua must hire, for their production, at least 20 percent of national technical, creative and artistic personnel.
If the producers do not wish the participation of national personnel, they will pay in cash 5 percent of the cost of the budget to be executed in the country to be destined to the Fondo de Fomento al Cine Nacional (National Film Development Fund).
Foreign productions that temporarily enter the country for the purpose of making the filming of films must pay a filming fee that will be paid to the Fondo de Fomento al Cine Nacional (National Film Development Fund).
Any foreign natural or juridical person that makes any type of audiovisual or cinematographic production in any format must register with the National Cinematheque of Nicaragua.
Once the production is completed, a copy of the production must be deposited in the Film Archive of the National Cinematheque of Nicaragua.
Advertising audiovisual works made totally or partially outside Nicaragua must obtain the respective authorization from the National Cinematheque of Nicaragua for their exhibition in the national territory. Twenty percent of the audiovisual advertising works exhibited or transmitted in movie theaters, television or cable television, must be of national production.
Any foreign artist or musical group may only present shows in the country by means of a previous contract or through governmental agreements.
Foreign artists who perform commercial programs or magazines in Nicaragua, shall include in their program, the participation of a Nicaraguan artist or group of similar performance, which shall be remunerated.
If the foreign artist or artistic groups do not wish the participation of the national artist, they must pay in cash one percent of the net income of the show they obtain to the Nicaraguan Institute of Culture, unless the country of origin of the foreign artists or groups does not impose a similar tax on Nicaraguan artists or artistic groups.
The design and construction of public monuments, pictorial and sculptural that are erected in Nicaragua, will be awarded through a contest to national artists and when necessary, to foreigners associated with nationals.
3. Sector: Tourism - Hotels, Restaurants, Tourist Guides, Rent a Car and Other Tourism Related Activities.
Subsector: Tourism Services. Travel agency services, travel arrangement group tours, tour guides and other tourist activities.
Industrial Classification:
Obligations Affected: National Treatment (Article 12.4) Local Presence (Article 12.5)
Level of government: Central
Measures: Law of Incentives to the Tourism Industry of the Republic of Nicaragua Law No. 306. Regulation of Tourism Businesses and Activities of Nicaragua. Regulations of the Nicaraguan Travel Operators. Regulations Governing the Activities of Automotive and Watercraft Vehicle Rental Companies (Rent a Car) Tourist Guide Regulations. Regulations for Travel Agencies of Nicaragua.
Description: Cross Border Trade in Services
To provide tourism services in Nicaragua, a company must be organized under the laws of Nicaragua; and a foreign national must reside in Nicaragua or appoint a legal representative in Nicaragua.
This paragraph does not apply to the provision of tourist services during a cruise.
All persons covered by the Tourism Industry Incentives Law shall be required to hire Nicaraguan personnel, with the exception of experts and specialized technicians, with prior authorization from the Ministry of Labor. Likewise, they will be obliged to provide specialized and continuous training according to the demands of tourism, to Nicaraguan citizens.
Only Nicaraguans may be tour guides.
4. Sector: Commercial Services (related to the dispensing of alcoholic beverages).
Subsector: Hotel and Similar Lodging Services Food Supply Services. Beverage Supply Services for consumption on the Premises
Industrial Classification:
Obligations Affected: Local Presence (Article 12.5)
Level of government: Central
Measures: Regulation of the National Police Law, Decree No. 26- 96. Law of Incentives for the Tourism Industry of the Republic of Nicaragua. Law No. 306. Nicaraguan Commercial Code.
Description: Cross Border Trade in Services.
A license is required for the operation of casinos, night clubs, discotheques, cockfighting and all types of permitted games of chance.
Foreign citizens who sell alcoholic beverages through hotel and similar lodging services, food supply, beverages and entertainment centers, such as discotheques, cockfighting and all types of permitted games of chance, bars, canteens, billiards, among others, must have a duly updated residency card.
Legal entities must be duly registered in the corresponding registry and appoint a legal representative domiciled in the country.
5. Sector: Construction-Related Services
Subsector:
Industrial Classification:
Obligations Affected: National Treatment (Article 12.4) Local Presence (Article 12.5)
Level of government: Central
Measures: Law Regulating the Design and Construction Activity, Decree No. 237.
Description: Cross Border Trade in Services
To provide construction services in Nicaragua a company must be organized in accordance with Nicaraguan law; and a foreign national must reside in Nicaragua or appoint a legal representative in Nicaragua.
6. Sector: Manufacturing
Subsector: Industry and Trade. Manufacture and distribution of fireworks, weapons. firearms and ammunition.
Industrial Classification:
Obligations Affected: National Treatment (Article 12.4) Local Presence (Article 12.5)
Level of government: Central
Measures: Regulation of the National Police Law, Decree No. 26- 96. Special Law for the Control and Regulation of Firearms, Ammunition, Explosives, and other Related Materials, Law 510. Regulations to the Special Law for the Control and Regulation of Firearms, Ammunition, Explosives and other Related Materials, Law 510.
Description: Cross Border Trade in Services
To manufacture and market fireworks, firearms and ammunition in Nicaragua, a foreign company must be organized under Nicaraguan law; and a foreign national must reside in Nicaragua.
7. Sector: Specialized Services
Subsector: Private guard service. Guarding Services
Industrial Classification:
Obligations Affected: National Treatment (Article 12.4) Local Presence (Article 12.5).
Level of government: Central
Measures: Civilian Surveillance Manual, No. 001.
Description: Cross Border Trade in Services
A company must be established in Nicaragua to operate as a private security guard company. Natural persons serving as armed guards must be Nicaraguan nationals.
8. Sector: Communications
Subsector: Sound Broadcasting, Free-to-Air Television.
Industrial Classification:
Obligations Affected: National Treatment (Articles 11.4 and 12.4) Local Presence (Article 12.5) Market Access (Article 12.6).
Level of government: Central
Measures: Law to Amend Law No. 200, "General Law on Telecommunications and Postal Services", Law No. 326. Regulations of the Television Broadcasting Service. Administrative Agreement 07-97.
Description: Investment and Cross-Border Trade in Services
Licenses for social communication media (broadcast television and AM and FM radio broadcasting) will only be granted to Nicaraguan individuals or legal entities. 51 percent of the capital whose shares will be nominative.
9. Sector: Communications
Subsector: Sound Broadcasting Transmission
Industrial Classification:
Obligations Affected: Most-Favored-Nation Treatment (Article 12.3) National Treatment (Article 12.4).
Level of government: Central