EU - Mexico Interim Trade Agreement (2025)
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(c)    any measure taken to comply which the panel found to be inconsistent with the covered provisions has been withdrawn or amended so as to bring the Party complained against into conformity with those provisions.

ARTICLE 31.19

Review of any Measure Taken to Complyafter the Adoption of Temporary Remedies

1.    The Party complained against shall deliver a notification to the complaining Party of any measure taken to comply following the suspension of obligations or following the application of temporary compensation, as the case may be. With the exception of cases under paragraph 2, the complaining Party shall terminate the suspension of obligations within 30 days after the receipt of the notification. In cases where compensation has been applied, and with the exception of cases under paragraph 2, the Party complained against may terminate the application of such compensation within 30 days after receipt of its notification that it has complied.

2.    If the Parties do not reach an agreement on whether the notified measure brings the Party complained against into conformity with the covered provisions within 30 days of the date of receipt of the notification, the complaining Party shall deliver a written request to the original panel to decide on the matter. The panel shall deliver its decision to the Parties within 60 days after the date of the receipt of the request. If the panel finds that the measure taken to comply is in conformity with the covered provisions, the suspension of obligations or compensation, as the case may be, shall be terminated. If relevant, the level of suspension of obligations or of compensation shall be adjusted in light of the panel decision.

ARTICLE 31.20

Replacement of Panellists

If during dispute settlement procedures a panellist is unable to participate, withdraws or needs to be replaced because he or she does not comply with the requirements of the Code of Conduct for Panellists and Mediators in Annex 31-B, a new panellist shall be appointed in accordance with Article 31.7 and the Rules of Procedure in Annex 31-A. The time period for the delivery of the report or decision shall be extended as necessary until the appointment of the new panellist.

ARTICLE 31.21

Rules of Procedure

1.    Panel procedures under this Section shall be governed by this Chapter and the Rules of Procedure in Annex 31-A.

2.    The Rules of Procedure shall ensure in particular that:

(a)    Parties have the right to at least one hearing before the panel at which each Party may present its views orally;

(b)    each Party has an opportunity to provide an initial written submission and a written rebuttal;

(c)    subject to the protection of confidential information, each Party makes available to the public its written submissions, written version of an oral statement and written responses to a request or question from the panel, if any, as soon as possible after those documents are submitted and no later than the date of delivery of the final report; and

(d)    the panel and the Parties treat as confidential any information submitted by a Party to the panel.

2.    Any hearing of the panel shall be open to the public, unless otherwise agreed by the Parties.

ARTICLE 31.22

Suspension and Termination

1.    At the request of both Parties, the panel shall suspend its work at any time for a time period agreed by the Parties and not exceeding 12 consecutive months. The panel shall resume its work before the end of the suspension period at the written request of both Parties, or on the last day of the suspension period at the written request of either Party. The requesting Party shall deliver a notification to the other Party accordingly.

2.    If neither Party requests the resumption of the panel's work before the end of the expiry of the suspension period, the authority of the panel shall lapse and the dispute settlement procedures shall be terminated. This shall be without prejudice to the Party's right to initiate new proceedings on the same matter.

3.    If the work of the panel is suspended, the relevant time periods under this Section shall be extended by the same time period for which the work of the panel was suspended.

ARTICLE 31.23

Receipt of Information

1.    At the request of a Party or on its own initiative, the panel may seek from the Parties information it considers necessary and appropriate. The Parties shall promptly and fully respond to any request by the panel for such information.

2.    On request of a Party or on its own initiative, the panel may seek any information it deems appropriate from any source. The panel also has the right to seek the opinion or technical advice from experts, as it deems appropriate, and subject to any terms and conditions agreed by the Parties, where applicable.

3.    The panel shall consider amicus curiae submissions from natural persons of a Party or legal persons established in a Party in accordance with the Rules of Procedure in Annex 31-A.

4.    Any information obtained by the panel pursuant to this Article shall be disclosed to the Parties and the Parties may provide comments on that information.

ARTICLE 31.24

Rules of Interpretation

1.    The panel shall interpret the covered provisions in accordance with customary rules of interpretation of public international law, including those codified in the Vienna Convention on the Law of Treaties. The panel shall also take into account relevant interpretations in reports of WTO panels and of the Appellate Body adopted by the Dispute Settlement Body of the WTO.

2.    Reports and decisions of the panel shall not add to or diminish the rights and obligations of the Parties under this Agreement.

ARTICLE 31.25

Reports and Decisions of the Panel

1.    The deliberations of the panel shall be kept confidential. The panel shall make every effort to draft reports and take decisions by consensus. If that is not possible, the panel shall decide the matter by majority vote. In no case shall separate opinions of panellists be disclosed.

2.    The decisions and reports of the panel shall be accepted unconditionally by the Parties. They shall not create any rights or obligations with respect to natural or legal persons.

3.    Each Party shall make the reports and decisions of the panel publicly available as soon as possible after the date of delivery to the Parties, subject to the protection of confidential information.

SECTION D

Mediation Mechanism

ARTICLE 31.26

Objective

The objective of the mediation mechanism is to facilitate the finding of a mutually agreed solution through a comprehensive and expeditious procedure with the assistance of a mediator.

ARTICLE 31.27

Initiation of the Mediation Procedure

1.    A Party may at any time request the other Party, in writing, to enter into a mediation procedure with respect to any measure of that Party adversely affecting trade or investment between the Parties. Consultations are not required before initiating the mediation procedure.

2.    The request shall be sufficiently detailed to clearly present the concerns of the requesting Party and shall:

(a)    identify the measure at issue;

(b)    provide a statement of the adverse effects that the requesting Party considers the measure has, or will have, on trade or investment between the Parties; and

(c)    explain how the requesting Party considers that those effects are linked to the measure.

3.    The mediation procedure may only be initiated by mutual agreement of the Parties. The Party to which the request is made shall give sympathetic consideration to the request and deliver its written acceptance or rejection to the requesting Party within 10 days after its receipt. Otherwise the request shall be regarded as rejected.

ARTICLE 31.28

Selection of the Mediator

1.    The Parties shall endeavour to agree on a mediator, if possible, no later than 15 days after the receipt of the acceptance of the request.

2.    In the event that the Parties are unable to agree on a mediator within the time period set out in paragraph 1, either Party may request an appointing authority listed in the Rules of Procedure in Annex 31-A to select the mediator by lot, within five days after the request, from the sub-list of individuals who shall serve as chairpersons referred to in Article 31.8.

3.    If the sub-list of individuals who shall serve as chairpersons referred to in Article 31.8 has not been adopted by the Trade Committee at the time a request is made pursuant to Article 31.27, the mediator shall be drawn by lot from the individuals designated by one or both Parties for that sub‑list, as the case may be.

4.    A mediator shall not be a national of either Party or employed by either Party, unless the Parties agree otherwise.

5.    A mediator shall comply with the Code of Conduct for Panellists and Mediators in Annex 31‑B.

ARTICLE 31.29

Rules of the Mediation Procedure

1.    Within 10 days of the appointment of the mediator, the Party which invoked the mediation procedure shall deliver to the mediator and to the other Party a detailed written description of its concerns, in particular relating to the operation of the measure at issue and its possible adverse effects on trade or investment between the Parties. Within 20 days after the receipt of this description, the other Party may deliver written comments on this description.

2.    The mediator shall assist the Parties in a transparent manner in bringing clarity to the measure at issue and its possible adverse effects on trade or investment between the Parties. In particular, the mediator may organise meetings between the Parties, consult the Parties jointly or individually, seek the assistance of, or consult with, relevant experts and stakeholders, and provide any additional support requested by the Parties. The mediator shall consult with the Parties before seeking the assistance of, or consulting with, relevant experts and stakeholders.

3.    The mediator may offer advice and propose a solution for the consideration of the Parties. The Parties may accept or reject the proposed solution, or agree on a different solution. The mediator shall not advise or comment on the consistency of the measure at issue with this Agreement.

4.    The mediation procedure shall take place in the territory of the Party to which the request to enter into a mediation procedure was addressed or, by mutual agreement, in any other location or by any other means of communication.

5.    The Parties shall endeavour to reach a mutually agreed solution within 60 days after the appointment of the mediator. In reaching such solution, the Parties may consider the completion of any necessary internal procedures. Pending a final agreement, the Parties may consider possible interim solutions, in particular if the measure relates to perishable goods.

6.    On request of either Party, the mediator shall deliver a draft factual report to the Parties providing:

(a)    a brief summary of the measure at issue;

(b)    the procedures followed; and

(c)    any mutually agreed solution reached, including any possible interim solutions.

7.    The mediator shall allow the Parties 15 days to comment on the draft factual report. After considering the comments of the Parties, the mediator shall, within 15 days, deliver a final factual report to the Parties. The factual report shall not include any interpretation of this Agreement.

8.    The procedure shall be terminated:

(a)    by the adoption of a mutually agreed solution by the Parties, on the date of the adoption thereof;

(b)    by mutual agreement of the Parties at any stage of the procedure, on the date of that agreement;

(c)    by a written declaration of the mediator, after consultation with the Parties, that further efforts at mediation would be to no avail, on the date of that declaration; or

(d)    by a written declaration of a Party after having explored mutually agreed solutions under the mediation procedure and after having considered any advice and proposed solutions by the mediator, on the date of that declaration.

ARTICLE 31.30

Confidentiality

1.    Unless the Parties agree otherwise, all steps of the mediation procedure, including any advice or proposed solution, are confidential. Each Party may disclose to the public the fact that mediation is taking place.

2.    If agreed by the Parties, mutually agreed solutions shall be made publicly available. The version disclosed to the public shall not contain any information a Party has designated as confidential.

ARTICLE 31.31

Relation to Dispute Settlement Procedures

1.    The mediation procedure is without prejudice to the Parties' rights and obligations under Sections B and C or dispute settlement procedures under any other agreement. For greater certainty, a mediation procedure may be initiated or continue while panel procedures are in progress.

2.    A Party shall not rely on or introduce as evidence in other dispute settlement procedures under this Agreement or any other agreement, nor shall a panel take into consideration:

(a)    positions taken by the other Party in the course of the mediation procedure or information exclusively gathered in accordance with paragraph 2 of Article 31.29;

(b)    the fact that the other Party has indicated its willingness to accept a solution to the measure subject to mediation; or

(c)    advice given or proposals made by the mediator.

3.    Unless the Parties agree otherwise, a mediator shall not serve as a panellist in dispute settlement procedures under this Agreement or under any other agreement involving the same matter for which he or she has been a mediator.

Section E

Common Provisions

ARTICLE 31.32

Request for Information

1.    Before a request for consultations or mediation is made pursuant to Article 31.5 or 31.27, respectively, a Party may request information regarding a measure adversely affecting trade or investment between the Parties. The Party to which such request is made shall, within 20 days after the receipt of the request, deliver a written response with its comments on the requested information.

2.    A Party is normally expected to request information pursuant to paragraph 1 prior to requesting consultations or initiating a mediation procedure or the other relevant cooperation or consultations procedures under this Agreement.

ARTICLE 31.33

Mutually Agreed Solution

1.    The Parties may reach a mutually agreed solution at any time with respect to any dispute covered by Article 31.2.

2.    If a mutually agreed solution is reached during the panel or mediation procedure, or during any other alternative means of dispute resolution agreed by the Parties, including procedures involving good offices or conciliation, the Parties shall jointly notify that solution to the chairperson of the panel or the mediator, as the case may be. Upon such notification, the panel or mediation procedure shall be terminated.

3.    Each Party shall take measures necessary to implement the mutually agreed solution within the agreed time period.

4.    No later than the date of expiry of the agreed time period, the implementing Party shall inform the other Party, in writing, of any measure that it has taken to implement the mutually agreed solution.

ARTICLE 31.34

Time Periods

1.    All time periods set out in this Chapter shall be counted in calendar days from the day following that on which the act referred to occurred.

2.    Any time period referred to in this Chapter may be modified by mutual agreement of the Parties.

3.    Under Section C, the panel may at any time propose to the Parties to modify any time period referred to in this Chapter, stating the reasons for the proposal.

ARTICLE 31.35

Costs

1.    Each Party shall bear its own expenses derived from the participation in the panel or mediation procedure.

2.    The Parties shall be jointly liable for the expenses derived from organisational matters, including the remuneration and expenses of the panellists and of the mediator, and shall share them equally. The remuneration of the panellists shall be determined in accordance with the Rules of Procedure in Annex 31-A. The remuneration of the mediator shall be determined in accordance with that provided for a chairperson of a panel in accordance with the Rules of Procedure in Annex 31-A.

ARTICLE 31.36

Administration of the Dispute Settlement Procedure

1.    Each Party shall:

(a)    designate an office which shall be responsible for the administration of the dispute settlement procedures under this Chapter; and

(b)    notify the other Party in writing of the office's location and contact information within three months after the entry into force of this Agreement.

2.    Each Party shall be responsible for the operation and costs of its respective designated office.

3.    Notwithstanding paragraph 1, the Parties may agree to jointly entrust an external body with providing support for certain administrative tasks for the dispute settlement procedure under this Chapter.

ARTICLE 31.37

Private Rights

A Party shall not provide for a right of action under its domestic law against the other Party on the ground that a measure of the other Party is inconsistent with this Agreement.

ARTICLE 31.38

Modification of Annexes

The Trade Council may modify Annexes 31-A (Rules of Procedure) and 31-B (Code of Conduct for Panellists and Mediators).

Chapter 32. EXCEPTIONS

ARTICLE 32.1

General Exceptions

1.    Article XX of GATT 1994, including its Notes and Supplementary Provisions, is incorporated into and made part of this Agreement, and applies mutatis mutandis to Chapters 2 (Trade in Goods), 3 (Rules of Origin and Origin Procedures), 4 (Customs and Trade Facilitation), 6 (Sanitary and Phytosanitary Measures), 8 (Energy), 9 (Technical Barriers to Trade), 22, (State-Owned Enterprises, Enterprises Granted Special Rights or Privileges and Designated Monopolies), 10 (Investment Liberalisation), and Chapter 30 (Raw Materials).

2.    The Parties share the understanding that:

(a)    the measures referred to in Article XX (b) of GATT 1994 include environmental measures 90 , which are necessary to protect human, animal or plant life or health; and

(b)    Article XX (g) of GATT 1994 applies to measures relating to the conservation of living and non-living exhaustible natural resources.

3.    If a Party intends to take any measures in accordance with Article XX (i) and (j) of GATT 1994, that Party shall provide the other Party with:

(a)    all relevant information; and

(b)    upon request, a reasonable opportunity for consultation with respect to any matter related to such measure, with a view to seeking a mutually acceptable solution.

The Parties may agree on any means necessary to resolve the matters subject to consultation referred to in subparagraph 3(b).

If exceptional and critical circumstances requiring immediate action make prior information or consultation impossible, the Party intending to take the measures concerned may immediately take the measures necessary to address those circumstances and shall immediately inform the other Party thereof.

4.    Article XIV (a), (b) and (c) of GATS is incorporated into and made part of this Agreement, and applies mutatis mutandis to Chapters 11 (Cross-Border Trade in Services), 12 (Temporary Presence of Natural Persons for Business Purposes), 13 (Domestic Regulation), 14 (Mutual Recognition of Professional Qualifications), 16 (Telecommunications services), 17 (International Maritime Transport Services), 18 (Financial Services), 19 (Digital Trade), 22 (State-Owned Enterprises, Enterprises Granted Special Rights or Privileges and Designated Monopolies) and in Chapter 10 (Investment Liberalisation).

5.    The Parties share the understanding that the measures referred to in Article XIV (b) of GATS include environmental measures 91 necessary to protect human, animal or plant life or health.

ARTICLE 32.2

Taxation

1.    For the purposes of this Article:

(a)    "residence" means residence for tax purposes; and

(b)    "tax convention" means a convention for the avoidance of double taxation or any other international agreement or arrangement relating wholly or mainly to taxation to which either Party is party.

2.    Nothing in this Agreement shall affect the rights and obligations of a Party under a tax convention. In the event of any inconsistency between this Agreement and any tax convention, the tax convention shall prevail to the extent of the inconsistency.

3.    Articles 10.8 (Most-Favoured-Nation Treatment), 11.7 (Most-Favoured-Nation Treatment), 18.4 (Most-Favoured Nation-Treatment) and paragraph 4 of Article 18.7 (Cross Border Trade in Financial Services) do not apply to an advantage accorded by a Party pursuant to a tax convention.

4.    Subject to the requirement that such measures are not applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination between the Parties, if like conditions prevail, or a disguised restriction on trade and investment, nothing in this Agreement shall be construed as preventing a Party from adopting, maintaining or enforcing any measure aimed at ensuring the equitable or effective imposition or collection of direct taxes that:

(a)    distinguish between taxpayers, who are not in the same situation, in particular with regard to their place of residence or the place where their capital is invested; or

(b)    aim at preventing the avoidance or evasion of taxes pursuant to the provisions of any tax convention or domestic tax legislation.

ARTICLE 32.3

Disclosure of Information

1.    Nothing in this Agreement shall be construed as requiring a Party to make available confidential information, the disclosure of which would impede law enforcement, or otherwise be contrary to the public interest, or which would prejudice the legitimate commercial interests of particular enterprises, public or private.

2.    The disclosure of information throughout the dispute settlement proceedings under this Agreement shall be governed by the provisions of the applicable chapters.

3.    When a Party submits information to the other Party under this Agreement, including through the bodies established under this Agreement, which is considered as confidential under the laws and regulations of the submitting Party, the other Party shall treat that information as confidential, unless the submitting Party agrees otherwise.

ARTICLE 32.4

  • Chapter   1 GENERAL PROVISIONS 1
  • Chapter   2 TRADE IN GOODS 1
  • Chapter   3 RULES OF ORIGIN AND ORIGIN PROCEDURES 3
  • Chapter   4 CUSTOMS AND TRADE FACILITATION 5
  • Chapter   5 TRADE REMEDIES 6
  • Chapter   6 SANITARY AND PHYTOSANITARY MEASURES 7
  • Chapter   7 COOPERATION ON ANIMAL WELFARE AND ANTI-MICROBIAL RESISTANCE 8
  • Chapter   8 RECOGNITION OF THE PARTIES' RIGHT TO REGULATE THE ENERGY SECTOR 8
  • Chapter   9 TECHNICAL BARRIERS TO TRADE 8
  • Chapter   10 INVESTMENT LIBERALISATION 10
  • Article   10.1 Definitions 10
  • Article   10.2 Scope 10
  • Article   10.3 Right to Regulate 10
  • Article   10.4 Relation to other Chapters 10
  • Article   10.5 Scope 10
  • Article   10.6 Market Access 10
  • Article   10.7 National Treatment 10
  • Article   10.8 Most-Favoured-Nation Treatment 10
  • Article   10.9 Performance Requirements 10
  • Article   10.10 Senior Management and Board of Directors 10
  • Article   10.11 Formal Requirements 10
  • Article   10.12 Non-Conforming Measures and Exceptions 10
  • Article   10.13 Denial of Benefits 10
  • Article   10.14 Sub-Committee on Services and Investment 10
  • Chapter   11 CROSS-BORDER TRADE IN SERVICES 10
  • Chapter   12 TEMPORARY PRESENCE OF NATURAL PERSONS FOR BUSINESS PURPOSES 11
  • Chapter   13 DOMESTIC REGULATION 11
  • Chapter   14 MUTUAL RECOGNITION OF PROFESSIONAL QUALIFICATIONS 12
  • Chapter   15 DELIVERY SERVICES 12
  • Chapter   16 TELECOMMUNICATIONS SERVICES 12
  • Chapter   17 INTERNATIONAL MARITIME TRANSPORT SERVICES 13
  • Chapter   18 FINANCIAL SERVICES 13
  • Chapter   19 DIGITAL TRADE 14
  • Chapter   20 CAPITAL MOVEMENTS, PAYMENTS AND TRANSFERSAND TEMPORARY SAFEGUARD MEASURES 15
  • Chapter   21 PUBLIC PROCUREMENT 15
  • Chapter   22 STATE-OWNED ENTERPRISES, ENTERPRISES GRANTED SPECIAL RIGHTS ORPRIVILEGES AND DESIGNATED MONOPOLIES 18
  • Chapter   23 COMPETITION POLICY 19
  • Chapter   24 SUBSIDIES 19
  • Chapter   25 INTELLECTUAL PROPERTY 19
  • Chapter   26 TRADE AND SUSTAINABLE DEVELOPMENT 22
  • Chapter   27 TRANSPARENCY 23
  • Article   28 GOOD REGULATORY PRACTICES 23
  • Chapter   29 SMALL AND MEDIUM-SIZED ENTERPRISES 24
  • Chapter   30 RAW MATERIALS 24
  • Chapter   31 DISPUTE SETTLEMENT 25
  • Chapter   32 EXCEPTIONS 26
  • Chapter   33 INSTITUTIONAL AND FINAL PROVISIONS 27