Title
Economic Partnership, Political Coordination and Cooperation Agreement between the European Community and its Member States, of the one part, and the United Mexican States, of the other Part
Preamble
THE KINGDOM OF BELGIUM,
THE KINGDOM OF DENMARK,
THE FEDERAL REPUBLIC OF GERMANY,
THE HELLENIC REPUBLIC,
THE KINGDOM OF SPAIN,
THE FRENCH REPUBLIC,
IRELAND,
THE ITALIAN REPUBLIC,
THE GRAND DUCHY OF LUXEMBOURG,
THE KINGDOM OF THE NETHERLANDS,
THE REPUBLIC OF AUSTRIA,
THE PORTUGUESE REPUBLIC,
THE REPUBLIC OF FINLAND,
THE KINGDOM OF SWEDEN,
THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND,
Parties to the Treaty establishing the European Community and the Treaty on European Union, hereinafter referred to as the European Community Member States,
THE EUROPEAN COMMUNITY, hereinafter referred to as the Community, of the one part, and
THE UNITED MEXICAN STATES, hereinafter referred to as Mexico, of the other part,
CONSIDERING their common cultural heritage and the strong historical, political and economic ties which unite them;
MINDFUL of the broader aim to develop and reinforce the overall framework of international relations, in particular, between Europe and Latin America;
CONSIDERING the significant contribution made by the Framework Agreement for Cooperation between the Community and Mexico signed on 26 April 1991 in Luxembourg to strengthen these ties;
CONSIDERING their mutual interest in establishing new contractual links in order to further strengthen their bilateral relations, mainly through greater political dialogue, progressive and reciprocal liberalisation of trade, liberalisation of current payments, capital movements and invisible transactions, promotion of investment, and through broader cooperation;
CONSIDERING their full commitment to respecting democratic principles and fundamental human rights set out in the Universal Declaration of Human Rights, as well as to the principles of international law regarding friendly relations and cooperation between States in accordance with the United Nations Charter, the principles of the rule of law and good government, as set out in the Rio Group/European Union Ministerial Declaration adopted in Sao Paulo in 1994;
MINDFUL that in order to intensify relations in all fields of common interest, their political dialogue should be institutionalised at both the bilateral and international levels;
CONSIDERING the importance which both Parties attach to the principles and values set out in the final Declaration of the World Summit for Social Development in Copenhagen in March 1995;
MINDFUL of the importance that both Parties attach to the proper implementation of the principle of sustainable development, as agreed and set out in Agenda 21 of the 1992 Rio Declaration on Environment and Development;
CONSIDERING their attachment to the principles of the market economy and mindful of the importance of their commitment to free international trade in conformity with the rules of the World Trade Organisation (WTO) and in their capacity as members of the Organisation for Economic Cooperation and Development (OECD), with particular emphasis on the importance of open regionalism;
MINDFUL of the terms of the Joint Solemn Declaration signed in Paris on 2 May 1995 in which both Parties decided to give their bilateral relationship a long term perspective in all areas,
HAVE DECIDED to conclude this Agreement:
Body
Part I. Nature and Scope
Article 1. Basis of the Agreement
Respect for democratic principles and fundamental human rights, proclaimed by the Universal Declaration of Human Rights, underpins the domestic and external policies of both Parties and constitutes an essential element of this Agreement.
Article 2. Nature and Scope
The object of this Agreement is to strengthen existing relations between the Parties on the basis of reciprocity and mutual interest. To this end, the Agreement shall institutionalise political dialogue, strengthen commercial and economic relations by means of the liberalisation of trade in conformity with the rules of the WTO and shall reinforce and broaden cooperation.
Part II. Political Dialogue
Article 3.
1. The Parties agree to institutionalize an intensified political dialogue based on the principles referred to in Article 1 covering all bilateral and international matters of mutual interest and leading to closer consultation between the Parties within the context of the international organisations to which they both belong.
2. The dialogue shall be conducted in accordance with the Joint Declaration by the European Union and Mexico on Political Dialogue, which shall form an integral part of the Agreement and which is contained in the Final Act.
3. The ministerial dialogue provided for in the Joint Declaration shall take place mainly within the Joint Council established by Article 45.
Part III. Trade
Article 4. Objective
The objective of this Title is to establish a framework to encourage the development of trade in goods and services, including a bilateral and preferential, progressive and reciprocal liberalisation of trade in goods and services, taking into account the sensitive nature of certain products and service sectors and in accordance with the relevant WTO rules.
Article 5. Trade In Goods
In order to achieve the objective laid down in Article 4, the Joint Council shall decide on the arrangements and timetable for a bilateral, progressive and reciprocal liberalisation of tariff and non-tariff barriers to trade in goods, in accordance with
The relevant WTO rules, in particular Article XXIV of the General Agreement on Tariffs and Trade (GATT), and taking account of the sensitive nature of certain products. This decision shall include, in particular, the following matters:
(a) coverage and transitional periods;
(b) customs duties on imports and exports and charges having an equivalent effect;
(c) quantitative restrictions on imports and exports and measures having equivalent effect;
(d) national treatment including the prohibition of fiscal discrimination in respect of taxes imposed on goods;
(e) anti-dumping and countervailing measures;
(f) safeguard and surveillance measures;
(g) rules of origin and administrative cooperation;
(h) customs cooperation;
(i) customs valuation;
(j) technical regulations and standards, sanitary and phytosani-tary legislation, mutual recognition of conformity assessment, certifications, marks systems, inter alia;
(k) general exceptions justified on grounds of public morality, public policy or public security; the protection of human, animal or plant life or health; the protection of industrial, intellectual and commercial property, inter alia;
(l) restrictions in case of balance of payments difficulties.
Article 6. Trade In Services
In order to achieve the objective laid down in Article 4, the Joint Council shall decide on the appropriate arrangements for a progressive and reciprocal liberalisation of trade in services, in accordance with the relevant WTO rules, in particular, Article V of the General Agreement on Trade in Services (GATS), and taking due account of the commitments already undertaken by the Parties within the framework of that Agreement.
Article 7.
The decisions of the Joint Council referred to in Articles 5 and 6 of this Agreement in respect of trade in goods and services, shall adequately cover all these issues within a comprehensive framework and shall enter into force as soon as they have been adopted.
Part IV. Capital Movements and Payments
Article 8. Capital Movements and Payments
The objective of this Title is to establish a framework to encourage the progressive and reciprocal liberalisation of capital movements and payments between Mexico and the Community, without prejudice to other provisions in this Agreement and further obligations under other international agreements that are applicable between the Parties.
Article 9.
In order to achieve the objective laid down in Article 8, the Joint Council shall adopt the measures and timetable for a progressive and reciprocal elimination of restrictions on capital movements and payments between the Parties, without prejudice to other provisions in this Agreement and further obligations under other international agreements that are applicable between the Parties.
This decision shall include, in particular, the following matters:
(a) the definition, content, extension and substance of the concepts included explicitly or implicitly in this Title;
(b) capital transactions and payments, including national treatment, to be covered by the liberalisation;
(c) scope of the liberalisation and transitional periods;
(d) the inclusion of a clause allowing the Parties to maintain restrictions in this area justified on grounds of public policy, public security, public health and defence;
(e) the inclusion of clauses allowing the Parties to introduce restrictions in this area in case of difficulties in the operation of exchange-rate or monetary policy of one of the Parties, balance of payments difficulties or, in conformity with international law, the imposition of financial restrictions on third countries.
Part V. Public Procurement, Competition, Intellectual Property and other Trade-related Provisions
Article 10. Public Procurement
1. The Parties shall agree to the gradual and mutual opening of agreed government procurement markets on a reciprocal basis.
2. In order to achieve this objective, the Joint Council shall decide on the appropriate arrangements and timetable. The decision shall include, in particular, the following matters:
(a) coverage of the agreed liberalisation;
(b) non-discriminatory access to the agreed markets;
(c) threshold values;
(d) fair and transparent procedures;
(e) clear challenge procedures;
(f) use of information technology.
Article 11. Competition
1. The Parties shall agree on the appropriate measures in order to prevent distortions or restrictions of competition that may significantly affect trade between Mexico and the Community. To this end, the Joint Council shall establish mechanisms of cooperation and coordination among their
Authorities with responsibility for the implementation of competition rules. Such cooperation shall include mutual legal assistance, notification, consultation and exchange of information in order to ensure transparency relating to the enforcement of competition laws and policies.
2. In order to achieve this objective, the Joint Council shall decide in particular, on the following matters:
(a) agreements between undertakings, decisions by associations of undertakings and concerted practices between undertakings;
(b) the abuse by one or more undertakings of a dominant position;
(c) mergers between undertakings;
(d) state monopolies of a commercial character;
(e) public undertakings and undertakings to which special or exclusive rights have been granted.
Article 12. Intellectual, Industrial and Commercial Property
1. Reaffirming the great importance they attach to the protection of intellectual property rights (copyright including the copyright in computer programmes and databases and neighbouring rights, the rights related to patents, industrial designs, geographical indications including designation of origins, trademarks, topographies of integrated circuits, as well as protection against unfair competition as referred to in Article 10a of the Paris Convention for the Protection of Industrial Property and protection of undisclosed information), the Parties undertake to establish the appropriate measures with a view to ensuring an adequate and effective protection in accordance with the highest international standards, including effective means to enforce such rights.
2. To this effect, the Joint Council shall decide on:
(a) a consultation mechanism with a view to reaching mutually satisfactory solutions in the event of difficulties in the protection of intellectual property;
(b) the detailed measures to be adopted in pursuance of the objective set out in paragraph 1, taking into account in particular the relevant multilateral conventions on intellectual property.
Part VI. Cooperation
Article 13. Dialogue on Cooperation and Economic Matters
1. The Joint Council shall institute a regular dialogue in order to intensify and improve the cooperation provided for in this Title which will include, in particular:
(a) information exchange and the periodic revision of the development of cooperation;
(b) coordination and supervision of the implementation of sectoral agreements provided for in this Agreement, as well as the examination of the possibility of new agreements of this type.
2. The Joint Council shall also establish a regular dialogue on economic matters that shall include the analysis and exchange of information, in particular on the macro-economic aspects, in order to stimulate trade and investments.
Article 14. Industrial Cooperation
1. The Parties shall support and promote measures to develop and strengthen efforts to set in motion a dynamic, integrated and decentralised management of industrial cooperation in order to create a climate conducive to economic development, taking account of their mutual interests.
2. Such cooperation shall focus in particular on:
(a) strengthening contacts between both Parties' economic operators, by means of conferences, seminars, missions to seek out industrial and technical opportunities, round tables and general and sector-specific fairs, with a view to identifying and exploiting areas of mutual business interest and to boosting trade, investment and industrial cooperation and technology-transfer projects;
(b) strengthening and extending the existing dialogue between both Parties' economic operators through the promotion of further consultation and coordination activities in order to identify and eliminate obstacles to industrial cooperation, to encourage respect for competition rules, to ensure the consistency of overall measures and to help industry adapt to market requirements;
(c) promoting industrial cooperation initiatives in the context of the process of privatisation and liberalisation of both Parties in order to encourage investments by means of industrial cooperation between undertakings;
(d) supporting modernisation, diversification, innovation, training, research and development and quality initiatives;
(e) promoting the participation of both Parties in pilot projects and in special programmes according to their specific terms.
Article 15. Investment Promotion
The Parties shall help to create an attractive and stable environment for reciprocal investment.
Such cooperation shall take the form inter alia of:
(a) arrangements for information, identification and dissemination relating to legislation and investment opportunities;
(b) support for the development of a legal environment conducive to investment between the Parties, where appropriate, by the conclusion between the Member States and Mexico, of agreements to promote and protect investment and agreements to prevent double taxation;
(c) the development of harmonised and simplified administrative procedures;
(d) the development of mechanisms for joint investments, in particular, with the small and medium-sized enterprises of both Parties.
Article 16. Financial Services
1. The Parties undertake to establish cooperation in the financial services sector, in conformity with their laws, regulations and policies and in accordance with the rules and disciplines of the GATS, in light of their mutual interest and long and medium-term economic objectives.
2. The Parties agree to work together both bilaterally and at the multilateral level to increase mutual understanding and awareness of their respective business environments and to bring about exchanges of information on financial regulations, financial supervision and control and other aspects of common interest.
3. Such cooperation shall have the particular objective of encouraging improved and diversified productivity and competitiveness in the financial services sector.
Article 17. Cooperation on Small and Medium-sized Enterprises
1. The Parties shall promote a favourable environment for
The development of small and medium-sized enterprises.
2. Such cooperation shall consist in:
(a) promoting contacts between economic operators, encouraging joint investments and establishing joint ventures and information networks through existing horizontal programmes such as ECIP, AL-INVEST, BRE and BC-NET;
(b) facilitating access to finance, providing information and stimulating innovation.
Article 18. Technical Regulations and Conformity Assessment
The Parties undertake to cooperate on technical regulations and conformity assessment.
Article 19. Customs
1. The purpose of customs cooperation shall be to ensure fair trade. The Parties undertake to promote customs cooperation with a view to improving and consolidating the legal framework for their trade relations.
2. Such cooperation shall deal, in particular, with the following:
(a) exchanges of information;
(b) the development of new training techniques and coordination of activities which should be undertaken within the international organisations specialising in this field;
(c) exchanges of officials and senior personnel from the customs and tax administrations;
(d) the simplification of customs procedures for the clearance of goods;
(e) technical assistance, whenever necessary.
3. Without prejudice to other forms of cooperation provided for under this Agreement, the Parties state their interest in considering, in the future, the conclusion of a Protocol on mutual assistance in the field of customs, within the institutional framework laid down in this Agreement.
Article 20. The Information Society
1. The Parties recognise that information and communication technologies are key elements of modern life and of vital
Importance to economic and social development.
2. Cooperation in this area shall focus in particular on:
(a) a dialogue on all aspects of the information society;
(b) exchanges of information and any technical assistance required in connection with regulations and standardisation, conformity testing and certification for information and telecommunications technologies;
(c) the dissemination of new telecommunications and information technologies and the refining of new services in advanced communication, services and information technology facilities;
(d) promoting and undertaking joint research and technological and industrial development projects in the field of new information, communication, telematics and information society technologies;