The free trade agreement between Mexico and Panama became effective on July 1, 2015, Panama's Ministry of Trade and Industry said.

The FTA was signed in Panama on April 3, 2014. It was ratified by Mexico on April 20, 2015.

Under the FTA, Mexico will immediately receive preferential tariff treatment on 72 percent of agreed products, including copper, aluminum, steel, automobiles, auto parts, paints, cosmetics, and perfumes. Tariffs on the remaining products will be lowered gradually, after five years.

Panama noted that the FTA will give it access to a potential market of over 112m people – a market some 36 times larger than the Panamanian market.

It is expected that the FTA will pave the way for Panama to become a full member of the Pacific Alliance (PA) trade bloc, comprising Chile, Peru, Colombia, and Mexico.

Source: Tax News

• FAS accepting Viet Nam trade mission applications
• Regenerative agriculture paves way for coffee to meet EUDR and cut emissions
• Indonesia, Viet Nam Reaffirm $18 Billion Trade Goal, Sign Five-Year Action Plan
• Why this summer's heatwaves could raise your supermarket bill next year
• Viet Nam steps up investment and trade promotion with the Republic of Korea through business and investor connectivity