MEXICO CITY – Mexico’s government announced on Monday that Argentina has that left the automotive trade agreement that they had. In recent years, the automotive industry has been noted to be a deficit for the South American country.
Since late March, the Mexican government had ruled out renegotiating the agreement with Argentina and is now preparing a case to be filed with the World Trade Organization (WTO).
Mexico said they saw no commercial reason to renegotiate an agreement with Argentina automotive.
Argentina had traded auto surpluses and auto parts with Mexico between 2002 and 2008. But in 2011, a deficit amounting to $100 million was recorded.
Ferrari Asks Argentina to Reconsider
The Minister of Economy, Bruno Ferrari, announced that Mexico would denounce Argentina to the World Trade Organization (WTO) if it decides to unilaterally terminate the Agreement of Economic Complementation 55 (ACE 55). At a press conference, the official urged the Argentine government to reconsider their decision to suspend the the agreement. However, Ferrari made it clear that the Mexican government will go to the end, so “strong and energetic”, to defend the country’s business sector.