  
  
WT/REG395/1/Add.4  
1 April 2021 
(21-2765) Page: 1/25 
Committee on Regional Trade Agreements    
 
APPENDIX  4 MEXICO  
  WT/REG395/1 /Add.4 • Mexico  
 
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  Table of Contents  
Page 
1   TRADE ENVIRONMENT  ................................ ................................ ................................ . 3 
1.1   Merchandise trade  ................................ ................................ ................................ ....... 3 
1.2   Trade in services  ................................ ................................ ................................ .........  5 
2   LIBERA LIZATION OF TRADE IN GOODS  ................................ ................................ ....... 5 
2.1   Import duties and charges and quantitative restrictions ................................ ....................  5 
2.2   Liberalization schedule  ................................ ................................ ................................ . 5 
2.3   Tariff rate quotas  ................................ ................................ ................................ ........ 10 
2.4   Export duties and quantitative restrictions on exports  ................................ ..................... 11 
3   LIBERALIZATION OF TRADE IN SERVICES ................................ ................................ . 11 
3.1   Horizontal commitments  ................................ ................................ .............................. 11 
3.2   Sector -specific commitments  ................................ ................................ ....................... 12 
3.2.1    Business services  ................................ ................................ ................................ .....14 
 Communications services  ................................ ................................ .......................... 15 
 Construction and related engineering services  ................................ ............................. 15 
 Distribution services  ................................ ................................ ................................ .15 
 Educational services  ................................ ................................ ................................ .16 
 Environmental services  ................................ ................................ ............................. 16 
 Financial services  ................................ ................................ ................................ .....16 
 Health related and social services  ................................ ................................ .............. 16 
 Tourism and travel -related services  ................................ ................................ ........... 17 
 Recreational, cultural and sporting services  ................................ ............................... 17 
 Transport services  ................................ ................................ ................................ ..17 
ANNEX 1 ................................ ................................ ................................ ........................  19 
ANNEX 2  ................................ ................................ ................................ ........................  24 
 
  WT/REG395/1 /Add.4 • Mexico  
 
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  1  TRADE ENVIRONMENT  
1.1  Merchandise trade  
1.1.  Chart 1.1 shows the shares of Mexico's trade with the Parties and the other CPTPP Signatories 
(top panel). It also shows Mexico’s share of trade with the CPTPP Signatories with and without 
overlapping RTAs (bottom panel).  
1.2.  Mexico's  imports from the Parties corresponded to 8 % of its global imports while exports to 
the Parties were 4.5% of total exports . Its trade with CPTPP Signatories (the Parties as well as those 
for which the Agreement is not yet in force) was higher, correspond ing to 11% of its total imports 
and 5.5% of its  total exports. Moreover, Mexico 's imports from CPTPP signatories with overlapping 
RTAs amounted to 10.5% of its total imports while exports to CPTPP signatories with overlapping 
RTAs corresponded to 5% of its total exports.  
Chart 1.1 Mexico: Shares of trade with Parties and Signatories , average 2016 -2018  
 
Source:  UNSD, Comtrade database.  
1.3.  Chart 1.2 shows the evolution over time of Mexico's bilateral imports and exports with the 
other Parties. The Parties  for which the Agreement  is in force are shown individually while those for 
which it is not yet in force are  shown  together.  Trade with the Parties tended to increase over the 
whole period considered with a reduction in 2008. Among the Parties, Japan was the largest origin 
of Mex ico's imports while Canada was the largest destination for its exports. Among the CPTPP 
Signatories for which the Agreement  is not yet in force, Malaysia was the largest source of imports 
and Chile was the largest destination of exports.  
WT/REG395/1 /Add.4 • Mexico  
 
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  Chart 1.2 Mexico: Merchandise t rade with individual Parties, 2000 -2018  
 
Source:  UNSD, Comtrade database.  
1.4.  Chart 1.3 shows the decomposition of Mexico 's imports (left panel) and exports (right panel) 
by HS section and partner during 2016 -2018. For the three largest traded HS sections, represented 
by a colour , the chart also shows the origin or the destination of the goods. All other HS sections 
are aggregated in the category labelled as "Others" (in grey). CPTPP Signatories are identified 
individually while trade with other partners have been aggregated under  the rest of the World label 
(ROW). If the label of a partner cannot be clearly seen, it is an indication that trade does not 
represent a significant share.  
1.5.  Mexico's largest imports were machinery  (HS Section 16) , vehicles (HS Section 17)  and mineral  
produ cts (HS Section 5) . Among the Parties, t he most important partner for machinery and vehicles 
was Japan while for minerals it was Canada. Mexico mainly export ed the same products. Among the 
Parties , most of Mexico's exports of machinery and vehicles went to  Canada while minerals were 
exported to Japan.  Among the CPTPP Signatories for which the Agreement is not yet in force, 
Malaysia was the largest source of machinery and vehicles while Chile was the largest destination 
for those products. Peru was the large st source and destination of minerals.  
Chart 1.3 Mexico: Product composition of merchandise trade  by HS section , annual 
average ( 2016 -2018 ) 
 
Source:  UNSD, Comtrade database.  
WT/REG395/1 /Add.4 • Mexico  
 
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  1.2  Trade in services  
1.6.  The services category composition of trade in commercial services  Chart 1.4. The three largest 
services categories are highlighted for imports and exports while trade in all other categories has 
been aggregated. Transport services were  the largest import and the third largest export. Travel  
services were the second largest import and the largest export. I nsurance and pension services were 
the third largest import and the second largest export. No data are available on bilateral trade in 
services and investment.  
Chart 1.4 Mexico: Services category composition of commercial services trade, 2015 -2017  
 
 
Source:  Data provided by the Mexican authorities . 
2  LIBERALIZATION OF  TRADE IN GOODS  
2.1  Import duties and charges and quantitative restrictions   
2.1.  Mexico has been granted a few exceptions to the general prohibition o n quantitative restrictions  
on imports  in Annex 2 -A; see Section 3.1.1 of the Factual Presentation.  
2.2  Liberalization schedule  
2.2.  In 2018, Mexico's applied MFN tariff contained 12,536 8 -digit lines of which 80 lines had non-
ad valorem  duties (specific, compound or prohibited).  
2.3.  Mexico generally  has a single liberalization schedule , with some exceptions:  
a. Mexico applies tariff differentials for a few lines on automotive imports  from Japan;  
b. tariff liberalization vis-à-vis Viet Nam  is one year behind compared  to other Parties due to 
the non-application of the catch -up mechanism  on trade between both countries ;1 and 
c. for dairy  and sugar , two different staging categories apply, whereby some Parties benefit 
from a TRQ while others face the MFN rate – see Section 2.3.2 
 
1 The catch -up mechanism  for "late-comers " provides that the Party will implemen t at once  all the tariff 
cuts already in force for other  Parties . 
2 Different liberalization schedules also apply to palm oil and palm kernel oil  with respect to Malaysia, 
but since the Agreement is not yet in force for Malaysia, this question is not addressed in this Appendix.   
WT/REG395/1 /Add.4 • Mexico  
 
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  2.4.  Mexico's tariff differentials - i.e. when different liberalization categories apply among the Parties 
(Appendix C to its Annex 2 -D) - apply to 26 tariff lines relating to large vehicles and trucks  imported 
from Japan ( Table 2.1). For these lines,  tariffs  for imports from Japan will be progressively reduced 
from entry into force until 202 7, but will not be eliminated . Imports from oth er Parties will in tu rn 
become  duty-free from the Agreement 's entry into force. Further , the origin of these automotive 
goods will be determined  on the basis of a change in tariff heading  (CTH)  – which diverges from the 
general ly-applied  rules o f origin fo r automotive  goods  which is based on value added requirements.  
Finally, rules are also provided for the tariff to be applied on an o riginating good of a Party which 
uses originating materials produced in Parties other than that  Party or Mexico,  but which d o not 
satisfy the required CTH.  
Table 2.1 Tariff differentials applied by Mexico  
Products  Base 
rate Tariff for imports  from  
Japan  Other  Parties  
Tractors ; Buses and mini -buses ; 
Motor vehicles for the transport of 
goods; Concrete -mixer lorries ; 
Chassis  
8701.20.01, 8702.10.01, 8702.10.02, 
8702.10.03, 8702.10.04, 8702.90.02, 
8702.90.03, 8702.90.04, 8702.90.05, 
8704.22.04, 8704.22.05, 8704.22.06, 
8704.22.99, 8704.23.99, 8704.32.04, 
8704.32.05, 8704.32.06, 8704.32.99, 
8705.40.01, 8706.00.99  30% 2018: 27.25% , reduced in 8 instalments 
to reach 8% in 2025  
2026: 7.75%  
2027 and thereafter : 7.5%   
 
 
Free at entry 
into force   
Electric and other motor vehicles for 
the transport of goods  
8704.90.01, 8704.90.99  15% 2018: 13.63% , reduced in 8 instalments 
to reach 4 % in 2025  
2026:3.87%  
2027 and thereafter : 3.75%  Free at entry 
into force   
Scum carriers and m obile drilling 
derrick  
8704.22.01, 8704.23.01, 8704.32.01, 
8705.20.01  5% 2018: 4.54% , reduced in 8 instalments 
to reach 1.33% in 2025  
2026: 1.28%  
2027 and thereafter : 1.25%  Free at entry 
into force  
Source:  Appendix C to Mexico's  Annex 2 -D. 
2.5.  Table 2.2 shows tariff and trade liberalization by Mexico under the Agreement . Prior to its entry 
into force, 57.2% of Mexico 's tariff lines were duty -free on an MFN basis , accounting for imports 
from Parties  ranging from 63.8% in the case of Canada  to 87.5% in the case of Australia . Following 
the Agreement 's entry into force, Mexico  liberalized an additional 2,299  lines for all Parties except 
Japan , for which the initial liberalization concerned 2,273  lines. That represented an additional 
18.3% and 18.1% of Mexico 's tariff, respectively. In terms of trade, upfront liberalization was valued 
at between 3.9% of imports from Australia and New Zealand  up to 23.2% of imports from Canada . 
Ten years after entry into force in 2027, an additional 2,672 lines will be liberalized for all Parties 
except Viet Nam  – for which the corresponding figure will be 340 lines.3 Accordingly, by 202 7 around 
98% (or more) of imports from  all Parties would be  duty-free with the exception of  New Zealand , 
for which the corresponding figure is below 90% . Following the end of the transition period in 203 3 
(2034 for Viet Nam ), 69 tariff lines will remain dutiable  for all Parties except Japan , accounting for 
between  0.1% of imports from Singapore and Viet Nam and 10.8% from New Zealand. In the case 
of Japan, 95 tariff lines will remain dutiable, representing 0.9 % of imports . 
Table 2.2 Mexico: Tariff elimination commitments u nder the CPTPP  and corresponding 
average trade  
Phase -out 
period  Number of 
lines  % of total 
lines  MEX's Imports from CPTPP parties (2015  - 2017)  
(USD million)  
Australia  Canada  
Value  % Value  % 
2018 (MFN)  7,172  57.2 412.6  87.5 6,098.5  63.8 
2018 2,299  18.3 18.3 3.9 2,219.0  23.2 
2020 17 0.1 0.0 0.0 0.0 0.0 
2022 317 2.5 2.9 0.6 152.1  1.6 
 
3 Liberalization towards Viet Nam is one y ear behind, but in 2028 the same 2,672 tariff lines will be free.  WT/REG395/1 /Add.4 • Mexico  
 
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  Phase -out 
period  Number of 
lines  % of total 
lines  MEX's Imports from CPTPP parties (2015  - 2017)  
(USD million)  
Australia  Canada  
Value  % Value  % 
2025 6 0.1 15.5 3.3 0.1 0.0 
2027 2,332  18.6 14.8 3.1 894.1  9.4 
2028 1 0.0 0.0 0.0 0.7 0.0 
2029 2 0.0 0.0 0.0 0.0 0.0 
2030 50 0.4 0.0 0.0 0.0 0.0 
2032 55 0.5 6.3 1.3 70.3 0.7 
2033 216 1.7 0.0 0.0 8.1 0.1 
Remain dutiable  69 0.6 1.4 0.3 115.4  1.2 
TOTAL  12,536  100.0  471.8  100.0  9,558.3  100.0  
Phase -out 
period  Number of 
lines  % of total 
lines  Japan  
Value  % 
2018 (MFN)  7,172  57.2 12,182.2  71.1 
2018 2,273  18.1 3,779.4  22.1 
2020 17 0.1 1.6 0.0 
2022 317 2.5 131.2  0.8 
2025 6 0.1 0.0 0.0 
2027 2,332  18.6 876.3  5.1 
2028 1 0.0 0.0 0.0 
2029 2 0.0 0.0 0.0 
2030 50 0.4 0.0 0.0 
2032 55 0.5 2.4 0.0 
2033 216 1.7 1.7 0.0 
Remain dutiable  95 0.8 148.3  0.9 
TOTAL  12,536  100.0  17,123.0  100.0  
Phase -out 
period  Number  of 
lines  % of total 
lines  New Zealand  Singapore  
Value  % Value  % 
2018 (MFN)  7,172  57.2 267.1  77.3 1,128.8  85.5 
2018 2,299  18.3 13.5 3.9 111.6  8.4 
2020 17 0.1 0.0 0.0 0.0 0.0 
2022 317 2.5 0.7 0.2 5.0 0.4 
2025 6 0.1 14.9 4.3 0.0 0.0 
2027 2,332  18.6 10.7 3.1 73.9 5.6 
2028 1 0.0 0.4 0.1 0.0 0.0 
2029 2 0.0 0.0 0.0 0.0 0.0 
2030 50 0.4 0.0 0.0 0.0 0.0 
2032 55 0.5 0.9 0.3 0.0 0.0 
2033 216 1.7 0.0 0.0 0.0 0.0 
Remain dutiable  69 0.6 37.3 10.8 0.8 0.1 
TOTAL  12,536  100.0  345.6  100.0  1,320.1  100.0  
Phase -out 
period  Number  of 
lines  % of total 
lines  Viet Nama 
Value  % 
2018 (MFN)  7,172  57.2 2,964.1  74.3 
2019 2,299  18.3 184.8  4.6 
2021 17 0.1 114.2  2.9 
2023 317 2.5 12.1 0.3 
2026 6 0.0 0.0 0.0 
2028 2,332  18.6 237.9  6.0 
2029 1 0.0 0.0 0.0 
2030 2 0.0 0.3 0.0 
2031 50 0.4 263.3  6.6 
2033 55 0.4 0.0 0.0 
2034 216 1.7 205.9  5.2 
Remain dutiable  69 0.6 3.9 0.1 
TOTAL  12,536  100.0  3,986.6  100.0  
a Liberalization is delayed by one year on trade between Mexico and Viet Nam due to the non -
application of the catch -up mechanism.  Thus, the EOI of Mexico vis-à-vis Viet Nam is 2034.  
Note:  Tariff lines subject to in -quota rates  are excluded from the computation . For the calculation of 
avera ges, specific rates are excluded and the ad valorem  parts of alternate rates are included .  
 Based on the HS 2012 nomenclature.  
Source :  WTO estimates based on data provided by Mexico . WT/REG395/1 /Add.4 • Mexico  
 
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  2.6.  Table 2.3(a) shows Mexico's tariff liberalization by HS section vis-à-vis Australia, Canada, 
Japan, New Zealand and Singapore; corresponding information  for Viet Nam – with liberalization 
delayed by one year - is shown in Table 2.3(b). The last instalment for the liberalization of both 
agricultural and industrial products under HS Sections I -IV and V -XXI respectively will take place in 
2033 (2034 for Viet  Nam). The last 17 agricultural lines to be liberalized concern bananas, unroasted 
coffee (robusta variety) and prepared and preserved fish and pineapples . The 199 industrial lines 
concern clothing and other textile products and diapers for babies . Some ag ricultural and industrial 
products will remain dutiable after the end of the transition period – dairy (for which Mexico grants 
TRQs), other unroasted coffee, sugar and preparations using sugars (for which TRQs might also be 
granted), coffee preparations a nd used vehicles under HS 87.01 -87.05; their average final dutiable 
tariff varies from 21.2% to 40%.  
2.7.  Table 2.3(a) also shows that the 26 lines liberalized at entry into force for all Parties except 
Japan concern  automotive  products under HS Section XVII ; they will remain dutiable in Mexico when 
originating in Japan. Imports of other new vehicles are fully liberalized, at the latest in 2030 (2031 
for imports from Mexico) . 
Table 2.3(a) Mexico – Australia, Canada, Japan, New Zealand and Singapore : Tariff 
elimination under the CPTPP , by HS Section  HS Section  
MFN average %  
Total N umber  of 
lines  Duty -
free 
lines 
under 
the 
MFN 
2018  Number of duty -free lines under the CPTPP  
Number of  lines 
remaining dutiable  
Avg. 
Final 
Tariff 
(Dutia -
ble) 2018  
2020  
2022  
2025  
2027  
2028  
2029  
2030  
2032  
2033  
AUSTRALIA, CANADA, NEW ZEALAND AND SINGAPORE  
I 15.7 439 62 215 17 14 6 81   4 13  27 26.1 
II 11.7 519 117 331  8  32 1   21 3 6 27.3 
III 8.5 72 17 36  2  17        
IV 18.4 357 31 202  16  54  2  19 14 19 37.2 
V 0.3 219 211 5    3        
VI 1.4 2,865  2,286  343  7  229        
VII 3.8 570 347 70  12  139    2   - 
VIII 4.8 124 92 1    31        
IX 6.7 188 66 62  11  49        
X 2.8 311 182 100  19  10        
XI 13.3 1,422  159 187  16  862     198   
XII 17.1 167 18 22  9  72   46     
XIII 5.8 313 162 40  19  92        
XIV 3.3 65 47   4  14        
XV 3.8 1,267  860 159  78  170        
XVI 2.7 2,492  1,901  266  49  276        
XVII 7.6 402 200 138  8  39      17 47.5 
XVIII 2.6 450 319 49  36  46        
XIX 11.2 33 2 20  3  8        
XX 8.9 247 79 53  6  108     1   
XXI 0.0 14 14             
Total  5.7 12,536  7,172  2,299  17 317 6 2,332  1 2 50 55 216 69 33.9 
JAPAN  
I 15.7 439 62 215 17 14 6 81   4 13  27 26.1 
II 11.7 519 117 331  8  32 1   21 3 6 27.3 
III 8.5 72 17 36  2  17        
IV 18.4 357 31 202  16  54  2  19 14 19 37.2 
V 0.3 219 211 5    3        
VI 1.4 2,865  2,286  343  7  229        
VII 3.8 570 347 70  12  139    2    
VIII 4.8 124 92 1    31        
IX 6.7 188 66 62  11  49        
X 2.8 311 182 100  19  10        
XI 13.3 1,422  159 187  16  862     198   WT/REG395/1 /Add.4 • Mexico  
 
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HS Section  
MFN average %  
Total N umber  of 
lines  Duty -
free 
lines 
under 
the 
MFN 
2018  Number of duty -free lines under the CPTPP  
Number of  lines 
remaining dutiable  
Avg. 
Final 
Tariff 
(Dutia -
ble) 2018  
2020  
2022  
2025  
2027  
2028  
2029  
2030  
2032  
2033  
XII 17.1 167 18 22  9  72   46     
XIII 5.8 313 162 40  19  92        
XIV 3.3 65 47   4  14        
XV 3.8 1,267  860 159  78  170        
XVI 2.7 2,492  1,901  266  49  276        
XVII 7.6 402 200 112  8  39      43 22.6 
XVIII  2.6 450 319 49  36  46        
XIX 11.2 33 2 20  3  8        
XX 8.9 247 79 53  6  108     1   
XXI 0.0 14 14             
Total  5.7 12,536  7,172  2,273  17 317 6 2,332  1 2 50 55 216 95 25.1  
Note:  Tariff lines subject to in -quota rates are excluded from the computation. For the calculation of 
averages, specific rates are excluded and the ad valorem  parts of alternate rates are included.  
 Based on the HS 2012 nomenclature.  
Source:  WTO estimates bas ed on data provided by Mexico.  
Table 2.3(b) Mexico – Viet Nam: Tariff elimination under the CPTPP, by HS Section  HS Section  
MFN average %  
Total N umber  of 
lines  Duty -
free 
lines 
under 
the 
MFN 
2018  Number of duty -free lines under the CPTPP  
Number of  lines 
remaining 
dutiable  Avg. 
Final 
Tariff 
(Dutia -
ble) 2019  
2021  
2023  
2026  
2028  
2029  
2030  
2031  
2033  
2034  
I 15.7 439 62 215 17 14 6 81   4 13  27 26.1 
II 11.7 519 117 331  8  32 1   21 3 6 27.3 
III 8.5 72 17 36  2  17        
IV 18.4 357 31 202  16  54  2  19 14 19 37.2 
V 0.3 219 211 5    3        
VI 1.4 2,865  2,286  343  7  229        
VII 3.8 570 347 70  12  139    2    
VIII 4.8 124 92 1    31        
IX 6.7 188 66 62  11  49        
X 2.8 311 182 100  19  10        
XI 13.3 1,422  159 187  16  862     198   
XII 17.1 167 18 22  9  72   46     
XIII 5.8 313 162 40  19  92        
XIV 3.3 65 47   4  14        
XV 3.8 1,267  860 159  78  170        
XVI 2.7 2,492  1,901  266  49  276        
XVII 7.6 402 200 138  8  39      17 47.5 
XVIII 2.6 450 319 49  36  46        
XIX 11.2 33 2 20  3  8        
XX 8.9 247 79 53  6  108     1   
XXI 0.0 14 14             
Total  5.7 12,536  7,172  2,299  17 317 6 2,332  1 2 50 55 216 69 33.9 
Note:  Tariff lines subject to in -quota rates are excluded from the computation. For the calculation of 
averages, specific rates are excluded and the ad valorem  parts of alternate rates are included.  
 Based on the HS 2012 nomenclature.  
Source:  WTO estimat es based on data provided by Mexico.  WT/REG395/1 /Add.4 • Mexico  
 
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  2.8.  It can be seen from Chart 2.1 that the preferential and MFN average tariffs for lines remaining 
dutiable are the same for dairy an d dairy preparations of Chapters 4 and 19; these products are 
excluded from liberalization (though TRQs are granted). Preferences are however in place for coffee 
and tea and their preparations under Chapters 9 and 21, and vehicles and other transport equip ment 
under Chapter 87. Coffee and tea of Chapter 9 benefit from the highest margin of preference. MFN 
and preferential averages for remaining dutiable products of Chapter 87 are lower in the case of 
Japan when compared to the other Parties, given the highe r number of lines remaining dutiable in 
Japan. Lines remaining dutiable in Chapters 17 and 18 are only subject to specific duties and no 
preference is provided for except a possible opening of a TRQ (see next Section) .  
Chart 2.1 Mexico:  Average of dutiable rates , by HS Chapter  
 
* Tariff lines subject to specific duties only.  
Note:  Tariff lines subject to in -quota rates  are excluded from the computation . For the calculation of 
averages, specific rates are excluded and the ad valorem  parts of alternate rates are included .  
 Based on the HS 2012 nomenclature.  
Source :  WTO estimates based on data provided by Mexico .  
2.3  Tariff rate quotas  
2.9.  Mexico has granted nine country -specific TRQs under the Agreement , as follows:  
a. to all Parties4 (at an aggregate level)  for the following dairy products: milk and cream, 
milk powder, evaporated milk, condensed milk, butter, cheese and dairy -based 
preparations;  
b. to all Parties  except Japan5 for products consisting of natural milk constituents;  and 
c. if imports of sugar are required to meet domestic demand  an MFN TRQ may be opened of 
which 7% is reserved for Australia . No quota has been opened for 2018 nor 2019.   
2.10.   With the exception of the sugar TRQ, the quota quantities  are progressively increased from 
entry into force until 2028; thereafter, the levels remain unchanged . For all TRQs, the in-quota rates 
are duty -free and the MFN  duty is the out -of-quota rate. TRQs are allocated either through 
 
4 While they apply to all Parties for which the Agreement  was in force by November  2020, they would 
not apply to Chile nor Peru when each of them become s a Party.  
5 This would also not apply  to Chile nor Peru.  
0%10%20%30%40%50%60%
ALL ALL ALL ALL ALL ALL JPN OTHERS
04 09 17 18 19 21 87Average Duty Rate 
HS Chapters Preferential MFN
* *WT/REG395/1 /Add.4 • Mexico  
 
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  auctioning6 or on a first come, first served basis, depending on the product and year concerned. Any 
quantity imported under CPTPP TRQs shall not be counted toward the TRQs granted for the same 
products in the context of the WTO or ano ther RTA.7 For Viet Nam, access to TRQs only applies  as 
of 14 January 2019 due to the non -application of the catch -up mechanism  between both countries. 
Additional details  regarding Mexico's TRQs can be found in Annex  2 to this Appendix . 
2.4  Export duties and quantitative restrictions on exports  
2.11.   Mexico does not apply export duties.  
2.12.   Mexico has been granted a few exceptions to the general prohibition o n quantitative 
restrictions on exports in Annex 2 -A; see Section 3.3 of the Factual Presentation.  
3  LIBERALIZATION OF  TRADE IN SERVICES  
3.1.  Mexico made commitments in  almost all  the sector s  identified in the WTO Services Sector al 
Classification  (i.e. 10 out of eleven)8, except for health related and social services, which are 
unbound under the Agreement and t o a large extent also under the GATS.9 It made full commitments 
in two sectors: environmental services, excluded under the GATS, and tourism and travel related 
services. The remaining sectors are subject to sector -specific reservations in both the GATS an d the 
Agreement, but commitments are broader under the Agreement.  
3.2.  Mexico maintain s 71 reservations at the federal  level, ten apply horizontally, and the rest are 
sector -specific . Sectors with the largest number of reservations and thus the most regulated ones 
include financial, transport and business services, in particular energy related services.  Mexico also 
includ es two multisector reservations (i.e. apply ing to more than one sector)  one on social service s 
and the other on activities reserved for the State. The reservation on social services, which has been 
also listed by  the other Parties, allows Mexico to adopt or maintain any non -conforming measure 
with respect to cross -border trade and investment affecting the supply of social services, inc luding 
correctional services, income security or insurance, social security or insurance, social welfare, public 
education, public training, health and childcare . Under the second multisector reservation, Mexico 
reserves the following activities for the Me xican state: telegraph and postal services; issuance of 
currency and coinage; and control, inspection and surveillance of maritime and inland ports, airports 
and heliports, and nuclear power.   
3.3.  Mexico reserve s the right to maintain  all existing non -conform ing measures at the state level.  
3.1  Horizontal commitments  
3.4.  Mexico  listed t en horizontal reservations: six for existing non -conforming measures and four 
for future non -conforming measures.  The reservations principally affect investment, and only in one 
case, does the reservation under the Agreement mirror th at in the GATS. In its GATS schedule 
Mexico has a horizontal limitation restricting foreign investment in activities reserved for Mexican 
nationals and another one prohibit ing foreigners from acquiring land along the country's borders and 
coasts . This prohibition is also listed under the Agreement.  Other reservations  on existing measures 
include foreign ownership restrictions  for micro -industry enterprises and cooperative production 
enterprises , and authorisation requirements for foreign investment in Mexican companies of a certain 
size operating in an unrestricted sector. Mexico also lists the criteria used to evaluate applications 
 
6 Certain disciplines regarding TRQ allocation are also provided for in the Annex.  
7 Mexico has WTO TRQs for meat and edible offal, animal fats, milk powder, cheese, potatoes, beans, 
wheat, barley, maize (corn), coffee  and sugar and pro ducts with high sugar content . 
8 The WTO Services Sector al Classification (WTO document MTN.GNS/W/120) is based on the UN 
Central Product Classification (CPC), and comprises 11 sectors and 55 subsectors. In addition to these 11 
sectors, the classification includes a twelfth category named "Other services not included elsewhere", which for 
the purpose of this exercise has not been included, and it is therefore not shown in table 3.1.  It is worth to 
mention that in its GATS schedule Mexico made commitments with respect to certain repair services (CPC 633) 
and classified them under "Other services not included elsewhere" . And under the Agreement , Mexico made a 
reservation on religious services to impose nationality and establishment restrictions on religious as sociation s, 
that has been assigned to this category . 
9 In its GATS schedule, Mexico has listed some commitments in hospital services and other human 
health services.   WT/REG395/1 /Add.4 • Mexico  
 
- 12 - 
 
  for acquisitions or establishment of investment in restricted activit ies. It also reserves the right to 
maintain all its existing statal non-conforming measures.  
3.5.  Under its reservations on future measures, Mexico reserves the right to adopt or maintain any 
measure restricting the acquisition, sale or other disposition of bon ds, treasury bills and other debt 
securities issued by federal, state or local governments. Like Canada and Viet Nam, it reserves  the 
right to grant any rights or preferences to socially or economically disadvantaged groups . It may 
also adopt or maintain a ny measure that grants differential treatment to countries under an 
international agreement in force prior to the Agreement's entry into force10 and all agreements in 
force or signed thereafter involving aviation, fisheries or maritime matters (including s alvage) . A 
similar reservation has also been listed by all other Parties.  In addition, Mexico reserves the right to 
adopt or maintain any market -access measure  compatible  with its market access obligations under 
GATS Article XVI and its GATS schedule of co mmitments  as modified in the Agreement . The modified 
schedule under the Agreement consists of  improvements with respect to its GTAS commitments on 
market access.11 This reservation  was also listed by all other Parties, except Japan and Singapore.  
3.2  Sector -specific commitments  
3.6.  Mexico has commitments in ten services sectors compare d to nine under its GATS schedule12; 
at the sub -sectoral level this corresponds to having commitments in 50 sub -sectors out of 55 under 
the Agreement, compared to 28 under the GATS. Mexico made full commitments in 24  subsectors  
and maintain s 61 sector -specific reservations in another 26 , for which commitments are broader 
than under the GATS . Table 3.1 compares  Mexico 's sectoral commitments under the Agreement and 
under its GATS schedule for modes 1 -3. The comparison does not take into account MFN and 
horizontal limitations, and is based on the WTO Services Sectoral Classification.  
Table 3.1 Mexico 's sector -specific commitments  (modes 1 -3 only) under  the GATS and the 
Agreement  
Sectors (CPC Classification) – Mexico  
RTA as compared  
to the GATS  GATS  RTA Sectoral 
commitments  
Sectoral 
commitments  Reservations 
numbered in  order of 
appearanc e 
Existinga 
(Annex I)  Futurea 
(Annex 
II) 
1. Business services       
A. Professional  Services  Broader  Partial Partial  23, 25, 26, 
27 5 
B. Computer  and Related  Services  Broader  Partial Full - - 
C. Research  and Development  Services  Broader  Partial Full - - 
D. Real  Estate  Services  New None Full - - 
E. Rental/Leasing  Services  without  Operators  Broader  Partial Full - - 
F. Other  Business  Services  Broader  Partial Partial  6,12, 13, 
14, 17, 18, 
19, 20 21, 
29 2, 7 
2. Communication services        
A. Postal  services  Same None None 10 7 
B. Courier  services  Broader  Partial Partial 43 - 
C. Telecommunication  services  Broader  Partial Partial  9, 10 7 
D. Audiovisual  services  Broader  Partial Partial  8, 9, 46  7 
 
10 Which differ slightly in scope  as it only considers agreements in force and not signed like for instance 
Canada.  
11 This only applies to non -discriminatory market access (i.e. it does not cover foreign equity 
limitations).  
12 All eleven sectors in the WTO Services Sectoral Classification, except environmental services , and 
recreational, cultural and sporting services . In its GATS schedule, Mexi co made some commitments in with 
respect to certain repair services and classified them under the category "Other services not included 
elsewhere", which is not included in this analysis (see Footnote 8).  WT/REG395/1 /Add.4 • Mexico  
 
- 13 - 
 
 
  Sectors (CPC Classification) – Mexico  
RTA as compared  
to the GATS  GATS  RTA Sectoral 
commitments  
Sectoral 
commitments  Reservations 
numbered in  order of 
appearanc e 
Existinga 
(Annex I)  Futurea 
(Annex 
II) 
E. Other  New None Full - - 
3. Construction and related engineering 
services       
A. General  construction  work for buildings  Broader  Partial Full - - 
B. General  construction  work for civil engineering  Broader  Partial Partial  11 - 
C. Installation  and assembly  work  New None Full - - 
D. Building  completion  and finishing  work  Broader  Partial Full - - 
E. Other  Broader  Partial Full - - 
4. Distribution services       
A. Commission  agents'  services  New None Partial  16 - 
B. Wholesale  trade services  Broader  Partial Partial  12, 15, 16, 
17 - 
C. Retailing  services   Broader  Partial Partial  7, 12, 13, 
15, 16, 17  - 
D. Franchising   New None Full - - 
E. Other  New None Full - - 
5. Education al services       
A. Primary education services  Broader  Partial Partial 22 5 
B. Secondary education services  Broader  Partial Partial 22 5 
C. Higher education services  Broader  Partial Partial 22 5 
D. Adult education  New None Partial - 5 
E. Other education services  Broader  Partial Partial 22 5 
6. Environmental  services          
A. Sewage services  New None Full - - 
B. Refuse disposal services  New None Full - - 
C. Sanitation and similar services  New None Full - - 
D. Other  New None Full - - 
7. Financial services       
A. All insurance  and insurance -related  services  Broader  Partial Partial  2A, 3A, 4A, 
5A, 9A, 11A  1B, 3B, 
4B 
B. Banking  and other financial  services  Broader  Partial Partial  1A, 2A, 3A, 
4A, 5A, 6A, 
7A, 8A, 
10A, 11A 1B, 2B, 
3B, 4B  
C. Other  Broader  Partial Partial  2A, 3A, 4A, 
5A, 11A  1B, 3B, 
4B 
8. Health related and social services       
A. Hospital services  Narrower  Partial None - 5 
B. Other Human Health Services  Narrower  Partial None - 5 
C. Social Services  same  None None - 5 
D. Other  same  None None - 5 
9. Tourism and travel related services       
A. Hotels  and restaurants (incl. catering)  Broader  Partial Full - - 
B. Travel  agencies  and tour operators  services  Broader  Partial Full - - 
C. Tourist  guides  services  Broader  Partial Full - - 
D. Other  New None Full - - 
10. Recreational and cultural and sporting 
services       
A. Entertainment  services  New None Full - - 
B. News agency services  New None Full - - 
C. Libraries, archives, museums and other 
cultural services  New None Full - - WT/REG395/1 /Add.4 • Mexico  
 
- 14 - 
 
  Sectors (CPC Classification) – Mexico  
RTA as compared  
to the GATS  GATS  RTA Sectoral 
commitments  
Sectoral 
commitments  Reservations 
numbered in  order of 
appearanc e 
Existinga 
(Annex I)  Futurea 
(Annex 
II) 
D. Sporting and other recreational services  New None Partial  - 3 
E. Other  New None Full - - 
11. Transport services       
A. Maritime Transport Services  New None Partial  10, 11, 20 
34, 35, 36, 
37, 38  6 
B. Internal Waterways Transport services  New None Partial  10, 11, 20, 
34, 35, 36, 
37, 38  6 
C. Air  Transport  Services  Broader  Partial Partial  10, 30, 31, 
32, 33  6 
D. Space  Transport services  New None Partial 40 - 
E. Rail  Transport  Services  New None Partial 10, 11, 44, 
45 - 
F. Road  Transport  Services  Broader  Partial Partial 10, 11, 41, 
43 - 
G. Pipeline  Transport services  New None Partial 10, 12, 13, 
17, 39  - 
H. Services  auxiliary  to all modes  of transport  Broader  Partial Partial 24, 42  7 
I. Other  Transport  Services  Broader  Partial Full - - 
a Except for reservations in financial services, which are listed in Annex III.  
- No reservations apply.  
Partial:  Commitments are subject to one or more sector -specific limitation/reservation  
Full: Commitments are not subject to any sector -specific limitation/reservation.  
Note:  MFN and Horizontal limitations, as well as Mode 4 commitments/limitations are not considered.  
Source:  Draft Consolidated GATS Schedule of Specific Commitments (S/DCS/W/ MEX), prepared by the 
Secretariat and Mexico's Schedules annexed to the Agreement.  
3.2.1   Business services  
3.7.  In business services, Mexico expands its GATS commitments by making full commitments in 
all subsectors, except for professional and other business services which continue to be restricted. 
Despit e such restrictions , both subsectors benefit from better commitments under the Agreement.  
3.8.  In professional services, Mexico expanded  its GATS coverage and added legal services, taxation 
services, integrated engineering services, urban planning and landscap e architectural services, and 
veterinary services , to its schedule. No reservations were taken for any of these activities except for 
legal services. For instance, Mexico allows the provision of legal services by foreign professionals 
based on reciprocity and subject to compliance with other requirements. Also, only Mexican nationals 
and companies can provide commercial notary public services. In addition, Mexico made full 
commitments in accounting, auditing, bookkeeping, dental, architectural and engineeri ng services,  
all subject to limitations under the GATS, but contrary to the GATS, it did not take any commitments 
in medica l services, and services provided by mid -wives, nurses, physiotherapists, and para -medical 
personnel, which are covered by the multi -sector reservation on social services . Also, only Mexican 
doctors may supply in -house medical services in Mexican enterprises .  
3.9.  In other business services, Mexico  added nine new activities to its list of commitments (e.g. 
services incidental to fishing, mining and manufacturing), and broaden ed its commitments in the 
eleven activities listed in its GATS schedule  by remov ing most of its GATS limitations , except for 
those on agriculture. For example, only Mexican enterpr ises may obtain a concession to spray 
pesticides, and foreign investment is limited to 49% of the capital of companies owning land for 
agriculture, livestock or forestry purposes . In addition, Mexico maintains reservations on scientific WT/REG395/1 /Add.4 • Mexico  
 
- 15 - 
 
 
  and technical consu lting, investigation and security, fishing, manufacturing, mining, printing, and 
energy distribution activities , all unbound under the GATS.  For instance, it  reserves the following  
activities for the State: the control, inspection and surveillance of port s (maritime and inland), and 
airports and heliports (security services); t he exploration and production of oils and hydrocarbons ; 
and the transmission and distribution of electricity.13 It also limits f oreign investment to 49% of the 
capital of Mexican com panies performing coastal, and fresh-water fishing . The same equity ceiling 
applies to companies engaged in the printing and publishing of daily newspapers, and the 
manufacturing of explosives, fireworks, firearms, cartridges and ammunition s. 
Communication s services  
3.10.   Compared to the GATS Mexico made broader commitments  in all subsectors of 
communications services, e xcept postal services which continue to be reserved for the State.  In 
courier services, Mexico removed the GATS limits on foreign equity but maintained the authorization 
and nationality requirements for the means of transport used to deliver such services . In 
telecommunications services, Mexico maintain ed most of its GATS  reservations  for basic and value -
added telecommunications services  but removed for example  the GATS foreign equity caps in some 
basic telecommunications services, including telephony services. While these restrictions were 
removed, Mexico continues to res erve the provision of telegraph and radiotelegraph services for the 
Mexican State.  Investment by foreign Governments and States is not allowed in Mexican companies 
providing communication services, including telecommunications and postal services. This 
reservation also applies to transportation services.  Moreover, only Mexican nationals and companies 
are allowed to h old sole concessions14 and frequency band concessions15, and be resellers . Finally , 
in audio -visuals,  Mexico  expanded sectoral coverage which is limited under the GATS to private 
production of cinematographic films and private film -screening services and relaxed its GATS 
reservations. Mexico reduced to 10% (from 30% in the GATS) the percentage of screen time tha t 
theatr es must reserve for Mexican movies and removed the limitation on foreign investment in 
companies engage in film screening and production services. In radio, television, and related 
broadcasting services, Mexico made some commitments while maintaini ng various reservations. For 
example, only Mexican nationals or companies will be granted sole concessions and frequency band 
concessions  to provide broadcasting  services  (radio and free to air television  services ). Investors of 
another Party may participa te up to 49 % in concessionaire enterprises providing broadcasting 
services conditional on reciprocity. Only Mexican nationals and companies can provide (subject to 
authorization) telecommunication services as reseller s, without being a concessionaire . 
Construction and related engineering services  
3.11.   In construction and related engineering services, Mexico made commitments in installation 
and assembly work, excluded from the GATS, and expanded the sectoral and modal coverage in the 
other rem aining subsectors while restricting foreign investment in construction works for civil 
engineering. Under this limitation only Mexican nationals and companies may obtain a concession to 
build or maintain federal roads, bridges, airports, heliports, maritim e and inland port terminals, 
pipelines and railroads. This is the only restriction under the Agreement specific to this sector. The 
equity ceiling of 49% listed by Mexico in its GATS schedule is removed under the Agreement.  
Distribution services  
3.12.   Mexico mad e commitments in commission agents' services and franchising, excluded from its 
GATS schedule, and expanded those in wholesale and retailing services, while maintaining various 
reservations relating to the distribution of explosives, firearms, natural gas,  hydrocarbons, 
petrochemicals, and petroleum products. It restricts , for example , foreign participation to 49% in 
the capital of Mexican companies engage d in the sale of explosives, firearms, ammunitions, or fuel 
 
13 Private investment s in these activities is only allowed through contractual arrangements.  
14 According to the authorities, a sole concession allows the holder to provide any telecommunications 
services. If broadcasting services are to be provided, or if spectrum access is necessary for the provision of 
services, the applicant will also need a spectrum concession.  
15 In this regard, the authorities indicated that the former concession system in the telecommunications 
sector was reformed and replaced by a simpler class -licensing regime (except for resource sc arcity restraints, 
i.e. spectrum).  WT/REG395/1 /Add.4 • Mexico  
 
- 16 - 
 
  for aircraft, vessels and railway equipment . It also applies establishment requirements to companies 
willing to engage in the distribution or sale of gasoline, diesel and natural gas.  
Education al services  
3.13.   Mexico made no commitments regarding public education which is covered by the multi -sector 
reservation on social services but undertook some commitments in private education services. 
Subject to authorization, it allows foreign investment to exceed the GATS ceiling of 49% in private 
institutions providing pre -school, primary, secondary, high schoo l, higher and combined private 
education services.16   
Environmental services  
3.14.   The provision of environmental services, unbound under the GATS, has been liberalized under 
the Agreement.  
Financial services  
3.15.   Mexico  broade ned its GATS  commitments  in financial services, but improvements remain 
limited as several restrictions and prohibitions continue to apply. For instance, in insurance and 
insurance related services, Mexico prohibits foreign companies from selling life and non -life 
insurance to per sons or companies located in its territory, unless they cannot be purchased locally  
or are intended to cover a risk abroad (i.e.  international or travel insurance ). The prohibition  includes 
private insurance for Mexican nationals and companies, insurance f or Mexican vessels or aircraft, 
credit insurance, housing credit insurance and insurance of financial guarantee s, as well as insurance 
intended to cover a risk in Mexico. The provision of insurance intermediation services (i.e. brokerage 
and agency) and au xiliary services for the se activities is also prohibited. Mexico also prohibits equity 
participation by foreign governments  and financial entities in mutual insurance companies, and 
insurance or bonding agencies. Foreign individuals may participate in mutu al insurance companies 
provided they do so individually and not as part of a legal entity.  
3.16.   In banking and other financial services, Mexico expanded sectoral coverage17 but maintained 
some reservations, which in certain cases are less stringent than in the  GATS. For example, it allows 
foreign investment in credit unions of up to 15% of their capital, which under the GATS is prohibited. 
Other reservations listed under the Agreement include the consolidation of two security companies 
following the acquisition  of one of them by a subsidiary security firm. Mexico also reserves the right 
to adopt or maintain measures that grant exclusive rights to development banks, as well as the right 
to grant at the discretion of financial authorities a concession to operate a s a stock exchange .  
3.17.   Finally, Mexico listed various reservations that apply to the entire sector. It prohibits the 
establishment in its territory of branches of financial institutions of another Party. It prohibits 
participation by foreign governments in the equity of Mexican financial institutions, including 
insurance companies, but allows foreign investment in the equity of Mexican subsidiaries subject to 
conditions . It also applies nationality or residency requirements for the members of the boards of 
directors of financial services companies. Under its  list of future non -conforming measures, Mexico 
reserves the right to: prohibit or impose limitations with respect to foreign investment on the 
ownership or sale of existing State enterprises; to adopt or maintain measures that  grant advantages 
or exclusive rights to governmental entities such as national insurance institutions; and to adopt or 
maintain any measure in relation to any financial service that is supplied by a covered investment 
as defined in Article 9.1, but is not  a covered investment as defined in Article 11.1 . 
Health related and social services  
3.18.   Mexico did not take any commitment s under the Agreement in health related and social 
services, which are subject to a broad reservation allowing the application of any mea sure affecting 
 
16 In its GATS schedule foreign investment in such establishments is limited to 49% and subject to prior 
authorization.  
17 Mexico made commitments in  (i) payment and money transmission services; (ii) guarantees and 
commitments; (iii) settlements and clearing services for financial assets; (iv) the provision, and transfer of 
financial information and data, and (v) trading activities involving derivative prod ucts and exchange rate and 
interest rate instruments , all excluded from its GATS' schedule.  WT/REG395/1 /Add.4 • Mexico  
 
- 17 - 
 
 
  investment and cross -border trade in social services such as correctional services, income security 
and insurance, social security, social welfare, health  (public and private)  and childcare services. 
Under the GATS, commitments in health rel ated and social services are limited to certain activities 
and modes.18 
Tourism and travel -related services  
3.19.   Mexico made full commitments under the Agreement in tourism and travel related services, 
which under the GATS are limited to certain  activities  and mod es. In particular , it removed the GATS 
ceiling of 49%  on the participation of foreign capital for restaurants, cabarets, and nightclubs; and 
bound mode 1 for travel agencies, tour operators, and tourist guide services.  
Recreational, cultu ral and sporting services  
3.20.   In recreational, cultural and sporting services, unbound under the GATS , Mexico made 
commitments without limitations except for gambling and betting service s for which it reserves the 
right to adopt or maintain any measure affecti ng cross -border trade or investments . All other Parties  
except for Canada listed a similar reservation under the Agreement.  
Transport services  
3.21.   In transport services, Mexico expand s sectoral coverage , limited under the GATS to certain 
air, road, auxiliary and other (i.e. tramway and subway) transport services, and added rail, space, 
pipelines, maritime and internal waterways transport services  to its list of committed activities while 
maintain ing reservations  in all types of transportation .19 In total, 25 reservations  refer to transport 
services  – about one third of Mexico's 71 reservations  – making transportation one of the most 
restricted sectors, together with business and financial services. Reservations include  foreign equity 
limits as well as establishment and nationality requirements , which reflect to a large extent those 
listed in its GATS  schedule.  
3.22.   In mari time and internal waterways transport services, Mexico imposes , for example , 
restrictions on foreign investment in Mexican companies supplying services related to port 
administration, port services, piloting, inland and coastal navigation, and cabotage.  In rail transport 
services, it imposes nationality and establishment requirements on companies willing to engage in 
the construction, operation and exploitation of railroads and railway transportation public service s. 
Foreign investment above  49% in such com panies is allowed but subject to approval.  
3.23.   In air transportation, Mexico  expands sectoral coverage by making some commitments in 
commercial air transport services (scheduled and non -scheduled) and specialty air services, both 
excluded under  the GATS, but maintain s a number of reservations.20 For instance, foreign equity 
participation is limited to 49%  in Mexican companies that have been granted a concession to operate 
airports and heliports  (instead of 30% under the GATS ). Higher equity participation is po ssible 
subject to authorization. Foreign investment is also limited to 25% in Mexican companies willing to 
provide commercial air services or specialized air services using a Mexican aircraft. Nationality 
requirements apply to the management staff of such companies.  
3.24.   In road transport services, Mexico expands sectoral coverage, which is limited to vehicle 
maintenance and repair services under the GATS  but also maintains some reservations. For instance, 
only Mexican nationals or companies may obtain a permit to establish or operate a bus or truck 
station ; and can provide bus and truck services for the transportation of goods or passengers within 
Mexico. Foreign investment in companies supply ing such bus and truck services is not allowed. In 
services auxiliary to all modes of transport, Mexico reserves the provision of auxiliary services to 
 
18 Under the GATS, Mexico limits foreign capital participation to 49% in private hospital services, clinical 
laboratories and institutions providing selected medical  services, and bound mode 2 with respect to market 
access and national treatment. Some commitments were also made in mode 3 with respect to national 
treatment. Under its GATS horizontal reservations, it also listed limitations on national treatment in the supply 
of social services.  
19 Mexico expanded its sectoral coverage by  making commitments in  rail, space, pipelines, maritime and 
internal waterways transport services, all excluded from its GATS schedule . 
20 In addition to these services, the Agreement cove rs aircraft repair and maintenance services, selling 
and marketing of air transport services, and computer reservation system services (like in the GATS) . WT/REG395/1 /Add.4 • Mexico  
 
- 18 - 
 
  federal road transportation to Mexican nationals and companies . It also  maintain s the GATS 
restriction o n the nationality of customs brokers.  
3.25.   Mexico prohibits investment by foreign States in Mexican enterprises engaged in 
transportation , and  also reserves the right to adopt or maintain any measure with respect to 
specialized personnel in the transportation sector, which reflect its GATS reservation s. Only Mexican 
nationals by birth may serve as captains, pilots, ship masters, machinists, mechanics  and crew 
members manning vessels or aircraft under the Mexican flag ; as well as  harbour pilots  and masters , 
and airport administrators . WT/REG395/1 /Add.4 • Mexico  
 
- 19 - 
 
  ANNEX 1 
1. Table A1.1 shows tariff liberalization by Mexico  under the CPTPP  by total, agricultural and 
industrial products.  There is a common liberalization schedule applying to all Parties except Japan ; 
liberalization towards  Viet Nam is delayed by one year. Upon the Agreement 's entry into force, the 
share of duty -free tariff lines applied on all products rose from 57.2%  on an MFN basis  in 2018 to 
75.3% (Japan) or 75.6% (others). The overall average applied tariff fell from 5.7% on an MFN basis 
to 3.3% for imports from all Parties. For agricultural goods, CPTPP exporters  faced an average tariff 
rate of 4.8% instead of the MFN average rate of 14.5%; for industrial products, rates decreased 
from 4.6% on an MFN basis to 3. 1%. The five Parties thus benefitted from a relative margin of 
preference of 42.1%  overall, 66.9% for ag ricultural products and 32.6% for industrial products. 
Following ten years of liberalization in 202 7 (202 8 for Viet Nam) , the share of duty -free lines overall 
for imports from  Japan  is expected to rise by an additional 21.4% of the tariff  – or 21.3% for th e 
others. Liberalization will be higher for industrial products – 21.8% (Japan) or 21.7% (others) 
additional lines compared to 17.8% for agricultural products ( all Parties ). At the end of liberalization 
in 203 3 (2034 for Viet Nam ), the share of duty -free lines for imports from the Parties is expected to 
increase to 99.2% (Japan) or 99.4% (others) overall, 9 6.3% for agricultural products  (all Parties)  
and 99.6% (Japan) or 99.8% (others) for industrial product s. 
Table A1. 1 Mexico: Indicators of MFN tariff rates and preferential rates for imports from 
CPTPP Parties  
Origin of 
goods  Year ALL PRODUCTS  HS Chapters 01 -24 HS Chapters 25 -97 
Average 
applied tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Average 
applied tariff  Share o f 
duty-
free 
tariff 
lines 
(%) Average 
applied tariff  Share of 
duty-
free 
tariff 
lines 
(%) Overall 
(%) 
On 
dutiable 
(%) 
Overall 
(%) 
On 
dutiable 
(%) 
Overall 
(%) 
On 
dutiable 
(%) 
MFN  2018  5.7 13.3 57.2 14.5 17.4 16.4 4.6 12.2 62.3 
AUS, 
CAN, 
NZL, 
SGP  2018 3.3 13.5 75.6 4.8 18.2 72.9 3.1 12.9 75.9 
2019 3.1 12.7 75.6 4.5 16.9 72.9 2.9 12.2 75.9 
2020 2.9 12.0 75.7 4.1 16.2 74.1 2.8 11.4 75.9 
2021 2.6 10.6 75.7 3.7 14.5 74.1 2.4 10.1 75.9 
2022 2.2 10.0 78.2 3.2 14.5 77.0 2.1 9.5 78.4 
2023 1.8 8.5 78.2 2.9 13.1 77.0 1.7 7.9 78.4 
2024 1.5 6.9 78.2 2.6 11.6 77.0 1.4 6.3 78.4 
2025 1.1 5.3 78.3 2.2 10.3 77.4 1.0 4.6 78.4 
2026 0.8 3.6 78.3 1.9 8.7 77.4 0.7 3.0 78.4 
2027 0.4 14.2 96.9 1.5 17.6 90.7 0.3 12.7 97.6 
2028 0.4 12.5 96.9 1.4 16.2 90.8 0.3 10.9 97.6 
2029 0.3 10.8 96.9 1.2 14.8 90.9 0.2 9.1 97.6 
2030 0.3 10.4 97.3 1.1 13.6 91.2 0.2 8.9 98.0 
2031 0.2 8.7 97.3 0.9 11.9 91.2 0.1 7.1 98.0 
2032 0.2 8.4 97.7 0.8 20.0 95.0 0.1 5.4 98.1 
2033 0.2 33.9 99.4 0.8 28.0 96.3 0.1 47.5 99.8 
JPN  2018 3.3 13.5 75.3 4.8 18.2 72.9 3.1 12.9 75.6 
2019 3.1 12.8 75.3 4.5 16.9 72.9 3.0 12.2 75.6 
2020 2.9 12.0 75.5 4.1 16.2 74.1 2.8 11.5 75.6 
2021 2.6 10.7 75.5 3.7 14.5 74.1 2.5 10.2 75.6 
2022 2.2 10.1 78.0 3.2 14.5 77.0 2.1 9.5 78.1 
2023 1.9 8.5 78.0 2.9 13.1 77.0 1.7 7.9 78.1 
2024 1.5 6.9 78.0 2.6 11.6 77.0 1.4 6.3 78.1 
2025 1.2 5.3 78.1 2.2 10.3 77.4 1.0 4.7 78.1 
2026 0.8 3.7 78.1 1.9 8.7 77.4 0.7 3.1 78.1 
2027 0.4 13.7 96.7 1.5 17.6 90.7 0.3 12.2 97.4 
2028 0.4 12.1 96.7 1.4 16.2 90.8 0.3 10.5 97.4 
2029 0.3 10.5 96.7 1.2 14.8 90.9 0.2 8.9 97.4 
2030 0.3 10.1 97.1 1.1 13.6 91.2 0.2 8.6 97.8 
2031 0.2 8.5 97.1 0.9 11.9 91.2 0.2 7.0 97.8 
2032 0.2 8.2 97.5 0.8 20.0 95.0 0.1 5.5 97.8 
2033 0.2 25.1 99.2 0.8 28.0 96.3 0.1 22.6 99.6 WT/REG 395/1 /Add.4 • Mexico  
 
- 20 - 
 
  Origin of 
goods  Year ALL PRODUCTS  HS Chapters 01 -24 HS Chapters 25 -97 
Average 
applied tariff  Share 
of 
duty-
free 
tariff 
lines 
(%) Average 
applied tariff  Share o f 
duty-
free 
tariff 
lines 
(%) Average 
applied tariff  Share of 
duty-
free 
tariff 
lines 
(%) Overall 
(%) 
On 
dutiable 
(%) 
Overall 
(%) 
On 
dutiable 
(%) 
Overall 
(%) 
On 
dutiable 
(%) 
VNM 2019 3.3 13.5 75.6 4.8 18.2 72.9 3.1 12.9 75.9 
2020 3.1 12.7 75.6 4.5 16.9 72.9 2.9 12.2 75.9 
2021 2.9 12.0 75.7 4.1 16.2 74.1 2.8 11.4 75.9 
2022 2.6 10.6 75.7 3.7 14.5 74.1 2.4 10.1 75.9 
2023 2.2 10.0 78.2 3.2 14.5 77.0 2.1 9.5 78.4 
2024 1.8 8.5 78.2 2.9 13.1 77.0 1.7 7.9 78.4 
2025 1.5 6.9 78.2 2.6 11.6 77.0 1.4 6.3 78.4 
2026 1.1 5.3 78.3 2.2 10.3 77.4 1.0 4.6 78.4 
2027 0.8 3.6 78.3 1.9 8.7 77.4 0.7 3.0 78.4 
2028 0.4 14.2 96.9 1.5 17.6 90.7 0.3 12.7 97.6 
2029 0.4 12.5 96.9 1.4 16.2 90.8 0.3 10.9 97.6 
2030 0.3 10.8 96.9 1.2 14.8 90.9 0.2 9.1 97.6 
2031 0.3 10.4 97.3 1.1 13.6 91.2 0.2 8.9 98.0 
2032 0.2 8.7 97.3 0.9 11.9 91.2 0.1 7.1 98.0 
2033 0.2 8.4 97.7 0.8 20.0 95.0 0.1 5.4 98.1 
2034 0.2 33.9 99.4 0.8 28.0 96.3 0.1 47.5 99.8 
Note:  Tariff lines subject to in -quota rates  are excluded from the computation . For the calculation of 
averages, specific rates are excluded and the ad valorem  parts of alternate rates are included .  
 Based on the HS 2012 nomenclature.  
Source :  WTO estimates based on data provided by Mexico .  
2. Table A1.2 summarizes the market access opportunities in Mexico for the other Parties' top 
25 exports during  2015-2017, and the year in which the corresponding tariff lines will become duty 
free under the Agreement . Some of the top 25 exports of Australia (rape or colza seeds and zinc), 
Canada and  Japan (automotive) , New Zealand (dairy and food preparations) and Viet Nam 
(unroasted coffee) will remain partially dutiable in Mexico – representing 2, 12, 18, 12 and 1 lines 
respectively (down from respectively 59, 67, 101, 43 and 116 dutiable lines on an MFN basis). All 
the top 25 exports of Singapore will be fully liberalized (down from 24 dutiable lines on an MFN 
basis), at the latest by 2027.  
Table A1. 2: Summary of market access opportunities in Mexico for CPTPP parties' top 25 
exports to the world  
Parties' top 25 
export products 
in 2015 -17 Access Conditions to Mexico's import market  Exporters  
Share in global 
exports (%)  MFN 2018  Number  of duty -free lines under CPTPP  
Remain 
dutiable  Average 
MFN 
applied 
rate (%)  Number of 
duty-free 
lines  
Number of 
dutiable 
lines  
2018  
2019  
2021  
2022  
2023  
2025  
2027  
2028  
2031  
2032  
2034  
AUS 72.0 4.3 111 59 31   1   25     2 
CAN 42.6 6.1 147 67 29   2   24     12 
JPN 32.1 7.2 235 101 45   2   36     18 
NZL 52.6 12.3 20 43 17     2 8 1  3  12 
SGP 51.0 0.8 142 24 9   1   14     - 
VNM 46.5 10.8 171 116 na 15 1  3   58 33  5 1 
na Not applicable.  
Note:  Based on the HS 201 7 nomenclature , except for Singapore and Viet Nam's market access conditions, 
for which the basis is HS 2012 . 
Source:  WTO estimates based on data provided by CPTPP Parties and Comtrade database.  WT/REG395/1 /Add.4 • Mexico  
 
- 21 - 
 
  3. Tables A1. 3(a) and A1.3(b) show market access conditions for Mexico 's top 25 exports in the 
other Parties'  markets , which accounted for 43.3% of its global exports in 2015 -2017. These 
products involved between 39 and 332 lines in the other Parties' tariffs . At the Agreement' s entry 
into force all lines became free in New Zealand and Singapore. At the latest in 2028 all tariff lines 
will be duty -free in Canada and Japan. Upon  full implementation, Australia and Viet Nam will 
maintain tariffs on three and six products  respectively  (covering three and 100 tariff lines) – all of 
which concern automotive products of HS 8703 or 8704. The average 2018 MFN tariffs for these 
products were 5% in the case of Australia and between 18.6%-57.5% in the case of in Viet  Nam.   
  WT/REG395/1/Add.4 • Mexico  
 
- 22 - Table A1.3(a) Mexico: Market access opportunities under the CPTPP for its top 25 exports to the world  
Mexico's 
top 
export 
products 
in 2015 -
2017  Share in 
global 
exports 
(%) Access conditions in CPTPP Parties' markets  
AUS CAN JPN 
MFN (2018)  Duty 
free 
under 
CPTPP   Remain 
dutia - 
ble MFN (2018)  
Duty free under 
CPTPP  
Remain 
dutia -
ble MFN 
(2018)  Number of  
tariff lines  
Duty 
free 
under 
CPTPP,
2028  
Remain dutiable  
Average 
MFN 
rates  Number of 
tariff lines  
Average 
MFN 
Rates  Number 
of tariff 
lines  
Average 
MFN 
rates  
Duty -free 
Dutiable  Duty -free 
Dutiable  
2018  
2020  
Duty -free 
Dutiable  
2018  
2022  
2023  
2028  
270900  4.6 0.0 2     0.0 1       0.0 2    
870431  4.0 5.0  2 2   6.1  1    1  0.0 1    
851762  3.1 0.0 1     0.0 1       0.0 2    
852872  3.0 5.0  1 1   5.0 4 11 11     0.0 2    
847150  2.8 0.0 1     0.0 1       0.0 1    
870340  2.7 5.0  4 3  1 6.1  2  2    0.0 1    
870360  2.7 5.0  4 3  1 6.1  2  2    0.0 1    
870323  2.0 5.0  4 3  1 6.1  1  1    0.0 1    
854430  1.9 5.0  1  1  0.0 1       0.0 2    
870120  1.7 5.0  1 1   6.1  1   1   0.0 1    
940190  1.5 3.3 1 2 1 1  0.0 1       3.8 1 2 2  
847149  1.3 0.0 1     0.0 1       0.0 1    
870829  1.3 3.3 1 2 2   6.6 3 4 4     0.0 1    
870850  1.1 3.5 3 7 7   6.0 3 3 3     0.0 2    
853710  1.0 2.5 1 1 1   0.0 9       0.0 1    
840734  1.0 3.3 1 2 1 1  0.0 3       0.0 1    
851770  0.9 2.5 1 1 1   0.0 1       0.0 1    
870422  0.9 5.0  1 1   6.1  1    1  0.0 1    
870899  0.9 3.8 1 3  3  6.0 4 5 5     0.0 2    
710812  0.9 0.0 1     0.0 1       0.0 1    
901890  0.8 0.0 1     0.0 3       0.0 6    
220300  0.8 0.0 9     0.0 1       0.0 1    
841810  0.8 5.0  1 1   8.0 1 1 1     0.0 1    
870421  0.8 5.0  2 2   6.1 1 1    1  0.0 1    
840991  0.8 2.5 1 1 1   0.0 1       0.0 2    
Total  43.3 3.0 26 40 31 6 3 3.0 41 33 24 5 1 3 - 0.2 37 2 2 - 
Note:  Based on the HS 201 7 nomenclature.  
Source:  WTO estimates based on data provided by CPTPP Parties and Comtrade database.   
  WT/REG395/1/Add.4 • Mexico  
 
- 23 - Table A1.3(b) Mexico: Market access opportunities under the agreement for its top 25 exports to the world  
Mexico's 
top 
export 
products 
in 2015 -
2017  Share 
in 
global 
exports 
(%) Access conditions in CPTPP Parties' markets  
NZL SGP VNM 
MFN (2018)  
Duty 
free 
under 
CPTPP, 
2018  
Remain dutiable  MFN (2018)  
Duty 
free 
under 
CPTPP, 
2018  
Remain dutiable  MFN (2018)  
Duty free under the 
agreement  
Remain dutiable  
Average 
MFN 
Rates  Number 
of tariff 
lines  
Average 
MFN rates  Number of  
tariff lines  
Average MFN Rates  
Number  of 
tariff lines  Duty -free 
Dutiable  
Duty -free 
Dutiable  
Duty -free 
Dutiable  
2019  
2022  
2024  
2026  
2029  
270900  4.6 0.0 1    0.0 3      3.0 2 1 1           
870431  4.0 5.0 2 1 1  0.0 8      25.0   6           6 
851762  3.1 0.0 8    0.0 16      10.0 15 1   1         
852872  3.0 0.0 1    0.0 4      35.0   4   4         
847150  2.8 0.0 1    0.0 2      0.0 2               
870340  2.7 10.0 4 8 8  0.0 53      18.6 7 32           32 
870360  2.7 10.0 4 8 8  0.0 53      18.6 7 32           32 
870323  2.0 10.0 1 2 2  0.0 22      57.5   11           11 
854430  1.9 6.3 1 4 4  0.0 6      15.0   6 2 4         
870120  1.7 5.0 2 1 1  0.0 2      5.0 1 1   1         
940190  1.5 6.7  3 3  0.0 6      20.0 1 5   5         
847149  1.3 0.0 1    0.0 2      0.0 2               
870829  1.3 6.7 1 3 3  0.0 13      15.4   13         13   
870850  1.1 5.0 1 1 1  0.0 12      11.8   12     1   11   
853710  1.0 5.0  1 1  0.0 9      11.7 3 6 1 5         
840734  1.0 5.0 1 1 1  0.0 12      23.2   12       12     
851770  0.9 0.0 6    0.0 10      4.0 8 2 1 1         
870422  0.9 5.0 2 1 1  0.0 17      23.8   13           13 
870899  0.9 5.6 3 8 8  0.0 11      15.9   11     3   8   
710812  0.9 0.0 1    0.0 1      0.0 1               
901890  0.8 0.0 2    0.0 3      0.0 3               
220300  0.8 0.0 5    0.0   2 2  35.0   2         2   
841810  0.8 5.0  1 1  0.0 2      14.0   2 1 1         
870421  0.8 5.0 2 1 1  0.0 8      26.7   6           6 
840991  0.8 5.0 3 2 2  0.0 55      11.9   55   21   34     
Total  43.3  4.0 53 46 46 - 0.0 330 2 2 - 16.0  52 233 6 43 4 46 34 100 
Note:  Based on the HS 2017 nomenclature, except for Singapore and Viet Nam's market access conditions, for which the basis is HS 20 12. 
Source:  WTO estimates based on data provided by CPTPP Parties and Comtrade database.   
  WT/REG395/1/Add.4 • Mexico  
 
- 24 - ANNEX  2  
TARIFF RATE QUOTAS  
1. Table A2. 1 provides information on Mexico's country -specific TRQs  applying to Parties for which the Agreement  is in force by November  20201 included in 
Appendix A -1 and A -2 to Mexico's Annex 2 -D to the Agreement . Despite  being country -specific, the aggregate level s of TRQs under Appendix A -1 are opened to 
all six CPTPP Parties2 - except for  the TRQ on "products consisting of natural milk cons tituents" which does not apply to Japan.  For Viet Nam, access to TRQs only 
applies  as of 14 January 2019 due to the non -application of the catch -up mechanism  between both countries.  In all cases the in -quota rates are duty -free and 
the MFN  tariff is the ou t-of-quota rate.  
2. Appendix A -2 grants a 7% allocation to Australia if Mexico were to open a TRQ for sugar on an MFN basis.  
Table A 2.1 Mexico:  Country -specific TRQs (CSQs) ( 8) 
Product  Quantity & Beneficiary3 
(metric tonnes unless specified ) Quota Rate  
Remarks  In-quota  Out-of-quota  
Appendix A -1  
Milk and cream, not concentrated nor 
sweetened (CSQ -MEX1)  
0401 ALL 
2018: 20,833 l itres  
2019: 262,500 l itres  
2028 (2029): 375,000 l itres Free MFN - Auctioning possible in Y1 -Y5,  
- From Y6: first come, first served  basis 
Milk powder (CSQ-MEX2)  
0402.10.01 -0402.21.01  ALL 
2018: 2,083  
2019: 26,700  
2028 (2029): 42,000  Free MFN - Y1-Y10: ≥80% of the quantities allocated to 
0402.21.01  
- Auctioning possible in Y1 -Y3 
- From Y4: first come, first served basis  
Evaporated milk (CSQ-MEX3)  
0402.91.01 -0402.91.99  ALL 
2018: 42  
2019: 525  
2028 (2029): 750  Free MFN - Allocation through auctioning  
Condensed milk (CSQ-MEX4)  
0402.99.01 -0402.99.99  ALL 
2018: 83  
2019: 1,050  
2028 (2029): 1,500  Free MFN - Allocation through auctioning  
 
1 An additional TRQ on palm oil and palm kernel oil granted to Malaysia is not included since the Agr eement is not yet in force for Malaysia.  
2 These TRQs also do not apply to Chile nor Peru, but that is disregarded because the Agreement is not yet in force for  these countries. Originally under the TPP they also 
did not apply to the United States.  
3 For V iet Nam, access to TRQs only applies  as of 14 January 2019 due to the non -application of the catch -up mechanism  between both countries . [this is already indicated 
in the text].   
  WT/REG395/1/Add.4 • Mexico  
 
- 25 - Product  Quantity & Beneficiary3 
(metric tonnes unless specified ) Quota Rate  
Remarks  In-quota  Out-of-quota  
Products consisting of natural milk constituents 
(CSQ-MEX5)  
0404.90.99  AUS-CAN-NZL-SGP–VNM 
2018: 83  
2019:1,100  
2028 (2029): 2,000  Free MFN - Auctioning possible in Y1 -Y5 
- From Y6: first come, first served basis  
Butter (CSQ-MEX6)  
0405.10.01 -0405.10.99 -0405.20.01  ALL 
2018: 125  
2019: 1,550  
2028 (2029): 2,000  Free MFN - Auctioning possible in Y1 -Y3 
- From Y4: first come, first served basis  
Cheese (CSQ-MEX7)  
0406.10.01 -0406.20.01 -0406.30.01 -
0406.30.99 -0406.90.03 -0406.90.04 -
0406.90.05 -0406.90.06 -0406.90.99  ALL 
2018: 354  
2019: 4,475  
2028 (2029): 6,500  Free MFN - Auctioning possible in Y1 -Y3 
- From Y4: first come, first served basis  
Dairy -based preparations (CSQ-MEX8)  
1901.90.04 -1901.90.05  ALL 
2018: 167  
2019: 2,050  
2028 (2029): 2,500  Free MFN - Auctioning possible in Y1 -Y5 
- From Y6: first come, first served basis  
Appendix A -2 
Sugar, if Mexico  opens a MFN TRQ  
17.01, 1702.90.01, 1806.10.01, 2106.90.05  AUS 
Quantity: 7% of the MFN quantity  Free MFN - Allocation through auctioning.  
- Reallocated to other countries if AUS cannot fulfil 
the TRQ.  
- Time-frames  are set for the validity of export 
certificates and actual exportation.  
- Only for sugar originating from Australia in 
accordance with Annex 3 -D. 
- No carry -over of unused amounts  
Source:  Appendix A -1 and A -2 to Mexico's Annex 2 -D to the CPTPP.  
_________ _ 