The United Kingdom and Mexico have recently signed a continuity agreement that ensures a smooth trading relationship between the two nations after Brexit. This agreement will help maintain the existing trade relationship between the UK and Mexico and will provide certainty for businesses in both countries.
The UK and Mexico have had a long-standing trade relationship, with Mexico being the UK`s second-largest trading partner in Latin America. In 2019, the two countries traded goods and services worth £5.3 billion. The continuity agreement will ensure that this trade relationship continues, and businesses can continue to benefit from the existing trade rules.
The agreement covers a wide range of sectors, including automotive, pharmaceuticals, agriculture, and food and drink. The agreement ensures that tariffs on goods traded between the UK and Mexico will remain at their current levels, providing businesses with stability and predictability.
The continuity agreement also includes provisions on intellectual property, competition, and state-owned enterprises. These provisions will help protect UK businesses operating in Mexico and vice versa. This will provide a level playing field for businesses in both countries and help ensure fair competition.
The UK and Mexico have committed to negotiating a new, comprehensive trade agreement in the future. This agreement will build on the continuity agreement and will provide even more opportunities for businesses in both countries. The UK government has stated that it is committed to continuing its trade relationship with Mexico and to strengthening the economic ties between the two countries.
In conclusion, the UK and Mexico continuity agreement is an important step in ensuring a smooth trading relationship between the two nations after Brexit. The agreement will provide certainty for businesses, maintain existing trade rules, and protect UK businesses operating in Mexico. This continuity agreement is a positive development for both countries and lays the foundation for a future comprehensive trade agreement.