• ENGAGEMENT: Mexico is exploring trade negotiations with the United Kingdom after Friday’s formal exit from the European Union in order to guarantee continuity of trade terms beyond the transition period where the UK will continue to be bound by the EU-Mexico free trade agreement.
• NUMBERS: Per government data, the UK is Mexico’s sixth-largest trade partner within the EU. Mexican exports to the UK amounted to 2.2 billion (gold, auto parts, beer, computers). Meanwhile, UK exports to Mexico were worth 2.4 billion (autos, alcoholic beverages, fuel, medicine).
• GAP: “The Ministry of Economy is exploring together with the corresponding UK authorities, the possible negotiation scenarios in order to avoid a gap between the entry into force of a new trade agreement and the completion of the transition period”, the Mexican government said.
• TRANSITION: According to its Withdrawal Agreement from the EU, the UK will enter an 11-month transition period due to last until December 31, 2020. The transition period is allowed to be extended by 12 or 24 months, but such an extension should be agreed by July 1, 2020.
