Mexico complains to China about unfair trade practicesSeptember 30th, 2011 - 12:08 pm ICT by IANS
Mexico City, Sep 30 (IANS/EFE) Mexico’s government has sent China a letter accusing some of its companies of engaging in unfair practices to evade customs duties.
The missive, signed by Economy Secretary Bruno Ferrari, expresses “concern” over practices by Chinese companies such as declaring goods at falsely low prices, deliberately misclassifying merchandise and shipping products via third countries.
Mexico has found that some companies offer services to Chinese exporters that help them evade legitimate duties by “concealing the origin, value or other characteristics of the goods” and thereby tricking customs officials, the economy ministry said in a statement.
Ferrari proposed in the letter to Chinese Commerce Minister Chen Deming that a special team be formed under the framework of the Mexico-China High Level Group to “analyse, discuss and solve the problem” in the near future.
Mexico “wants to keep building a sustainable, long-term commercial relationship with China”, its second-biggest trade partner, the statement said, noting that since the Asian giant joined the World Trade Organization in 2001 it has sought to ensure that country “fulfills its (trade) obligations”.
Mexico, the US and the European Union have been among the most frequent complainants before the WTO over China’s trade practices, according to the economy ministry.
Cases that Mexico has brought before the Geneva-based trade organization against China have included complaints about banned subsidies and restrictions it has placed on exports of some raw materials from the Asian country, as well as violations of intellectual-property and investment rights.
The letter comes a few months before restrictions imposed by Mexico on a range of Chinese imported goods are set to expire.
Although Mexican quotas on about 750 Chinese-imported products expired in 2008, the two countries signed an agreement that same year establishing a transition period for some particularly sensitive imported goods.
That accord gave Mexican industrial sectors until December 2011 to prepare for the elimination of compensatory quotas for products such as textiles, apparel, footwear, toys, bicycles, strollers, tools, appliances, electrical machines and apparatuses, chemicals, lighters, pencils, valves, ballasts (components in fluorescent lamps), locks, candles and other items.
Mexican authorities also have complained about the asymmetry in the country’s trade relations with China.
According to Mexican authorities, imports from China in 2010 were valued at $45.6 billion, while exports to the Asian nation amounted to just $4.2 billion.
- Mexico poised to restrict imports of Chinese footwear - Sep 08, 2011
- Mexico's imports of Chinese-made shoes surge - Mar 16, 2012
- Brazil wants Mexico to cap vehicle exports - Mar 11, 2012
- China's trade with Latin America grew in 2011 - Apr 18, 2012
- Brazil, Mexico settle dispute over auto exports - Mar 17, 2012
- Brazil sets auto export quotas for Mexico - Apr 05, 2012
- Mexican auto sector willing to accept quotas - Mar 15, 2012
- Mexican firm eyeing Cuba offshore oil projects - Apr 13, 2012
- BRICS nations set to surpass Mexico in GDP per capita - Oct 28, 2011
- Mexico lost $872 bn to illegal capital flight: Study - Jan 31, 2012
- Spanish, Chinese firms sign deals valued at $626 mn - May 25, 2012
- China seeks expanded trade with Brazil - Feb 14, 2012
- Mexico sees $3.5 bn foreign investment in tourism over 3 years - Apr 15, 2011
- Mexico's central bank raises growth forecast - Feb 10, 2011
- Unilever opens $100 mn plant in Mexico - Jul 07, 2011
Tags: asian country, bruno ferrari, chinese companies, chinese exporters, commerce minister, commercial relationship, customs duties, customs officials, economy ministry, high level group, imported products, mexico city, missive, origin value, shipping products, trade partner, transition period, unfair practices, unfair trade practices, world trade organization