By Isabel Inclán. Correspondent
Ottawa, Dec. 24 (Notimex).- Within the framework of the upcoming entry into force of the Comprehensive and Progressive Treaty of the Trans-Pacific Partnership (CPTPP), the Government of Canada highlighted its importance and its commercial relationship with Mexico.
The CPTPP, signed in March 2018 in Santiago, Chile, which will enter into force on December 30, is a trade bloc of 11 countries representing 495 million people with a combined gross domestic product (GDP) equivalent to 13.5 percent of the world GDP.
Through the CPTPP, Canada will soon have preferential access to 500 million consumers in the "most dynamic and fast-growing" market; a move that will strengthen Canadian businesses, grow the economy and create better-paid jobs for middle-class Canadians, says a report from the Foreign Ministry.
The transpacific bloc was ratified by Mexico, Australia, Canada, Japan, New Zealand and Singapore, and is in the process of being ratified in Vietnam, Brunei, Chile, Peru and Malaysia.
Ottawa highlighted that Mexico is the third largest trading partner in Canada; In 2016, Mexico was the fifth largest export market in Canada and the third largest source of imports.
Both countries are trading partners of the Treaty between Mexico, the United States and Canada (T-MEC), which modernized the North American Trade Treaty (NAFTA).
Approximately, two thousand Canadian companies exported to Mexico in 2016. The stock of foreign direct investment of Mexico in Canada was valued at 1.7 billion dollars in that year, according to data from the Canadian chancellery.
In addition, Canadian direct foreign investment actions in Mexico were valued at 16.8 billion dollars in 2016.
Mexico was the 12th country to send the most international students to Canada: 6,920 long-stay students in 2016.
According to the report of the Canadian chancellery, where it explains "why Mexico matters", it is indicated that the main Canadian exports to these countries between 2015 and 2017 were: agricultural products (1.8 billion Canadian dollars), cars (1.7 billion dollars), metals and minerals (1.1 billion dollars), industrial machinery (634 million dollars) and plastics and chemicals (576 million dollars).
In that same period, the Canadian government indicated that its exports of total merchandise to Mexico represented 7.3 billion dollars, its imports 32.3 billion.
The export of Canadian services to Mexico was: commercial (664 million dollars), trip (357 million) and transportation and government (139 million), 1.1 billion dollars in total.
The main Mexican imports in that period were: cars (13.7 billion dollars), machinery and electronic and electrical equipment (7.1 billion dollars), industrial products (3.2 billion dollars), agricultural products (2.4 billion dollars), and industrial machinery (1.9 billion dollars).
In 2016 the imported Mexican services were: trips (2.5 billion dollars), commercial (425 million) and transportation and government (263 million), 3.2 billion dollars in total.
In the tourism sector, both countries maintain a close relationship. With data from 2016, the Canadian government indicated that 250 thousand Mexican visitors traveled to Canada, while Mexico was the second largest destination for Canadians, with 2.1 million.
With the CPTPP Canada "will enjoy preferential access to the Mexican market" and Canadian companies will be able to invest "with great confidence in Mexico" because the CPTPP will offer them protections against "unfair and discriminatory treatment, as well as greater predictability and transparency", said the chancellery.
Through the CPTPP, the service industry will also benefit from more predictable access and greater transparency in Mexico, including in key sectors such as: professional services (for example, legal services, architectural and engineering services), computer and related services, and environmental services.
Among the sectoral opportunities that Mexico represents for Canada within the CPTPP are: aerospace, agriculture, creative industries, education, information and communication technologies, infrastructure, life sciences, mining, oil and gas, and sustainable technologies.
"The abundance of natural resources in Mexico, especially in the mining sector, has generated interest from Canadian companies for many years," the ministry said.
Canada's experience in infrastructure projects and public-private partnerships is "key" to generate business opportunities in transportation, electricity, water and hydrocarbons, it said.