MEXICO CITY Nov 14 Mexican carmakers said on
Wednesday they had reached a preliminary agreement with
counterparts in Argentina to resume free trade in vehicles, but
both urged their governments to begin a formal dialogue to
settle remaining differences.
Mexican auto industry association AMIA said in a statement
it had reached the agreement with Argentine auto manufacturers
association ADEFA, but did not provide details.
"AMIA and ADEFA have agreed to immediately send to our
respective governments the agreement we've reached asking that
they initiate a formal dialogue within the framework of (ACE-55)
based on this proposal," the statement said.
Mexican government officials were not immediately available
In June, Argentina announced a three-year suspension of its
auto trade agreement, known as ACE-55, that allowed the free
exchange of vehicles between both countries. Buenos Aires then
established a tariff of 35 percent on Mexican vehicles.
In turn, Mexico responded by ending import duty preferences
on vehicles shipped from Argentina, adding more fuel to the
bilateral trade dispute.
The ACE-55 pact, launched in 2003, regulates auto trade
between Mexico and the Mercosur block of countries, which
includes Brazil, Argentina, Uruguay and Paraguay, and permits a
flexible trade regime through bilateral agreements.
Argentina said in March it planned to seek more favorable
terms in the pact, aiming to follow Brazil, which won
concessions limiting the number of Mexican auto exports to that