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BILATERAL FREE TRADE AGREEMENTS Several bilateral agreements with the objective of realizing free trade among signatories have been negotiated by countries in the Western Hemisphere. These agreements have been negotiated principally by Chile and Mexico with their respective trading partners. Chile has negotiated the following free trade agreements:
For its part, Mexico has negotiated the following free trade agreements:
Provisions on standards and technical regulations contained in these seven bilateral free trade agreements are reviewed in this section, taking the agreements in chronological order. PROVISIONS ON STANDARDS AND TECHNICAL BARRIERS TO TRADE IN BILATERAL FREE TRADE AGREEMENTS: Chile-Mexico (Acuerdo de Complementación Económica; 1 January 1992) Objective: To coordinate and complement economic activities, especially in the areas of goods and services (Art. 1º) Article 27º, Technical Standards: The Administrative Commission, referred to in Article 34º of the present Agreement, will analyze the technical, industrial and commercial standards for security and public health of the signatory countries and will recommend the actions considered necessary to avoid that these standards constitute a barrier to reciprocal trade. A chapter on Technical Standardization and Regulation is being negotiated with Mexico to incorporate disciplines that extend beyond the provisions of the WTO, as part of the current negotiations on a Free Trade Agreement, that will absorb the present ACE 17. Chile-Bolivia (Acuerdo de Complementación Económica; 16 April
1993) Objective: To facilitate, increase and diversify trade in goods and services between the two signatories, promote and stimulate local production and facilitate investment by each signatory in the territory of the other. Chapter X: Economic Cooperation; Article 19: The signatory countries will promote cooperation in the following areas:
Chile and Bolivia signed an Agreement that incorporates disciplines for measures relating to standardization, that was formally registered with ALADI on December 23, 1997. Chile-Venezuela (Acuerdo de Complementación Económica; 1 July 1993) Objective: To establish, in the shortest time delay possible, a wider economic area between the two signatories in order to bring about the free movements of goods, services and factors of production. Article 1(a). To coordinate and complement economic activities, particularly for industry and services. Article 1(d). Chapter XI: Technical Standards Article 23. The Administrative Commission, referred to in Article 33 of the present Agreement, will analyze the technical, industrial and commercial standards for security and public health of the signatory countries and will recommend the actions considered necessary to avoid that these standards constitute a barrier to reciprocal trade. Chile-Colombia (Acuerdo de Complementación Económica; 1 January 1994)Objective: To establish, in the shortest time delay possible, a wider economic area between the two signatories in order to bring about the free movements of goods, services and factors of production. Article 1(a).To coordinate and complement economic activities, particularly for industry and services. Article 1(d). Chapter XI: Technical Standards Article 23. The Administrative Commission, referred to in Article 33 of the present Agreement, will analyze the technical, industrial and commercial standards for security and public health of the signatory countries and will recommend the actions considered necessary to avoid that these standards constitute a barrier to reciprocal trade. With this purpose, the Administrative Commission shall consider, among others, the following principles:
Chile-Ecuador (Acuerdo de Complementación Económica; 1 January 1995) Objective: To establish, in the shortest time delay possible, a wider economic area between the two signatories in order to bring about the free movements of goods, services and factors of production. Article 1(a). To coordinate and complement economic activities, particularly for industry and services. Article 1(d). Chapter XI: Technical Standards Article 22. The Administrative Commission, referred to in Article 33 of the present Agreement, will analyze the technical, industrial and commercial standards for security and public health of the signatory countries and will recommend the actions considered necessary to avoid that these standards constitute a barrier to reciprocal trade. With this purpose, the Administrative Commission shall consider, among others, the following principles:
Mexico-Bolivia (Tratado de Libre Comercio, 1 January 1995) Mexico-Costa Rica (Tratado de Libre Comercio, 1 January 1995) Content of the two bilateral free trade agreements signed by Mexico with Bolivia and Costa Rica, which both became effective on 1 January 1995, is quite similar. Both agreements are extensive and contain elaborate provisions on standards and technical regulations. As they are very similar, the two bilateral agreements will be summarized together according to the main categories of WTO disciplines and provisions that were used in Part I for examination of the trade and integration agreements in the Western Hemisphere, where these are relevant. I. DEFINITIONS: A. Standard: a document approved by a recognized institution which anticipates, for repeated and common use, rules, guide lines or characteristics for goods or linked production processes and methods, or for services or connected operation methods, and which application is not obligatory. This document can also include or treat exclusively requirements in terms of terminology, symbols, package, brands or labels applicable to a good, service or process or method of production and operation. B. Technical Regulation: a document in which the characteristics of goods, services and their respective production processes and methods are established, including the applicable administrative provisions, and which observance is obligatory. It can also include or treat exclusively the prescriptions in terms of terminology, symbols, package or labels applicable to a good, service, process or method of production. C. Conformity Assessment Procedures: any procedure, used directly or indirectly, to determine if the pertinent requirements established by the technical regulations or standards included the tests, inspection, evaluation, verification, assurance of conformity, accreditation, certification, registration or approval, are fulfilled, but it does not mean a process of approval yet. D. Standards-Related Measures: the standards, technical regulations or conformity assessment procedures. [Mexico-Bolivia: Chapter XIII, Article 13-01; Mexico-Costa Rica: Chapter XI, Article 11-01; Bolivia-Chile Article 16)] E. Risk evaluation: means an evaluation of the possibility of adverse effects. [Bolivia-Chile, Article 16] F. Legitimate objectives: include the imperatives of national security, the safety and protection of human, animal, and plant life and health and the environment and the prevention of practices that may induce consumer error, including matters concerned with product identification. Other fundamental factors that need to be considered, if appropriate, relate to such areas as climate, geography, technology, infrastructure, or scientific justification. [Bolivia-Chile, Article 16] G. Approval procedures: means the recording, notification, or any other mandatory administrative procedure for granting a permit for the production, marketing, or use of a good for defined purposes or in accordance with established conditions. [Bolivia-Chile, Article 16] II. POLICY OBJECTIVES: A. Standards: at the request of a party, the other parties shall adopt reasonable measures , within their capabilities, to promote the compatibility of specific standards-related measures that exist in its territory with the standards-related measures in the territory of the other Parties, taking into account international standardization activities. [Mexico-Bolivia, Article 13-08.3; Mexico-Costa Rica, Article 11-07.3] B. Technical Regulations: without reducing the level of safety or of protection of human, animal or plant life or health, the environment or consumers, without prejudice to the rights of any Party under this Chapter, and taking into account international standardization activities, the Parties shall make compatible, to the greatest extent possible, their respective technical regulations and conformity assessment procedures. [Mexico-Costa Rica, Article 11-07.2] Each party shall accept a technical regulation that is adopted by another Party as equivalent to its own when, in cooperation with the importing party, the exporting Party accredits to the satisfaction of the other that its technical regulation adequately fulfills the importing Party's legitimate objectives, and being appropriate shall review it. [Mexico-Bolivia, Article 13-08.4; Mexico-Costa Rica, Article 11-07.4] At the request of the exporting Party, the importing Party shall provide its reasons for not treating a technical regulation as equivalent under paragraph 4. [Mexico-Bolivia, Article 13-08.5] C. Conformity Assessment Procedures: without reducing the level of safety or of protection of human, animal or plant life or health, the environment or consumers, without prejudice to the rights of any Party under this Chapter, and taking into account international standardization activities, the Parties shall, to the greatest extent possible, make compatible their respective technical regulations and conformity assessment procedures. [Mexico-Costa Rica, Article 11-07.2] Each Party shall, whenever possible, accept the results of a conformity assessment procedure conducted in the territory of another Party, provided that it is satisfied that the procedure offers an assurance that the relevant good or service complies with the applicable technical regulation or standard adopted or maintained in the Party's territory. [Mexico-Bolivia, Article 13-08.6; Mexico-Costa Rica, Article 11-07.5] The Parties recognize the advantage of achieving reciprocal recognition of their conformity assessment systems, including accreditation bodies, in order to facilitate trade in goods and services between them and promise to work to achieve this objective. [Mexico-Bolivia, Article 13-09.1; Mexico-Costa Rica, Article 11-08.1] In addition to that established in the paragraph above, and recognizing the differences that exist in conformity assessment procedures in their respective territories, the Parties shall make compatible, to the greatest extent possible, their respective conformity assessment systems and procedures, to the effect that these be mutually reconcilable with that established in this chapter. [Mexico-Costa Rica; Article 11-08.2] For the mutual benefit and in reciprocal fashion, each Party shall accredit, approve, grant licenses or recognize conformity assessment bodies in the territory of another Party on terms no less favorable than those accorded to conformity assessment bodies in its own territory. [Mexico-Bolivia, Article 13-09.2; Mexico-Costa Rica, Article 11-08.3] Each Party will give favorable consideration to a request from another Party to negotiate mutual recognition agreements of the results of the other Party's conformity assessment procedures. [Mexico-Costa Rica, Article 11-08.4] When required to carry out a conformity assessment procedure for a standard or technical regulation, each Party shall be required to:
[Mexico-Bolivia, Article 13-09.3; Mexico-Costa Rica, Article 11-08.5] The Parties shall apply, with modifications which may arise, the provisions above to their approval procedures. [Mexico-Bolivia, Article 13-09.4; Mexico-Costa Rica, Article 11-08.6] D. Mutual Recognition: Articles 11-07.2 and 11-08.2 in the Mexico-Costa Rica Agreement listed above under conformity assessment procedures, address the issue of mutual recognition. To speed the facilitation process along, the parties shall give favorable consideration, at the request of the other party, to holding negotiations aimed at signing Agreements of Mutual Recognition of the Results of their respective conformity assessment procedures. [Bolivia-Chile, Article 8-2] The functions of the Working Group include inter alia: (b) to facilitate the process through which the Parties will establish Mutual Recognition of their conformity assessment procedures. [Bolivia-Chile, Article 14-2] III. RELATIONSHIP TO WTO TBT AGREEMENT: A. Reference to WTO TBT Disciplines: The Parties mutually affirm their existing rights and obligations related to standards-related measures under the GATT and all other international agreements, including environmental and conservation agreements, to which those Parties are party. [Mexico-Bolivia, Article 13-04; Mexico-Costa Rica, Article 11-04] In addition to the provisions of the WTO TBT Agreement, the Parties shall apply the provisions established in this agreement, which come within the scope of the Supplementary Economic Agreement — ACE 22. [Bolivia-Chile, Article 1] B. Provisions for National and/or MFN Treatment: Article 13-04 and 11-04 (above) reaffirm the obligations of all members to respect GATT disciplines. With respect to its standards-related measures, each Party shall accord to goods and service providers of another Party national treatment and treatment no less favorable than that it accords to similar goods or to similar service providers of any other country. [Mexico-Bolivia, Article 13-05.4; Mexico-Costa Rica, Article 11-05.5] For the mutual benefit and in reciprocal fashion, each Party shall accredit, approve, grant licenses or recognition to conformity assessment bodies in the territory of another Party on terms no less favorable than accorded to those bodies in its own territory. [Mexico-Bolivia, Article 13-09.2; Mexico-Costa Rica, Article 11-08.3] In relation to the conformity assessment’s procedures, each Party shall accord to goods and service originating in another Party national treatment and treatment no less favorable than that it accords to similar goods or to similar service provided by any other country. [Mexico-Bolivia, Article 13-09.3d] With respect to their standardization measures, each Party shall grant the products of the other Party national treatment that is no less favorable than the treatment granted to similar products from any other country. [Bolivia-Chile, Article 4-4] Each party shall apply their conformity assessment procedures, the following procedures: (d) to grant products originating with the other Party national treatment that is no less favorable than the treatment granted to similar products from any other country. [Bolivia-Chile, Article 8-1-(d)] C. Establishment of Enquiry Points: each Party will ensure that there is at least one enquiry point within its territory that is able to answer all questions and reasonable requests of another Party and interested persons and can provide relevant documentation regarding
[Mexico-Bolivia, Article 13-15.1; Mexico-Costa Rica, Article 11-10.1] When a Party designates more than one enquiry point, it shall
[Mexico-Bolivia, Article 13-15.2; Mexico-Costa Rica, Article 11-10.2] Each Party shall take such reasonable measures as may be available to it to ensure that at least one enquiry point exists within its territory that is capable of answering all questions and enquiries from another Party and interested persons and to provide relevant documentation or information as to where this documentation can be obtained regarding
[Mexico-Bolivia, Article 13-15.3; Mexico-Costa Rica, Article 11-10.3] Each Party shall ensure that when another Party or interested persons, in accordance with the provisions of this Chapter, request copies of documents referred to in paragraph 14-10.1, these documents are supplied at the same price as the price for domestic purchase, apart from the actual cost of delivery. Copies of technical regulations and required conformity assessment procedures shall be supplied free of charge. [Mexico-Bolivia, Article 13-15.4; Mexico-Costa Rica, Article 11-10.4] Each Party shall ensure that there is at least one information center in its territory that can respond to any reasonable questions and requests from the other party and interested persons as well as to provide relevant documentation on all matters covered in this chapter. [Bolivia-Chile, Article 11] IV. USE OF INTERNATIONAL STANDARDS: Each Party shall use, as a basis for its standards-related measures, relevant international standards or international standards whose completion is imminent, except where such standards would not be an effective or adequate means to fulfill its legitimate objectives; for example, because of fundamental climatic, geographical, technological or infra structural factors, in accordance with that already established in this chapter. A Party's standards-related measures that conform to an international standard shall be presumed to be consistent with Article 14-05, paragraphs 1 and 3. In pursuing its legitimate objectives, each Party shall be allowed to adopt, maintain or apply any standards-related measure that results in a higher level of protection than would have been achieved if the measure were based on the relevant international standard because of fundamental climatic, geographical, technological or infra structural factors, among others. [Mexico-Bolivia, Article 13-06; Mexico-Costa Rica, Article 11-06] V. ADMINISTRATIVE STRUCTURES: A. Standards Committees and/or Bodies: the Parties hereby create a Working Group (Mexico-Bolivia)/ Committee (Mexico-Costa-Rica) on Standards-Related Measures [Mexico-Bolivia, Article 13-17.1/Mexico-Costa Rica, Article 11-17.2]. The Parties hereby establish the Working Group on Standardization Measures, made up of an equal number of representatives from each Party. [Bolivia-Chile, Article 14-1] B. Scope of Activity: Among the functions that will correspond to the Working Group / Committee are:
[Mexico-Bolivia, Article 13-17.2; Mexico-Costa Rica, Article 11-17.2; Bolivia-Chile, Article 14-2] The Working Group / Committee:
[Mexico-Bolivia, Article 13-17.3; Mexico-Costa Rica, Article 11-17.3] The Working Group / Committee shall, as it considers appropriate, establish and determine the scope of action and mandate of any relevant subcommittees or working groups. Each subcommittee and working group shall be comprised of representatives from each Party, and may
[Mexico-Bolivia, Article 13-17.4; Mexico-Costa Rica, Article 11-17.4] Further to paragraph 4 (above) the Working Group / Committee shall establish
[Mexico-Bolivia, Article 13-17.5; Mexico-Costa Rica, Article 11-17.5] Each Party shall, on request of another Party, take such reasonable measures as may be available to it to provide for the participation in the activities of the Working Group / Committee, where and as appropriate, of representatives of state or provincial governments. [Mexico-Bolivia, Article 13-17.6; Mexico-Costa Rica, Article 11-17.6] VI. COOPERATION AMONG MEMBERS OF TRADE AND INTEGRATION ARRANGEMENTS: A. Cooperation Between Member Standardizing Bodies: each Party will stimulate the cooperation between its standardizing bodies, on standards-related activities. For instance, by obtaining membership in international standardizing bodies. [Mexico-Bolivia, Article 11-18.2] B. Technical Assistance: each Party shall, on request of another Party:
[Mexico-Bolivia, Article 13-18; Mexico-Costa Rica, Article 11-18; Bolivia-Chile Articles 13-1, 13-2, 13-3] C. Metrology: the Parties shall make compatible, to the greater extent possible, their national metrological patterns using existing international metrological patterns as a guide, whenever the national patterns comprise or appear to create unnecessary obstacles to trade. [Mexico-Bolivia, Article 13-10; Mexico-Costa Rica, Article 11-12] The parties undertake to adopt, for purposes of trade, the International System of Units. [Bolivia-Chile, Article 10] VII. TRANSPARENCY REQUIREMENTS: A. Notification: each Party shall inform the other Parties about the standards-related measures it intends to adopt, in accordance with this chapter, before the before the measures become effective and not after notifying its own nationals. [Mexico-Bolivia, Article 13-14.1; Mexico-Costa Rica, Article 11-09.1] Upon proposing the adoption or modification of a standards-related measure, each Party shall:
[Mexico-Bolivia, Article 13-14.2; Mexico-Costa Rica, Article 11-09.2] With respect to any technical regulation of a state or department or municipal government, each Party shall
[Mexico-Bolivia, Article 13-14.4; Mexico-Costa Rica, Article 11-09.4] Each Party shall inform the other Parties about its standardization programs and plans. [Mexico-Bolivia, Article 13-14.7; Mexico-Costa Rica, Article 11-09.5] When a Party considers it necessary to address an urgent problem related to safety or to the protection of human, animal or plant life or health, of the environment or practices that may harm consumers, it may omit any of the steps established in paragraph 2(a) and b), provided that upon adoption of the standard-related measure it shall:
[Mexico-Bolivia, Article 13-14.5; Mexico-Costa Rica, Article 11-09.6] The Parties shall, except when necessary to address an urgent problem referred to in the paragraph above, allow a reasonable period of time to pass between the publication of its standards-related measures and the date they become effective, to provide an opportunity for interested persons to adapt to the measures. [Mexico-Bolivia, Article 13-14.6; Mexico-Costa Rica, Article 11-09.7] Each Party shall designate a government authority responsible for the implementation at the federal or central level of the provisions of notification in this Chapter, and shall notify the other Parties thereof. When a Party designates two or more government authorities for this purpose, it shall notify the other Parties, without ambiguities or exceptions, the scope of responsibility of these authorities. [Mexico-Bolivia, Article 13-14.9; Mexico-Costa Rica, Article 11-09.9] B. Procedures for Changes in Standards-Related Measures: see Mexico-Bolivia, Article 13-14 and Mexico-Costa Rica, Article 11-09 above under Notification. C. Time Requirements for Notification of Changes: see Mexico-Bolivia, Article 13-14 and Mexico-Costa Rica, Article 11-09 above under Notification. VIII. DISPUTE SETTLEMENT: A. Consultations on Standards-Related Disputes: when a Party has concerns regarding the interpretation or implementation of this Chapter to its standards-related measures, metrology, or to those of another Party, the Party may seek recourse either through the Working Group / Committee (on Standards Related Measures) or through the dispute settlement mechanism within the Treaty. The Parties involved shall not be allowed to use both channels simultaneously.[Mexico-Bolivia, Article 13-19.1; Mexico-Costa Rica, Article 11-20.1] When a Party decides to seek recourse through the Working Group / Committee, the Party shall so inform the Committee so that it can consider the matter or refer it to a subcommittee or working group, or other competent forum, in order to obtain non-binding technical advice or recommendations. [Mexico-Bolivia, Article 13-19.2; Mexico-Costa Rica, Article 11-20.2; Bolivia-Chile, Article 15] The Working Group / Committee shall consider any matter referred to it, in accordance with paragraphs 1 and 2, as expeditiously as possible and, in the same manner, forward to the Parties any technical advice or recommendations that it develops or receives related to that matter. Once the Parties involved receive from the Committee the technical advice or recommendation they had requested, they shall send a written response to the Working Group / Committee related to the technical advice or recommendation within a time frame to be determined by the Working Group / Committee. [Mexico-Bolivia, Article 13-19.3; Mexico-Costa Rica, Article 11-20.3] In accordance to paragraphs 2 and 3, in case the technical recommendation issued by the Working Group / Committee does not solve the existing differences between the Parties involved, they can invoke the dispute resolution mechanism of the Treaty. If the Parties involved agree, the consultations facilitated by the Committee shall constitute consultations under Article 19-04 (Mexico-Bolivia)/ 17-05 (Mexico-Costa Rica). [Mexico-Bolivia, Article 13-19.4; Mexico-Costa Rica, Article 11-20.4] The Party asserting that a standards-related measure of another Party is inconsistent with the provisions of this Chapter shall have to demonstrate this inconsistency. [Mexico-Bolivia, Article 13-19.5; Mexico-Costa Rica, Article 11-20.5]
Continue to: Part III: RECENT STANDARDS-RELATED ACTIVITY WITHIN TRADE AND INTEGRATION ARRANGEMENTS |
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