Mexico’s economic agreements with the European Union: confidence in NorthSouth regionalism

Abstract

With the entry into force of the North American Free Trade Agreement (NAFTA) in 1994 and the EC–Mexico Framework Cooperation Agreement in 2000, Mexico initiated a style of North–South regionalism. The former, NAFTA, led to the emergence of a new type of regional grouping on the Latin–American scene. The latter embodies the signature of the first agreement between the European Union and a Latin–American country including not only commerce but also policies and cooperation. This North–South regionalism, particularly where the EU is concerned, has generated great expectation in certain Latin–American countries and integration processes as it is seen as a regional reference to follow or imitate. Mexico signed these agreements as part of a development strategy in itself. However, the results of these North–South agreements have been disappointing. At a time when several countries are negotiating regional integration processes and signing agreements with the United States and the European Union, the value of the Mexican reference and the distinctive TLCUEM feature become especially relevant to the Latin American debate on links between commerce, cooperation and development.