The European Commission announced over the weekend that the European Union and Mexico had reached a free trade deal. A CNN Money report says the deal virtually eliminates tariffs on “practically all goods” traded between EU members and Mexico.
The EU and Mexico said last year they would upgrade their trade talks to update the agreement they signed back in 2000. The announcement came at the same time that the U.S. was threatening to pull out of the North American Free Trade Agreement. Mexico and the EU appeared to take a shot at U.S. President Donald Trump when they announced the deal, calling it a defense of open and rules-based trade.
The European Commission President, Jean-Claude Juncker, said over the weekend that Mexico and the EU worked together to reach a mutually beneficial outcome. “We did it as partners who are willing to discuss, to defend their interests, while, at the same time, being willing to compromise to meet each other’s expectations,” says Juncker.
The deal marks a move by Mexico to lessen its reliance on the U.S. as its main trading partner.