World Economy

Chile’s Approval Reduces PA Tariff

Chile’s Approval Reduces  PA TariffChile’s Approval Reduces  PA Tariff

Chile’s Senate approved the last major hurdle so that the Pacific Alliance trade bloc that it shares with members Colombia, Mexico and Peru can reduce tariffs to 0% on 92% of commerce. “This decision by the senate is important for the implementation of Chile’s commitments under the Pacific Alliance,” said Andres Rebolledo, head of the Chilean Foreign Ministry’s economic relations department, Reuters reported. “There is a lot of room for intraregional trade to grow, but we also know this is a great opportunity to reach out together to the most dynamic regions of the world, such as Asia-Pacific,” added Rebolledo. Chile was the last member-nation that needed its congress to approve the bloc’s so-called “additional protocol” to liberalize 92% of trade between the four countries. With this approval, the protocol is expected to take effect within the next three months. The Pacific Alliance is one of two large trade blocs in Latin America.