During the recent visit of the Ecuadorian president to Guatemala, the intention to take up again the issue of the Free Trade Agreement between the two countries, whose negotiation was stalled years ago, was expressed.
As a result of the inauguration of the new Guatemalan government, Ecuadorian President Lenin Moreno visited the Central American country and took advantage of the occasion to meet with Guatemalan businessmen.
With the recent signing of the U.S.-Canadian-Mexican trade agreement, a precedent was set for future negotiations, as this agreement sets binding labor conditions, such as making exports subject to the payment of a minimum wage.
For example, one of the conditions of the Treaty between Mexico, United States and Canada (T-MEC), which was signed on December 10, 2019, is that vehicles exported from one state of Mexico to the other two countries "must come from plants that pay wages not less than $16 an hour.
Guatemalan authorities announced that in the first week of October they will travel to South Korea, with the aim of restarting negotiations of the Free Trade Agreement between the two economies.
Guatemala is the only Central American country still negotiating the Free Trade Agreement (FTA) with South Korea, since El Salvador, Panama, Honduras, Nicaragua and Costa Rica signed it in February 2018.
The first round of negotiations began in the South American country to expand the list of products already traded in the framework of the agreement that has been in force since 2013.
The agreement that entered into force on February 19, 2013, has allowed immediate access to 593 products with 100% tax relief. In addition, it reduces tariffs on 84 products between 20% and 100% over 3 and 7 years, informed the Guatemalan government.
It is announced that technical groups from the governments of El Salvador and Guatemala began negotiations in London to conclude a new trade agreement.
Now, there is a possibility that the agreement the region seeks to sign with the European country will not be consolidated, since it is not yet clear how the process of Britain's exit from the European Union will be carried out, an issue that is generating great tension between the British Parliament and Prime Minister, Theresa May, at this very moment.
For this year, one of the priorities Morales administration has as a priority to advance in the signing of free trade agreements with South Korea, Israel and the United Kingdom.
Representatives of the Ministry of Economy (Mineco) reported that by 2019, among the priorities of the agenda is the resumption of discussions of the trade agreement being negotiated with South Korea.
The FTA with Panama and the agreement with El Salvador, both in the negotiation stage, are part of the commercial opportunities that the Asian nation seeks to consolidate in the region in the short-term.
The third round of negotiations to conclude the trade agreement between the Central American country and the Asian nation began in Panama City. This session will deal with trade barriers, customs procedures and trade facilitation.
With the aim of favoring mainly agricultural products, the Morales administration has announced that it will propose to the Israeli government starting negotiations for a free trade agreement.
In the coming days a Guatemalan government delegation will be visiting Israel, a trip which could be leveraged for representatives of the Ministry of Economy to raise the possibility of signing a trade agreement between the two countries.
In the seventh round of negotiation all chapters were finalised and what is left pending are technical matters from the list on access and origin which will be addressed in a final meeting.
From a statement issued by the Ministry of Foreign Trade of Costa Rica:
San Jose, October 31, 2016.- Today the seventh round of negotiations of the Free Trade Agreement between Central America and Korea came to a close in Seoul, South Korea. This meeting, which took place from October 24 to 31, enabled the parties to move towards a final agreement.
Central American governments have now signed the General Framework agreement with China so that negotiations can start in October.
From a statement issued by the Ministry of Foreign Trade in Guatemala:
Guatemala, July 31, 2015. Central America is prepared to negotiate as a bloc, a Free Trade Agreement with South Korea. Therefore, the deputy ministers in charge of foreign trade and trade negotiations in the region met yesterday in San Salvador, and agreed to and signed the General Framework for this negotiation.
Several years after conversations began, Central America and South Korea finally started the formal negotiations for a free trade agreement.
From a statement issued by the Government of Guatemala:
In Houston, Texas, the Minister of Economy of Guatemala, Sergio de la Torre, and his Central American counterparts in charge of foreign trade, met with Korean Minister of Commerce, Industry and Energy Yoon Sang-Jick, to start negotiating the Free Trade Agreement between the Republic of Korea and the Central American republics.
Through the SICA countries in the region are assessing the possibility of negotiating a free trade agreement with the Asian nation.
The announcement was made by Guatemalan President Otto Perez Molina, during the II Business Forum between the region and Japan, which included the participation of companies and government representatives from both countries.
The South Korean government has proposed to Central American countries that they resume negotiations to sign a free trade agreement.
During a meeting between officials of the Ministry of Foreign Trade of Costa Rica and the deputy minister, Moon Jaedo, of the Ministry of Commerce, Industry and Energy (Motie) of South Korea, it was requested "... that the Central American countries evaluate opening up a process of negotiation for a free trade agreement. "
Negotiations have finished for the trade agreement between Guatemala and the bloc made up of Switzerland, Norway, Liechtenstein and Iceland.
From a statement issued by the Government of Guatemala:
In Geneva, Switzerland, the closing ceremony has been held and the presentation of the official protocol for the negotiations incorporating Guatemala into the FTA between EFTA member states and members of Central America (Costa Rica and Panama).
The government plans to resume talks with Canada, which had been suspended because of differences over issues related to textiles and agriculture.
It is expected that the Ministry of Economy will meet with Canadian authorities to find out their position and interest in restarting negotiations which have been on hold for four years, with the aim of advancing the signing of a free trade agreement.