Europe and Mexico's Bajio Region
The trade relationship between Mexico and the European Union, which for more than two decades has been conducted under the Free Trade Agreement between the European Union and Mexico, the EU-Mexico FTA, is of great importance for both parties. In Mexico, the total amount of trade flows exchanged with the EU represents 7% of the country's total trade, and investment from the region has contributed 30% of the Foreign Direct Investment that Mexico has received over the last decade.
The importance of Mexico's relationship with the European Union is particularly evident in the Bajio region, whose states contribute around 1/5 of the Mexican economy, and where the weight of European investment is high - in certain states it reaches up to 44% of the total FDI received. This has allowed sectors such as transportation equipment manufacturing, the beverage industry and financial institutions to grow at dynamic rates over the last decades, boosting the economies of the states and facilitating the creation of new businesses and jobs.
The relevance of the European Union for the Mexican economy and for the Bajio region is an element to consider when assessing the potential for the future of the bilateral relationship and underscores the importance of moving forward with pending issues such as the signing of a modernized EU-Mexico FTA. In this context, the Mexican Institute for Competitiveness (IMCO) and the Friedrich Naumann Foundation (FNF) highlights the results of European investment in Mexico and identify opportunities for its growth in the Bajio region.