Trade agreements are international trade accords between two or more countries aimed at facilitating exchanges between them.
What are Trade Agreements?
As mentioned earlier are processes that facilitate logistical operations. These agreements reduce both tariff and non-tariff barriers, such as taxes and trade restrictions, with the goal of making the process more efficient.
It is necessary to comply with the regulations of these agreements, which are related to investment protection, services, and e-commerce.
The supervision of trade agreements is generally in the hands of the signing countries, through mechanisms established in each agreement. The WTO, for its part, ensures that these agreements are compatible with global trade rules.
Objectives of Trade Agreements
The main objectives of these agreements are as follows:
- Reduce trade barriers: This will help reduce tariffs that hinder the exchange process between countries.
- Promote trade: Facilitates and encourages international trade.
- Boost competitiveness: This process refers to the productivity of businesses, indicating that competitiveness among them is enhanced.
- Encourage economic growth: This operation allows for the economic development of countries.
- Expand markets: It provides businesses the opportunity to expand their operations and customer base.
What are Chile’s Trade Agreements?
Chile is recognized worldwide as one of the countries with the most trade agreements. Currently, it has 34 in60 countries.
Chile’s most important are:
- Agreement with China: This agreement has allowed Chile to position itself as the main exporter of copper, wine, and fresh fruits. A high percentage of exports go to China.
- Agreement with the United States: This operation has strengthened direct investment between the two countries.
- CPTPP: This agreement offers trade opportunities with Japan, Canada, and Vietnam.
- Agreement with the European Union: The European Union is one of Chile’s main trading partners in terms of technology and digitalization exchanges.
- Pacific Alliance: This process strengthens relations with Asia and promotes intra-regional trade.
- Agreement with Japan: This agreement focuses on industrial goods and technology.
Trade agreements in Chile have allowed it to position itself as a strategic player, significantly strengthening its economy and enabling it to become a key supplier of certain products, such as copper, wine, and cherries. It is important to emphasize that the country must continue to grow and expand this operation through negotiation to maintain a balanced economy.
Now that you have this relevant and crucial information for your import and export procedures, we invite you to explore other topics on our blog that may interest you, where you will find useful resources to optimize your logistics operations.
Additionally, we remind you that at Comexpoint, you can quickly and efficiently quote your desired import and export processes.
