NAFTA (USMCA)
and Free Trade in Mexico
The North American Free Trade Agreement (NAFTA/USMCA) is now in its 22nd year and is the world’s biggest success story for international trade agreements. Under NAFTA, the United States, Canada and Mexico, 99% of imports are duty-free with the remaining 1% benefiting from preferential-duty.
Additionally, under the Manufacturing, Maquiladora Program and Export Service Decree, the IMMEX Program allows for goods, raw materials and components to be imported into Mexico on a temporary basis, duty-free and VAT-free, as long as they are returned abroad within the established timeframes (most are 18mos). For the aerospace industry, aircraft and aircraft parts are also free of tariffs.