The Federal Government internalized the 1st additional protocol to the Economic Complementation Agreement n. 74 (ACE74), between Brazil and Paraguay, and the 7th additional protocol to ACE55, between Mercosur and Mexico. Both agreements provide trade liberalization and market integration measures to the automotive sector.
The Federal Government issued two decrees that fully internalized the provisions of additional protocols to two Economic Complementation Agreements (ACE, in the Portuguese acronym), both related to the automotive sector.
Decree n. 19.493/2020 enacted the 1st additional protocol to the recently internalized ACE74 between Brazil and Paraguay (see the Regulatory Report from August 2020). The protocol regulates the bilateral trade of the listed products according to their national content and establishes full bilateral trade liberalization by 2023.
Decree n. 19.495/2020 enacted the 7th additional protocol to the 2002 ACE55 between Mercosur and Mexico related to automotive products. The 7th additional protocol covers preferential tariff measures to trucks and buses, with full preferential treatment by 2023. Since Brazil and Mexico have internalized it, entry into force is scheduled to October 9, 2020.
