“There are areas of opportunity in relation Mexico-Chile”

Mexico and Chile are committed to reinforcing their economic and commercial bonds, leveraging 195 years of diplomatic relations for the benefit of both nations. Paula Estévez Weinstein, Chile's Undersecretary of International Economic Relations, is visiting Mexico to participate in the Pacific Alliance meeting and discussed opportunities to deepen bilateral exchanges and mutual investments with over 90 prominent business leaders.

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There are areas of opportunity in relation Mexico-Chile.

Estévez Weinstein emphasized that both governments and the private sectors are determined to "re-energize" trade and investment. She noted that 27 years after signing the Mexico-Chile Free Trade Agreement, significant opportunities exist to further enhance their relationship. Mexican investments in Chile currently total $1.3 billion, lagging behind those from the United States ($29 billion) and Canada ($40 billion).

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First, we are offering tax invariability. For the investor, one of the first aspects they look at [to decide] where to invest is that the country gives them regulatory certainty. Companies are investments sometimes of up to 20 years. Therefore, regulatory stability is a very important aspect that countries have to offer.

To attract more investment, Estévez Weinstein presented Chile's new Reconstruction Law, which offers substantial incentives. Key among these are tax invariability, providing regulatory certainty crucial for long-term investments, and a reduction in corporate taxes from 27% to 23%, aligning with OECD recommendations. Chile aims to present itself as a stable and open economy with clear rules of engagement, positioning itself as one of the most politically and economically stable countries in the region.

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We are also lowering corporate taxes in the Reconstruction Law, from 27% to 23%, as recommended, as OECD countries have.

Chilean business interest in investing in Mexico is also significant. While Brazil remains Chile's primary investment market, the country seeks to establish Mexico as its second-largest destination. Estévez Weinstein highlighted the political will from both governments to prioritize this relationship, noting that while investment figures are substantial, there is ample room for growth between the two "brotherly" nations. She believes that political agreement naturally leads to business engagement and market openness, particularly within the framework of the Pacific Alliance.

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We are among the most politically and economically stable countries in the region. It is a country that fulfills its agreements, a country that is open to the world, a country that is now offering very important tax incentives, that we are going to offer tax stability as well.