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News Article

Mexico Adopts New General Imports, Exports Law

BySofía Hanna |Fri, 06/10/2022 - 10:34

Mexico has adopted the New General Imports and Exports Taxes Law (LIGIE), which incorporates the Seventh Amendment of the harmonized system of the World Customs Organization (OMA) and seeks to modernize the sector and adapt it to the current flows of international trade. The goods that will be affected by the changes in the law are rapid detection tests for some viruses, placebos, clinical trials, waste, electronic waste, smartphones, tobacco and nicotine products and devices, among others.

 

The Ministry of Economy, along with the Ministry of Finance and Public Credit (SHCP), the Tax Administration Service (SAT) and other authorities are working on formulating all secondary administrative provisions necessary for the entry into force of OMA's Seventh Amendment, according to an official press release by the Mexican Government. This amendment involves changes to adapt to new product flows and rapid technological advances. In addition, it also seeks to improve the specific tariff classification for the resolution of environmental and social problems.

 

Mexico is already adjusting its foreign trade system to adhere to the amendment. Other countries, such as the US, applied the Seventh Amendment of the Harmonized System on Jan. 1, 2022, according to OMA. The new LIGIE establishes the quotas that will determine the tariffs on the import and export of goods. This will enter into force ten business days after the day in which SAT issues the aforementioned general provisions.

 

This new law also prohibits the import and export of electronic cigarettes and similar electrical and electronic personal vaporization devices. President Andrés Manuel López Obrador had already discussed this issue in a morning press conference and signed an agreement to prohibit the circulation and marketing of vapers and electronic cigarettes. This measure took place soon after he was awarded by the World Health Organization (WHO) for his efforts in tobacco control, as previously reported by MBN.

 

The law will simplify the daily operations of foreign trade for national producers, importers, exporters and authorities. This aims to help Mexico comply with trade facilitation commitments and increase its competitiveness. In addition to putting this new law to the test, Mexico has developed other strategies to continue promoting the import and export of products, such as a reduction of tariffs at customs and ports. For six months, customs will apply zero tariffs on the import of basic goods and supplies.

The data used in this article was sourced from:  
GOBMEX, OMA, MBN
Sofía Hanna Sofía Hanna Journalist and Industry Analyst