The purpose of this project is to give you practical experience exporting and importing products out of and/or into the United States and other countries.
I have selected Desktop Hewlett Packard 280g1 Mt Core product for this essay and my selected country is Mexico. My chosen product is to export from the USA to Mexico.
Due to greater economic and diplomatic ties, the USA and Mexico have gained immense benefits. Mexico, an independent state in this region, reached billions of export, and on the other hand, the United States also emerged as a reliable trading partner of this country. According to 2010 reports, exports of Mexico were US$3096 billion. Historically, Mexico has emerged as a third largest trading partner. People’s mobility in this region played a vital role, as needs for production and commodities on both sides were quite visible. The success of the trade between these countries is based on the relationship, which is in the limelight for many years (Wilson and Wood).
The United States of America and Mexico are gaining the advantages and intending to strengthen the economic conditions, growth, and sustainability at both sides. It is a reasonable trade agreement between these two countries to evade different trade barriers and reduce several economic spikes (Sullivan).
The free trade agreement was initiated in 1994 with the mutual concerns of Canada, Mexico, and the United States of America. It is a free trade agreement between these two countries (Wilson and Wood).
There are some restrictions regarding the trade between the US and Mexico. For Instance, there is a tremendous political pressure on the United States to limit the exports and imports with Mexico. The restrictions have been imported in the form of steep tariffs, which sound good but will have the negative impact on the economy for a long, and the manufacturing firms are prominent victims. The purpose is supporting the internal production process to strengthen the economy. Conversely, the manufacturing companies in the United States are struggling because they are focusing on the global supply chain process. For Instance, the restriction of the electronic home appliances and food products are hitting manufacturing companies very hard (Sullivan).
It is a considerable trade barrier between these two countries, and due to the shortage of supply and increase in the demands, both sides can face immense hurdles. Another trade restriction is on automobile companies, as a significant part of production exists in Mexico. It is a fact that the trade restrictions are prominent on the manufacturing companies or assembly lines, which are outsourcing their processes to reduce the costs. Contrariwise, this has been observed that the companies in Mexico are also facing the restrictions on exports the food and technology products. It was a massive trade war, which emerged recently due to the steep economic and trade policies (Sullivan).
Now, relative to the trade process in Mexico, it seems reasonable to find a product, which does not exist in the trade war or restrictions. Both sides have mutual needs when it comes to imports and exports. In the next section, one product from the United States has been selected for export to Mexico (Wilson and Wood)
Finally, the name of the product that I selected is personal Desktop Hewlett Packard 280g1 Mt Core. It is a personal computer, made by Hewlett Packard. The demand of Mexico country is rising for computers and laptops in bulk. It is a best electronic product for this region due to emerging needs in the businesses and homes. There is a new personal computer technology, successfully used by households and offices. It is a new entry in the export items, and due to the flexible tariffs, and it seems pertinent. The HTSUS code for Desktop Hewlett Packard 280g1 Mt Core is 84713090.
Work Cited
Sullivan, Justin. “Mexico warns US of alternatives on trade, points to China.” World Economy. CNBC, 12 May 2017. Web. 18 November 2017. https://www.cnbc.com/2017/05/12/mexico-nafta-trade-united-states-trump-china-world-economy.html.
Wilson, Christopher and Duncan Wood. “Understanding U.S.-Mexico Economic Ties.” Forbes. Forbes, 26 September 2016. Web. 18 November 2017. https://www.forbes.com/sites/themexicoinstitute/2016/09/26/mexico-institute-launches-project-examining-u-s-mexico-economic-ties/#7874235d7768.
+447462439809