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20 Law & Pol'y Int'l Bus. 619 (1988-1989)
A Proposal for Establishing a United States-Mexico Co-Production Zone

handle is hein.journals/geojintl20 and id is 629 raw text is: A PROPOSAL FOR ESTABLISHING A UNITED STATES-MEXICO CO-PRODUCTION ZONE ABELARDO L. VALDEZ* The United States and Mexico are uniquely situated, economically and geographically, to exploit comparative advantages for their mutual bene- fit. In his article, Ambassador Valdez advances the cause of a U.S.-Mex- ico Co-Production Zone. This cooperative strategy is unique for its pri- mary characteristic: co-production. With reciprocal tax and trade incentives, this plan envisages improvement in bilateral trade and third country exports for both nations. The author offers a cohesive plan, ana- lyzed within the framework of the General Agreement on Tariffs and Trade, for negotiating and implementing a propitious new phase in U.S.-Mexico relations. There is a tide in the affairs of men, Which, taken at the flood, leads on to fortune; Omitted, all the voyage of their life Is bound in shallows and in miseries. William Shakespeare, Much Ado About Nothing INTRODUCTION The future economic and political relationship between the United States and Mexico is one of the most important foreign policy issues of the day. By developing strong cooperation in a spirit of mutual benefit, both countries could use that relationship to prosper and to improve their eco- nomic posture in the international marketplace. Failure to achieve such enlightened cooperation could cause the loss of important opportunities for both nations and create tremendous social, economic, and political problems. The informal Houston summit meeting between U.S. President George Bush and Mexican President Carlos Salinas de Gortari prior to their re- spective inaugurations demonstrates that the time is ripe for a new trade initiative between Mexico and the United States. President Salinas indi- cated a willingness at this meeting to negotiate trade agreements with the * B.S., Texas A & M University; J.D., Baylor University; L.L.M., Harvard University; Part- ner, Laxalt, Washington, Perito & Dubuc; former U.S. Ambassador and Chief of Protocol for the White House (1979-81); Assistant Administrator for Latin America and the Caribbean, U.S. Agency for International Development (1977-1979).

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