THE PACIFIC ALLIANCE AND THE TPP: OPPORTUNITIES IT REPRESENTS

Transcription

1 THE PACIFIC ALLIANCE AND THE TPP: OPPORTUNITIES IT REPRESENTS FOR THE ECONOMIC RELATIONSHIPS BETWEEN CHILE AND JAPAN Mr. Pedro Reus International Manager Sociedad de Fomento Fabril

2 TABLE OF CONTENTS I. INTRODUCTION II. III. IV. CHILE JAPAN TRADING PRODUCTIVE CHAININGS PROJECTIONS

3 I. INTRODUCTION

4 CHILE IN THE WORLD: TODAY 23 TRADE AGREEMENTS WITH 61 COUNTRIES 63% of the global population 94% of the Chilean exports 85% GDP NMF Imports Duty Effective Exports Openin grate (*) 6% 0,9% 0,3% 67% (*) (Exports + Imports)/PIB Source: Studies Department, DIRECON, based on data from the Chilean Central Bank, IMF, National Customs Service and Departament Access to Markets, DIRECON.

5 TO SUM UP: Chile has entered into 23 Trade Agreements Our exporters have preferential access to 63 countries (80% of the global GDP and over 50% of the world population) These markets receive 90% of our exports Nevertheless, our commercial opening has still not achieved the diversification of our export matrix. The amount and kindof exported products and services grows slowly and the natural resources are predominant in our export base.

6 THIS IS HOW WE HAVE PROGRESSED Exports, Im mports (US$ millio on) Comme ercial Exchange (US$ million) Exports Imports Commercial Exchange Source: Studies Department, DIRECON, based on data from the Chilean Central Bank.

7 DESTINATION OF OUR EXPORTS Name Fob Mill. US$ Name Fob Mill. US$ 1 CHINA ,89 11 SPAIN 1.517,82 2 USA 9.680,14 12 CANADA 1.377,30 3 JAPAN 7.548,31 13 MEXICO 1.365,62 4 BRAZIL 4.533,53 14 BELGIUM 1.341,13 5REPUBLIC OF KOREA 4.277,91 15 ARGENTINA 1.161,17 6 THE NETHERLANDS 2.446,13 16 FRANCE 1.100, INDIA 2.182,66 17 SWITZERLAND 1.063,96 8 PERU 1.669, GERMANY 1.017,97 9 ITALY 1.654,15 19 COLOMBIA 999,63 10 TAIWAN (FORMOSA) 1.634,91 20 AUSTRALIA 878,04

8 ORIGIN OF OUR IMPORTS 1 USA ,72 11 COLOMBIA 1.714,02 2 CHINA ,01 12 SPAIN 1.687,27 3 BRAZIL 5.095,85 13 CANADA 1.523,73 4 ARGENTINA 4.138,33 14 UNITED KINGDOM 1.457,06 5 GERMANY 3.151,23 15 ITALY 1.259,26 6 REPUBLIC OF KOREA 2.569,78 16 FRANCE 1.172, ECUADOR 2.514,84 17 TRINIDAD & TOBAGO 1.024,61 8 MEXICO 2.381,43 18 THAILAND 729,24 9 JAPAN 1.885,70 19 INDIA 692,63 10 PERU 1.722,73 20 OTHERS 679,34

9 SIGNIFICANT POSITION IN CHILE S FOREIGN TRADE CHILEAN EXPORTS PER DESTINATION MARKET (MM US$, 2000 AND 2013) % 22% 26% 31% % 3% 17% 18% % CHILEAN IMPORTS PER ORIGIN MARKETS (MM US$, 2000 AND 2013) CHINA EU USA JAPAN MERCOSURREP. KOREA INDIA CANADA USA EU REP. KOREA ECUADOR PERU CANADA Source: Studies Department, DIRECON, based on data from the Chilean Central Bank.

10 LATIN AMERICA: MAIN DESTINATION OF CHILEAN INVESTMENTS (MM US$, 2012) TOTAL INVESTMENT OF CHILE ABROAD US$ 72,468 MILLION TOTAL FOREIGN INVESTMENT IN CHILE US$ 182,719 MILLION MOST IMPORTANT DESTINATION OF CHILEAN CAPITAL Rest of the world 10% INVESTMENT OF CHILE IN THE COUNTRY INVESTMENT OF THE COUNTRY IN CHILE US$ millones Latin America 90% Fuente: Departamento de Estudios, DIRECON, sobre la base de datos del Banco Central de Chile y Departamento de Inversiones en el Exterior, DIRECON.

11 II. CHILE JAPAN TRADING

12 CHILE JAPAN TRADING (AMOUNTS IN MILLION US$) Fuente: LegalPublishing Year Exports Imports Trade Balance Commercial Exchange ,90 534, , , ,21 634, , , ,58 797, , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,01

13 MAIN EXPORT PRODUCTS YEAR ' TROUTS (SALMO TRUTTA, ONCORHYNCHUS MYKISS, ONCORHYNC 271,33 4 ' WOOD OF EUCALIPTUS GLOBULUS 263,98 5 ' MOLYBDENUM CONCENTRATESS 256,57 6 ' BONELESS FROZEN PORK MEAT 157,21 7 ' COPPER CATHODES 126,43 8 ' IRON ORE «PELLETS» 101,39 9 ' TROUTS HEADED AND GUTTED («HG») 81,22 10 ' ATLANTIC SALMONS AND DANUBE SALMONS 70,36 11 ' FROZEN SEA URCHIN TONGUES 56,50 12 ' SAWED WOOD 54,23 13 ' CHEMICAL PASTA OF CONIFEROUS 52,47 14 ' WOOD OF EUCALYPTUS NITENS 49,27 15 ' TROUT FILETS 40,91 16 ' SILVER MINERALS AND ITS CONCENTRATES 35,19 17 ' FINE IRON ORE 33,72 18 ' CABERNET SAUVIGNON 32,39 19 ' LYTHIUM CARBONATES 27,40 20 ' CHEMICAL PASTA OF EUCALYPTUS 26,26 TOTAL MAIN EXPORTS (1) TOTAL EXPORTS (2) (1) / (2) 6.829, ,31 90% Fuente: LegalPublishing

14 MAIN IMPORT PRODUCTS 2013 Producto Descripción Cif Mill. US$ 1 ' TOURISM VEHICLES 473,49 2 ' TYRES FOR CONSTRUCTION OR MAINTENANCE VEHICLES OR MACHINERY 172,33 3 ' TOURISM VEHICLES 117,91 4 ' GASOLINE FOR AIRPLANES 73,68 5 ' SULPHURIC ACID; OLEUM. 67,59 6 ' EXCAVATORS 60,53 7 ' TOURISM VEHICLES 56,26 8 ' CHASSIS FOR ROAD TRUCKS 50,41 9 ' FRONT LOADERS 33,74 10 ' STEEL PLATES WITH THICKNESS OF LESS THAN 3 MM 26,64 11 ' TYRES FOR BUSES OR TRUCKS 23,55 12 ' TANKER SHIPS 20,75 13 ' BULK CARRIERS 19,50 14 ' MOTOR VEHICLES FOR THE TRANSPORT OF GOODS 18,47 15 ' STEEL PLATES WITH THICKNESS OVER 10 MM 17,30 16 ' PARTS OF PRINTING MACHINES 14,85 17 ' VEHICLES FOR USEFUL LOADS OF OVER 2.000KILOS 14,72 18 ' VEHICLES WITH ENGINE CAPACITY OVER 2,500 CM3 14,42 19 ' HEAT EXCHANGERS 14,00 20 ' OTHER STEEL PLATES 13,01 TOTAL MAIN IMPORTS (1) 1.303,16 TOTAL IMPORTS (2) (1) / (2) 1.885,70 69% Fuente: LegalPublishing

15 III. Productive Chainings How do they work?

16

17 STAGE N 2 Theproductive process ismade in Chile, to fulfill with the Rule Of Origin and make use of the duty benefit in the destinationmarket

18 STAGE N 3: Export of final good (that complies with Chilean origin) to the countries of interest

19 SOME SUCCESSFUL CASES

20 RITRAMA COMPANY (ITALY) EXPORT OF PAPER ROLLS AND SELF-ADHESIVE FILM PAPER ROLLS AND SELF- ADHESIVE FILM Imported inputs: Paper Roll Vinyl Polychloride Film Adhesives Polyethylene and Polypropylene Films Paper in rolls ENTER TO CHILE WITH DUTY 0% Principal export markets Country Fob Mill. US$ 1 BRAZIL 11,66 2 ARGENTINA 779 7,79 3 MEXICO 6,94 4 COLOMBIA 3,18 5 VENEZUELA 2,43 COUNTRIES MERCOSUR México Colombia Venezuela Duty Others 16% 5% 10% 15% Duty Chile 0% 0% 0% 0%

21 SENSUS COMPANY (GERMANY) EXPORT OF METERS WATER MATERS HEADING MAIN EXPORT MARKETS COUNTRIES MÉXICO ARGENTINA SLOVAK REPUBLIC COUNTRIES MÉXICO ARGENTINA SLOVAK REPUBLIC Duty Others 15% 18% 2,1% Duty Chile 0% 0% 0%

22 IV.PROJECTIONS

23 EXPECTATIONS Extension and entrenchment of Agreement (Excepted products or with quotas) Exceptions: Dairy products, plywood, py tangerines, oranges and apple juices Quotas: Veal, pork and chicken meat, tomato pasta Signing of Agreement to avoid double taxation. Chile Business platform for Japan, in order to Chile Business platform for Japan, in order to enter to the countries of the Pacific Alliance.

24 THANK YOU!