U.S.-Latin America Trade Rebounds

U.S.-Latin America Trade Rebounds

STRONG RECOVERY US-Mexico trade grew 36 percent in the first half of the year.
Mexico and Costa Rica lead Latin America's growth in U.S. trade in the first half of 2010.

BY CHRONICLE STAFF

U.S. trade with Latin America grew 33 percent in the first half of the year thanks to both exports and imports showing strong growth, according to a Latin Business Chronicle analysis of new data from the US Census Bureau.

The first half results mark a contrast to 2009, when trade fell 21 percent. And while all but one Latin American country saw U.S. trade growth in the first half, all countries posted declines last year.

Ambassadors Say Mexico Is Not a Failed State

Along the Texas-Mexico border, the beheadings and bombings carried out by drug cartels are drawing comparisons to murders by Muslim extremists — not surprising, given the war-like death toll of 8,100 so far this year in Mexico. And that's just a guess; the news is sporadically reported these days — a consequence of the explosives being hurled at newsrooms and the reporters brutalized in broad daylight. Fear pervades Ciudad Juárez, the epicenter of the violence, where masked soldiers roam busy streets and once-thriving tourist commercial districts have disappeared.

Yet diplomats from both sides of the border reject the notion raised regularly by government officials and media outlets that Mexico has become a "failed state," and they call comparisons to Muslim extremists misguided. The horrors of some border communities, they say, overshadow the fact that parts of Mexico remain stable and are thriving economically. Daily trade between the U.S. and Mexico nears $1 billion; elections go on, and so has life in general, as unsettling as it may be in border hot spots.

That was the message reiterated last week by the U.S. ambassador to Mexico, Carlos Pascual, and the Mexican ambassador the U.S., Arturo Sarukhan, and other experts appearing at a Border Security Conference — "Re-Envisioning the Border Community to Foster a U.S.-Mexico Partnership for Prosperity, Progress, and Socio-Economic Development" — at the University of Texas at El Paso. Despite the violence (and, to some degree, because of it), cooperation between the U.S. and Mexico has in many ways grown to unprecedented levels, the two men say.

From UTEP's hilltop campus, a message painted in white on a mountainside, just across the Rio Grande, reminds residents that the Bible, above all else, is the truth. And notables at the conference all spoke of a border community that would inevitably triumph over terror. But on the streets of Juárez, the murders continued unabated: About 50 people would die violent deaths in the days that followed.

"A difficult period of time"


The atrocities have led some to question the future stability of a nation reeling from years of civil war between rival cartels, and between those gangs and Mexican law enforcement. But Pascual said the "failed state" label belies the reality of stability in much of Mexico, where the hallmarks of any modern nation remain present despite chaos in some corners of the country.

“Mexico had a difficult period of time" over the last two months, he said. "A candidate was killed before the elections, it went through extreme floods, and it still went ahead and had an election process on July 4. [There were] 12 gubernatorial elections, two local elections." A failed state, he said, "wouldn’t have been able to do that and handle that kind of stress.”

Following a fatal car bomb — detonated remotely in Juárez less than two weeks after the “successful” election Pascual referenced — comparisons abounded between the violence traffickers and their enforcers and that of Middle Eastern terrorists with extreme agendas. He does not minimize the horrors wrought by traffickers but argues that their brand of terror lacks a key ingredient.

“Cartels have undertaken ruthless behavior, and it should be condemned," Pascual said. "But what we also have not seen from the cartels is a political ideology or a religious ideology, and we need to make that distinction." Those tactics could warrant a shift in certain strategies, he said, but the lines should not be blurred to link the cartels with “terrorist activities with an ideology.”

A tale of two borders

Sarukhan, the Mexican ambassador, says that despite mounting tensions over immigration and border security, cooperation between the U.S. and his country has risen to a level not seen since the negotiation of the North American Free Trade Agreement. Invoking a classic line from Dickens, he said it's “the best of times and the worst of times” for relations between the two nations.

“Despite the naysayers and the cable TV pundits out there, it behooves Mexico to make sure the border is secure in both directions," he said. "And we’ve been working together since 9/11, but even more forcefully since President Calderón and President Obama have been working together." Sarukhan said this joint effort to realize the symbiotic relationship has led to an unprecedented number of security forces along the border.

“I am going to continue to bang my drum on this issue," he said of the international cooperation. "There are individuals out there … seeking to decouple the United States and Mexico. [T]here could be nothing more dangerous and more problematic to what we’ve been doing together.”

But the worst of times, he said, can be seen in the lack of confidence that many, if not most, citizens from both countries have in their leaders. Another sign: state governments in the U.S. taking it upon themselves to pass draconian immigration laws and deploy troops to the border, reacting to a perceived federal failure to act.

“This extremely healthy, strong, forward-moving formal and diplomatic bilateral relationship is witnessing a paradoxical movement in the other direction," he said. "Public opinion on both sides of the border feels completely alienated." He cited bitter reaction on the Mexican side to the passage of Arizona’s controversial SB 1070 and the anger that reverberated in Ciudad Juárez after the shooting death of teenager Sergio Adrían Hernández Güereca — at the hands of a U.S. Border Patrol agent — following an alleged rock-throwing incident on the concrete banks of the Rio Grande. “These public perceptions are poisoning the well of this bilateral relationship,” he said.

Also on the “worst” list is the failure of Congress to craft comprehensive immigration reform, which he termed a bipartisan failure. “There is no issue more important to the future of this bilateral relationship," he said. “We both have responsibilities.”

As opposed to the negotiation of NAFTA two decades ago, he added, the private sectors of both countries are today completely absent in the debate over how to reform immigration policy in a mutually agreeable fashion agreeable.

“It’s not surprising," he said. "All human beings are goal-oriented, and NAFTA was a big, juicy carrot. Both private sectors had a very clear objective. But we need the private sectors on both sides of the border to re-engage with one another — with politicians from Washington, D.C., and politicians from Mexico City — and move this agenda forward."

"Save the Dates" Chamber/Americas trade mission to Veracruz, Mexico: January 17-21, 2011. We will be visiting the cities of:

Veracruz-Boca de Rio, Xalapa (Capital), and Cordoba-Orizaba. More
details to follow. Weather should be exceptional in Veracruz during
our visit. We will be based out the historic Hotel Mocambo in
Boco de Rio.

US Warns Americans About Traveling to Bolivia

The U.S. State Department has issued a travel alert for U.S. citizens to be advised of unstable "social and security situations" in several areas in Bolivia.

A U.S. statement Thursday said local groups and other factions in the regions of Potosi, Oruro and Uyuni have been protesting against the Bolivian government about a border dispute, as well as accusations that officials have not carried out development projects in those regions.

The statement said protesters have erected roadblocks that have trapped thousands of people, including several hundred tourists, for up to 16 days. It said food, water and medical supplies in Potosi, Oruro and Uyuni are limited.

The State Department urged U.S. citizens in Bolivia to avoid traveling to those three regions until the situation is revolved.

News Release: TRADE BETWEEN THE US AND PERU GETS A BOOST WITH NEW COTA AGREEMENT

NEWS
Date: August 9, 2010 Contact: Gil Cisneros
For release immediately 303-462-1275

TRADE BETWEEN THE US AND PERU GETS A BOOST WITH NEW COTA AGREEMENT

An agreement between Denver’s Chamber of the Americas (COTA) and Exportadores USA – Peru S.A.C. opens up opportunities for local businesses that are looking for ways to expand into foreign markets.

In making the announcement, COTA’s president/CEO Gil Cisneros said, “It’s time to maximize the benefits provided under the United States-Peru Trade Promotion Agreement (PTPA)” which entered into force Feb. 1, 2009.

Most of Peru’s tariffs on U.S. exports were eliminated with the implementation of the PTPA; tariffs that still remain are to be phased out over defined periods of time. Peru was the United States’ 36th largest goods export market in 2009, according to the U.S. Trade Representative.

Companies in the central area of the US – Colorado, New Mexico, Utah, Idaho, Wyoming, Kansas, Nebraska, Montana – and Peru’s small and medium enterprises located in Lima, La Libertad, Cajamarca, Arequipa and Cusco, are the focus of the COTA–Exportadores agreement.

“Our goal is to promote trade and investment opportunities between the two countries; to facilitate the marketing of goods and services; and to provide distribution facilities in proximity to the target markets,” said Cisneros, adding that advice on imports, exports and contract negotiations will also be available.

Headquartered in Denver, the mission of the Chamber of the Americas is to facilitate commerce and understanding among the businesses and governments of the Western Hemisphere. For more information about COTA and markets in the Americas, contact Gil Cisneros at 303-462-1275, or gil@chamberoftheamericas.com.

Chamber/Americas is seeking your assistance without you spending a cent! Continental Airlines Reward One Program, it's simple, see below

The Chamber of the Americas is now participating in Continental’s Reward One Program. It works by helping Chamber of the Americas earn mileage for our business trips.

For example, if you fly anywhere with Continental
Airlines, they would automatically give the Chamber/Americas points. You will NOT forfeit any of your personal miles! Chamber/Americas will earn 10% of one point for every $100.00 you spend on airfare with Continental. We earn one ticket for every 16 points.

All I need is your one pass number. If you are not a one pass member, simply go to


www.continental.com

and enroll for your one pass number and send to me.

Any questions call me. Gracias!


Just return this email and we will do the rest. Thank you!

Gilberto (Gil) Cisneros
President/CEO
Chamber of the Americas
720 Kipling, Suite 13
Denver, Colorado, 80215. USA
Tel: 303.462.1275
Fax: 303.462.1560
Cel: 720.309.7686
gil@chamberoftheamericas.com
www.chamberoftheamericas.com

Chamber/Americas is proud to introduce their new member: Esso Standard Oil, S. A. ltd, ExxonMobil

Daniel Mencia
General Manager
Esso Standard Oil, S. A. Ltd.
EXXONMOBIL
Costado Sur Aeropuerto Toncontin
Tegucigalpa, Honduras
Apdo. Postal 3452
504.234.5864, X-101
daniel.f.mencia@exxonmobil.com

Chamber/Americas is proud to introduce their newest strategic partner, Office of Ministry of Foregin Affairs, Honduras

CONTACT:

Eny Bautista
Director General
Office of Ministry of Foreign Affairs
Investment Promotion
eny.bautista@sre.gob.hn
ebautista@cancilleriahn.com

Honduras is open for business: Gamesa, Iberdrola Ingenieria To Build 102MW Wind Farm In Honduras

Gamesa, Iberdrola Ingenieria To Build 102MW Wind Farm In Honduras
Published: 03-Aug-2010

A consortium made up of Spanish companies Gamesa and Iberdrola Ingenieria y Construccion has received a contract to build a 102MW wind farm, known as Cerro de Hula, in Honduras.
Gamesa controls 76% of the venture, while Iberdrola Ingenieria controls the remaining 24%. The customer of the wind farm is Mesoamerica Energy, a developer of renewable energy projects in Central America and neighbouring countries via its local subsidiary.

The wind project has a 20-year PPA contract with Honduras' Empresa Nacional de Energía Electrica, and will be financed with funds from the US Export-Import Bank and the Central American Bank for Economic Integration. The contract to build the wind farm calls for a turnkey project with scheduled completion in 18 months. The new wind farm will consist of 51 Gamesa G87-2MW wind turbines.

The contract includes electricity grid interconnection, land accesses to the site, civil works, transport and electromechanical erection of the wind turbines. In addition, it includes maintenance services for a period of two years from the date the wind farm begins operating.

For Gamesa, the scope of the contract encompasses the manufacture, supply, transport and erection of the wind turbines, including supervision and start-up of the turbines. Meanwhile, Iberdrola Ingenieria will design and build the wind turbine foundations, access roads and erection platforms.

Iberdrola Ingenieria will also be responsible for construction of the site's operation and maintenance building and the design and execution of a system for exporting the wind farm's energy to the grid.

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