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@font-face
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@font-face
	{font-family:"Colonna MT";
	panose-1:4 2 8 5 6 2 2 3 2 3;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Cooper Black";
	panose-1:2 8 9 4 4 3 11 2 4 4;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Footlight MT Light";
	panose-1:2 4 6 2 6 3 10 2 3 4;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Harlow Solid Italic";
	panose-1:4 3 6 4 2 15 2 2 13 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Harrington;
	panose-1:4 4 5 5 5 10 2 2 7 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"High Tower Text";
	panose-1:2 4 5 2 5 5 6 3 3 3;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Jokerman;
	panose-1:4 9 6 5 6 13 6 2 7 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Kunstler Script";
	panose-1:3 3 4 2 2 6 7 13 13 6;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Lucida Bright";
	panose-1:2 4 6 2 5 5 5 2 3 4;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Lucida Calligraphy";
	panose-1:3 1 1 1 1 1 1 1 1 1;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Lucida Fax";
	panose-1:2 6 6 2 5 5 5 2 2 4;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Magneto;
	panose-1:4 3 8 5 5 8 2 2 13 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Matura MT Script Capitals";
	panose-1:3 2 8 2 6 6 2 7 2 2;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Modern No\. 20";
	panose-1:2 7 7 4 7 5 5 2 3 3;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Niagara Engraved";
	panose-1:4 2 5 2 7 7 3 3 2 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Niagara Solid";
	panose-1:4 2 5 2 7 7 2 2 2 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Old English Text MT";
	panose-1:3 4 9 2 4 5 8 3 8 6;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Onyx;
	panose-1:4 5 6 2 8 7 2 2 2 3;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Parchment;
	panose-1:3 4 6 2 4 7 8 4 8 4;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Playbill;
	panose-1:4 5 6 3 10 6 2 2 2 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Poor Richard";
	panose-1:2 8 5 2 5 5 5 2 7 2;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Ravie;
	panose-1:4 4 8 5 5 8 9 2 6 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Informal Roman";
	panose-1:3 6 4 2 3 4 6 11 2 4;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Showcard Gothic";
	panose-1:4 2 9 4 2 1 2 2 6 4;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Snap ITC";
	panose-1:4 4 10 7 6 10 2 2 2 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Stencil;
	panose-1:4 4 9 5 13 8 2 2 4 4;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Viner Hand ITC";
	panose-1:3 7 5 2 3 5 2 2 2 3;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Vivaldi;
	panose-1:3 2 6 2 5 5 6 9 8 4;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Vladimir Script";
	panose-1:3 5 4 2 4 4 7 7 3 5;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Wide Latin";
	panose-1:2 10 10 7 5 5 5 2 4 4;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Candara;
	panose-1:2 14 5 2 3 3 3 2 2 4;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:-1610611985 1073750091 0 0 159 0;}
@font-face
	{font-family:Consolas;
	panose-1:2 11 6 9 2 2 4 3 2 4;
	mso-font-charset:0;
	mso-generic-font-family:modern;
	mso-font-pitch:fixed;
	mso-font-signature:-1610611985 1073750091 0 0 159 0;}
@font-face
	{font-family:Constantia;
	panose-1:2 3 6 2 5 3 6 3 3 3;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:-1610611985 1073750091 0 0 159 0;}
@font-face
	{font-family:Corbel;
	panose-1:2 11 5 3 2 2 4 2 2 4;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:-1610611985 1073750091 0 0 159 0;}
@font-face
	{font-family:"Segoe UI";
	panose-1:2 11 5 2 4 2 4 2 2 3;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:-536861953 -1073733541 9 0 479 0;}
@font-face
	{font-family:"Wingdings 2";
	panose-1:5 2 1 2 1 5 7 7 7 7;
	mso-font-charset:2;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:0 268435456 0 0 -2147483648 0;}
@font-face
	{font-family:"Wingdings 3";
	panose-1:5 4 1 2 1 8 7 7 7 7;
	mso-font-charset:2;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:0 268435456 0 0 -2147483648 0;}
@font-face
	{font-family:"\@Arial Unicode MS";
	panose-1:2 11 6 4 2 2 2 2 2 4;
	mso-font-charset:128;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:-134238209 -371195905 63 0 4129279 0;}
@font-face
	{font-family:"\@MS Mincho";
	panose-1:2 2 6 9 4 2 5 8 3 4;
	mso-font-charset:128;
	mso-generic-font-family:modern;
	mso-font-pitch:fixed;
	mso-font-signature:-1610612033 1757936891 16 0 131231 0;}
@font-face
	{font-family:Broadway;
	panose-1:4 4 9 5 8 11 2 2 5 2;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Bitstream Vera Sans Mono";
	panose-1:2 11 6 9 3 8 4 2 2 4;
	mso-font-charset:0;
	mso-generic-font-family:modern;
	mso-font-pitch:fixed;
	mso-font-signature:-2147483473 268443722 0 0 1 0;}
@font-face
	{font-family:StarSymbol;
	panose-1:5 0 0 0 0 0 0 0 0 0;
	mso-font-charset:0;
	mso-generic-font-family:auto;
	mso-font-pitch:variable;
	mso-font-signature:3 268468224 0 0 1 0;}
@font-face
	{font-family:Albany;
	panose-1:2 11 6 4 2 2 2 2 2 4;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:647 0 0 0 159 0;}
@font-face
	{font-family:"Palace Script";
	panose-1:3 2 7 2 4 7 4 8 10 3;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:Thorndale;
	panose-1:2 2 6 3 5 4 5 2 3 4;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:647 0 0 0 159 0;}
@font-face
	{font-family:"Bitstream Vera Serif";
	panose-1:2 6 6 3 5 6 5 2 2 4;
	mso-font-charset:0;
	mso-generic-font-family:roman;
	mso-font-pitch:variable;
	mso-font-signature:-2147483473 268443722 0 0 1 0;}
@font-face
	{font-family:Kidprint;
	panose-1:3 1 1 1 1 1 1 1 1 1;
	mso-font-charset:0;
	mso-generic-font-family:script;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Imprint MT Shadow";
	panose-1:4 2 6 5 6 3 3 3 2 2;
	mso-font-charset:0;
	mso-generic-font-family:decorative;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Bitstream Vera Sans";
	panose-1:2 11 6 3 3 8 4 2 2 4;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:-2147483473 268443722 0 0 1 0;}
@font-face
	{font-family:"Andale Sans";
	panose-1:2 11 6 3 2 1 4 2 2 3;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:647 0 0 0 159 0;}
@font-face
	{font-family:Cumberland;
	panose-1:2 7 3 9 2 2 5 2 4 4;
	mso-font-charset:0;
	mso-generic-font-family:modern;
	mso-font-pitch:fixed;
	mso-font-signature:647 0 0 0 159 0;}
@font-face
	{font-family:"Andale Sans UI";
	panose-1:2 11 5 2 0 0 0 0 0 1;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:647 0 0 0 159 0;}
@font-face
	{font-family:Sheffield;
	panose-1:2 14 6 4 2 0 3 2 2 4;
	mso-font-charset:0;
	mso-generic-font-family:swiss;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"Palace Script MT";
	panose-1:3 3 3 2 2 6 7 12 11 5;
	mso-font-charset:0;
	mso-generic-font-family:auto;
	mso-font-pitch:variable;
	mso-font-signature:3 0 0 0 1 0;}
@font-face
	{font-family:"\@SimSun";
	panose-1:0 0 0 0 0 0 0 0 0 0;
	mso-font-charset:134;
	mso-generic-font-family:auto;
	mso-font-format:other;
	mso-font-pitch:variable;
	mso-font-signature:1 135135232 16 0 262144 0;}
 /* Style Definitions */
 p.MsoNormal, li.MsoNormal, div.MsoNormal
	{mso-style-unhide:no;
	mso-style-qformat:yes;
	mso-style-parent:"";
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	font-size:11.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-bidi-font-family:"Times New Roman";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;}
h1
	{mso-style-unhide:no;
	mso-style-qformat:yes;
	mso-margin-top-alt:auto;
	margin-right:0cm;
	mso-margin-bottom-alt:auto;
	margin-left:0cm;
	mso-pagination:widow-orphan;
	mso-outline-level:1;
	font-size:16.0pt;
	mso-bidi-font-size:24.0pt;
	font-family:"Arial Unicode MS","sans-serif";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;
	font-weight:bold;}
h2
	{mso-style-update:auto;
	mso-style-unhide:no;
	mso-style-qformat:yes;
	mso-margin-top-alt:auto;
	margin-right:0cm;
	mso-margin-bottom-alt:auto;
	margin-left:0cm;
	mso-pagination:widow-orphan;
	mso-outline-level:2;
	background:#CCCCCC;
	font-size:11.0pt;
	mso-bidi-font-size:18.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Arial Unicode MS";
	mso-bidi-font-family:"Arial Unicode MS";
	mso-ansi-language:EN;
	mso-fareast-language:EN-US;
	font-weight:bold;}
h3
	{mso-style-unhide:no;
	mso-style-qformat:yes;
	mso-style-next:Normal;
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	page-break-after:avoid;
	mso-outline-level:3;
	background:#D9D9D9;
	font-size:11.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-bidi-font-family:"Times New Roman";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;
	font-weight:bold;}
h4
	{mso-style-unhide:no;
	mso-style-qformat:yes;
	mso-style-next:Normal;
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	page-break-after:avoid;
	mso-outline-level:4;
	font-size:11.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-bidi-font-family:"Times New Roman";
	color:black;
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;
	font-weight:bold;}
h5
	{mso-style-unhide:no;
	mso-style-qformat:yes;
	mso-style-next:Normal;
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	page-break-after:avoid;
	mso-outline-level:5;
	font-size:11.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-bidi-font-family:"Times New Roman";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;
	font-weight:bold;}
h6
	{mso-style-unhide:no;
	mso-style-qformat:yes;
	mso-style-next:Normal;
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	page-break-after:avoid;
	mso-outline-level:6;
	font-size:11.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-bidi-font-family:"Times New Roman";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;
	font-weight:bold;}
p.MsoHeader, li.MsoHeader, div.MsoHeader
	{mso-style-noshow:yes;
	mso-style-unhide:no;
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	tab-stops:center 216.0pt right 432.0pt;
	font-size:11.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-bidi-font-family:"Times New Roman";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;}
p.MsoFooter, li.MsoFooter, div.MsoFooter
	{mso-style-noshow:yes;
	mso-style-unhide:no;
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	tab-stops:center 216.0pt right 432.0pt;
	font-size:11.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-bidi-font-family:"Times New Roman";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;}
p.MsoBodyText, li.MsoBodyText, div.MsoBodyText
	{mso-style-noshow:yes;
	mso-style-unhide:no;
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	font-size:10.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-bidi-font-family:"Times New Roman";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;}
p.MsoBodyText2, li.MsoBodyText2, div.MsoBodyText2
	{mso-style-noshow:yes;
	mso-style-unhide:no;
	margin:0cm;
	margin-bottom:.0001pt;
	line-height:12.0pt;
	mso-pagination:widow-orphan;
	mso-layout-grid-align:none;
	text-autospace:none;
	font-size:11.0pt;
	mso-bidi-font-size:10.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:SimSun;
	color:black;
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;}
p.MsoBodyText3, li.MsoBodyText3, div.MsoBodyText3
	{mso-style-noshow:yes;
	mso-style-unhide:no;
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
	font-size:10.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial","sans-serif";
	mso-fareast-font-family:"Times New Roman";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;}
a:link, span.MsoHyperlink
	{mso-style-noshow:yes;
	mso-style-unhide:no;
	color:blue;
	text-decoration:none;
	text-underline:none;}
a:visited, span.MsoHyperlinkFollowed
	{mso-style-noshow:yes;
	mso-style-unhide:no;
	color:purple;
	text-decoration:underline;
	text-underline:single;}
p
	{mso-style-noshow:yes;
	mso-style-unhide:no;
	mso-margin-top-alt:auto;
	margin-right:0cm;
	mso-margin-bottom-alt:auto;
	margin-left:0cm;
	mso-pagination:widow-orphan;
	font-size:11.0pt;
	mso-bidi-font-size:12.0pt;
	font-family:"Arial Unicode MS","sans-serif";
	mso-ansi-language:EN-US;
	mso-fareast-language:EN-US;}
p.MsoAcetate, li.MsoAcetate, div.MsoAcetate
	{mso-style-noshow:yes;
	mso-style-priority:99;
	mso-style-link:"Texto de globo Car";
	margin:0cm;
	margin-bottom:.0001pt;
	mso-pagination:widow-orphan;
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</head>

<body lang=3DES link=3Dblue vlink=3Dpurple style=3D'tab-interval:36.0pt'>

<div class=3DSection1>

<h1><span lang=3DEN-US style=3D'font-size:9.0pt;mso-bidi-font-size:24.0pt'>=
<!--[if gte vml 1]><v:shapetype
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</v:shapetype><v:shape id=3D"_x0000_i1025" type=3D"#_x0000_t75" style=3D'wi=
dth:64.5pt;
 height:68.25pt'>
 <v:imagedata src=3D"Mexico_archivos/image001.jpg" o:title=3D"USCSlogo-R"/>
</v:shape><![endif]--><![if !vml]><img width=3D86 height=3D91
src=3D"Mexico_archivos/image002.jpg" v:shapes=3D"_x0000_i1025"><![endif]></=
span><span
lang=3DEN-US style=3D'font-size:10.5pt;font-family:"Arial","sans-serif"'><s=
pan
style=3D'mso-spacerun:yes'>&nbsp;</span><a name=3Dtoc></a><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span><a name=3D"OLE_LINK1"><span
lang=3DEN-US>Doing Business </span></a><span class=3DMsoHyperlink><span lan=
g=3DEN-US
style=3D'color:black'>in </span></span><span lang=3DEN-US>Mexico:<span
style=3D'mso-spacerun:yes'>&nbsp; </span>A Country Commercial Guide for U.S.
Companies</span></h1>

<h1 style=3D'background:#E6E6E6'><span lang=3DEN-US style=3D'font-size:10.0=
pt;
font-family:"Arial","sans-serif"'>INTERNATIONAL COPYRIGHT, U.S. &amp; FOREI=
GN
COMMERCIAL SERVICE AND U.S. DEPARTMENT OF STATE, 2005. ALL RIGHTS RESERVED
OUTSIDE OF THE UNITED STATES.</span><span lang=3DEN-US style=3D'font-size:1=
0.5pt;
font-family:"Arial","sans-serif"'><o:p></o:p></span></h1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch1">Chapter 1: D=
oing Business
     In Mexico</a><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch2">Chapter 2: P=
olitical
     and Economic Environment</a><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch3">Chapter 3: S=
elling U.S.
     Products and Services</a><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch4">Chapter 4: L=
eading Sectors
     for U.S. Export and Investment</a><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch5">Chapter 5: T=
rade Regulations
     and Standards</a><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch6">Chapter 6: I=
nvestment
     Climate</a><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch7">Chapter 7: T=
rade and
     Project Financing</a><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch8">Chapter 8: B=
usiness
     Travel</a><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch9">Chapter 9: C=
ontacts,
     Market Research and Trade Events</a></span><span lang=3DEN style=3D'ms=
o-bidi-font-family:
     Arial;mso-ansi-language:EN'><o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l3 level1 lfo6;tab-stops:list 36.0=
pt'><span
     lang=3DEN style=3D'mso-ansi-language:EN'><a href=3D"#ch10">Chapter 10:=
 Guide to
     Our Services</a></span><span lang=3DEN style=3D'mso-bidi-font-family:A=
rial;
     mso-ansi-language:EN'><o:p></o:p></span></li>
</ul>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN style=3D'=
mso-ansi-language:
EN'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN style=3D'=
mso-ansi-language:
EN'><o:p>&nbsp;</o:p></span></p>

</div>

<b><span lang=3DEN style=3D'font-size:16.0pt;mso-bidi-font-size:24.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-font-kerning:18.0pt;mso-ansi-language:E=
N;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:auto;mso-break-type:section-break'>
</span></b>

<div class=3DSection2><span lang=3DEN style=3D'font-size:11.0pt;mso-bidi-fo=
nt-size:
12.0pt;font-family:"Arial Unicode MS","sans-serif";mso-ansi-language:EN;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:always'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch1></a><span lang=
=3DEN-US><a
href=3D"#toc"><span style=3D'font-family:"Arial","sans-serif";mso-fareast-f=
ont-family:
"Times New Roman";mso-bidi-font-family:"Times New Roman"'>Return to table o=
f contents</span></a></span><span
lang=3DEN-US style=3D'font-family:"Arial","sans-serif";mso-fareast-font-fam=
ily:
"Times New Roman";mso-bidi-font-family:"Times New Roman"'><o:p></o:p></span=
></p>

<h1><span lang=3DEN style=3D'mso-ansi-language:EN'>Chapter 1: Doing Busines=
s In
Mexico</span></h1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#marketoverview">Market Overview</a></span></l=
i>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#marketchallenges">Market Challenges</a></span=
></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#makretopportunites">Market Opportunities</a><=
/span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#marketentrystrategy">Market Entry Strategy</a=
></span></li>
</ul>

<h2><a name=3Dmarketoverview></a><span lang=3DEN>Market Overview<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch1">Return to top</a></=
span></h2>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l8 level1 lfo12;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>The
North American Free Trade Agreement (NAFTA), which was enacted in 1994 and
created a free trade zone for Mexico, Canada and the United States, is the =
most
outstanding feature in the U.S.-Mexico bilateral relationship.<o:p></o:p></=
span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l8 level1 lfo12;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>Since
the implementation of NAFTA, Mexican imports from the U.S. have increased
exponentially, totaling over $120 billion in 2005.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Through October 2006, U.S. exports=
 to
Mexico were $112.3 billion, up 13.3% over the same period in 2005.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S.-Mexico bilateral trade has
increased 232%:<span style=3D'mso-spacerun:yes'>&nbsp; </span>from $88 bill=
ion in
1993 to $292 billion in 2005, although China just surpassed Mexico as the
U.S.&#8217;s second-largest trading partner.<o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l8 level1 lfo12;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>In
2006, the economy grew by 4.5%, the highest figure since 2000, although the
Treasury predicts growth slowing in 2007 to 3.6% due to slowdowns in U.S.
growth and Mexican industrial production. <o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l8 level1 lfo12;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>On
December 1, 2006, Mexico inaugurated Felipe Calderon as President.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Although President Calderon&#8217;s
narrow electoral margin and the unusually divisive nature of the election h=
ave
given rise to certain challenges, Calderon inherited a stable, growing econ=
omy
tightly linked to U.S. economic cycles.<span style=3D'mso-spacerun:yes'>&nb=
sp;
</span>With inflation under control, foreign direct investment continuing to
grow and relatively stable debt and equity markets, Mexico&#8217;s
macro-economic picture is a healthier one than in early years of this decad=
e.<o:p></o:p></span></p>

<h2><a name=3Dmarketchallenges></a><span lang=3DEN>Market Challenges<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch1">Return to top</a></=
span><span
lang=3DEN><span style=3D'mso-tab-count:1'>&nbsp;&nbsp; </span></span></h2>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l11 level1 lfo1=
3;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>Mexico&#8217;s
size and diversity are often under appreciated by U.S. exporters.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>It can be difficult to find a sing=
le
distributor or agent to cover this vast market.<o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l11 level1 lfo1=
3;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>The
Mexican legal system differs in many significant ways from the U.S.
system.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>U.S. firms shou=
ld
consult with competent legal counsel before entering into any business
agreements with Mexican partners.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The U.S. Commercial Service can provide a list of attorneys with
experience in dealing with U.S. corporate clients through the Business Serv=
ice
Provider program.<o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l11 level1 lfo1=
3;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>The
banking system in Mexico has shown some signs of growth after years of
stagnation, but interest rates remain relatively high.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In particular, small and medium
enterprises (SMEs) find it difficult to obtain financing at reasonable rates
despite Mexican Government efforts to increase capital for the SMEs.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. companies need to conduct tho=
rough
due diligence before entering into business with a Mexican firm, and should=
 be
conservative in extending credit and alert to payment delays.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>As one element in a prudent due
diligence process, the U.S. Commercial Service offices in Mexico can conduct
background checks on potential Mexican partners.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>There is a fee for this service.<o=
:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l11 level1 lfo1=
3;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>Mexican
customs regulations, product standards and labor laws may entail pitfalls f=
or
U.S. companies.<span style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. Embassy
commercial, economic, agricultural and labor attach&eacute;s are available =
to
counsel firms with respect to regulations that affect their particular expo=
rt
product or business interest.<o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l11 level1 lfo1=
3;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>Have
patience.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Everything takes mo=
re
time to accomplish in Mexico than what U.S. companies are used to or would
like.<span style=3D'mso-spacerun:yes'>&nbsp; </span><o:p></o:p></span></p>

<h2><a name=3Dmakretopportunites></a><span lang=3DEN>Market Opportunities<s=
pan
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </s=
pan></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch1">Return to top</a></=
span></h2>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l22 level1 lfo1=
4;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>With
the overwhelming amount of trade between the United States and Mexico, there
are abundant market opportunities for U.S. firms in Mexico.<o:p></o:p></spa=
n></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l22 level1 lfo1=
4;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>Mexico&#8217;s
geographic proximity to the United States has propelled the maquiladora
industry with thousands of factories near the U.S.-Mexico border for export
back into the United States.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Marketing to these manufacturers could lead to substantial opportuni=
ties
for U.S. firms.<o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l22 level1 lfo1=
4;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>Some
of the most promising sectors include: airport &amp; ground support equipme=
nt,
automotive parts &amp; supplies, education &amp; training services, electro=
nic
components, energy technology &amp; services, environmental technologies &a=
mp;
equipment, franchising, hotel &amp; restaurant equipment, housing &amp;
construction, plastic materials/resins, security &amp; safety equipment &am=
p;
services, telecommunications equipment, transportation infrastructure equip=
ment
&amp; services and travel &amp; tourism services.<o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l22 level1 lfo1=
4;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>A
complete list of the top prospects in Mexico is provided in Chapter Four.<s=
pan
style=3D'mso-spacerun:yes'>&nbsp; </span>However, given the size of the Mex=
ican
market, there are numerous other promising prospects, including medical
equipment, food processing equipment, architectural and engineering services
and more.<span style=3D'mso-spacerun:yes'>&nbsp; </span>If an industry is n=
ot
explicitly mentioned as a &#8220;best prospect,&#8221; it does not necessar=
ily
mean that there are not ample opportunities in the Mexican market.<o:p></o:=
p></span></p>

<h2><a name=3Dmarketentrystrategy></a><span lang=3DEN>Market Entry Strategy=
<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></=
span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch1">Return to top</a></=
span></h2>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l0 level1 lfo15;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>In
Mexico, business is done on the basis of relationships.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. exporters will need to travel=
 to
Mexico frequently to develop and strengthen relationships in order to do
business successfully in Mexico.<o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l0 level1 lfo15;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>Mexican
companies tend to be extremely price conscious and appreciate outstanding
service.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Time is essential to
cultivate trust to enhance a professional partnership.<o:p></o:p></span></p>

<p style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-list:l0 level1 lfo15;
tab-stops:list 36.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US style=3D'font-family:"Ari=
al","sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'>Several
market entry strategies have proven to be effective in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In general, Mexicans appreciate cl=
ose
working relationships, so working with a locally-based agent, representativ=
e or
distributor is usually essential.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>However, market entry strategies can vary by sector and region in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. Commercial Servi=
ce
staff is available to provide individualized counseling to determine the be=
st
market entry strategy for a given U.S. company/product.<span
style=3D'mso-spacerun:yes'>&nbsp; </span><o:p></o:p></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><a href=3D"#toc">Return to table of contents</a><o:p></o=
:p></span></p>

</div>

<b><span lang=3DEN style=3D'font-size:16.0pt;mso-bidi-font-size:24.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-font-kerning:18.0pt;mso-ansi-language:E=
N;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:auto;mso-break-type:section-break'>
</span></b>

<div class=3DSection3></div>

<b><span lang=3DEN style=3D'font-size:16.0pt;mso-bidi-font-size:24.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-font-kerning:18.0pt;mso-ansi-language:E=
N;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:auto;mso-break-type:section-break'>
</span></b>

<div class=3DSection4><span lang=3DEN style=3D'font-size:11.0pt;mso-bidi-fo=
nt-size:
12.0pt;font-family:"Arial Unicode MS","sans-serif";mso-ansi-language:EN;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:always'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch2></a><span lang=
=3DEN-US><a
href=3D"#toc"><span style=3D'font-family:"Arial","sans-serif";mso-fareast-f=
ont-family:
"Times New Roman";mso-bidi-font-family:"Times New Roman"'>Return to table of
contents</span></a></span><span lang=3DEN-US style=3D'font-family:"Arial","=
sans-serif";
mso-fareast-font-family:"Times New Roman";mso-bidi-font-family:"Times New R=
oman"'><o:p></o:p></span></p>

<h1><span lang=3DEN style=3D'mso-ansi-language:EN'>Chapter 2: Political and
Economic Environment<o:p></o:p></span></h1>

<p class=3DMsoNormal><span lang=3DEN style=3D'mso-ansi-language:EN'>For bac=
kground
information on the political and economic environment of the country, please
click on the link below to the U.S. Department of State Background Notes.<o=
:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN style=3D'mso-ansi-language:EN'><o:p>&n=
bsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN style=3D'=
mso-ansi-language:
EN'><a href=3D"http://www.state.gov/r/pa/ei/bgn/35749.htm">http://www.state=
.gov/r/pa/ei/bgn/35749.htm</a><o:p></o:p></span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN style=3D'=
mso-ansi-language:
EN'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><a name=3Done></a><span lang=3DEN-US><o:p>&nbsp;</o:p>=
</span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><a href=3D"#toc">Return to table of contents</a><o:p></o=
:p></span></p>

</div>

<b><span lang=3DEN-US style=3D'font-size:16.0pt;mso-bidi-font-size:24.0pt;
font-family:"Arial Unicode MS","sans-serif";mso-font-kerning:18.0pt;mso-ans=
i-language:
EN-US;mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:auto;mso-break-type:section-break'>
</span></b>

<div class=3DSection5><span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi=
-font-size:
12.0pt;font-family:"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:always'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch3></a><span lang=
=3DEN-US
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'><a href=3D"#toc">Return to table of
contents</a><o:p></o:p></span></p>

<h1><span lang=3DEN-US>Chapter 3: Selling U.S. Products and Services </span=
></h1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#agent">Using an Agent or Distributor</a></spa=
n></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#establishinganoffice">Establishing an Office<=
/a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#franchising">Franchising</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#directmarketing">Direct Marketing</a></span><=
/li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#jointventures">Joint Ventures/Licensing</a></=
span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#sellingtothegovt">Selling to the Government</=
a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#distributionandsaleschannels">Distribution an=
d Sales
     Channels</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#sellingfactors">Selling Factors/Techniques</a=
></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#electroniccommerce">Electronic Commerce</a></=
span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#tradepromotion">Trade Promotion and Advertisi=
ng</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#pricing">Pricing</a> </span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#salesservice">Sales Service/Customer Support<=
/a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#protectingip">Protecting Your Intellectual Pr=
operty</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#duediligence">Due Diligence</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#localprofessionalservices">Local Professional
     Services</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#marketingtomanufacturers">Marketing to Manufa=
cturers
     Initiative</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l10 level1 lfo1;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#webresources">Web Resources</a></span></li>
</ul>

<h2><a name=3Dsix></a><a name=3Dagent></a><span lang=3DEN>Using an Agent or
Distributor<span style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <=
/span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Many U.S. firms use a distributor a=
nd/or
retailer to distribute their products in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This channel can be used to distri=
bute
products in various regions or to distribute to several lines of business.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span>For example, a distributor can be =
used
to sell to the automobile industry, and another distributor to sell to the
financial sector.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This channe=
l is
also efficient when the distributor is required to have a stock of the prod=
uct.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some U.S. firms sell their products=
 through
a sales agent.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Usually, a sal=
es
agent is a freelancer.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Howeve=
r,
some Mexican firms are interested in serving as sales agents for U.S.
firms.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This channel can be
efficient for reaching the smaller cities or more remote locations of the
country.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Selection of the appropriate agent =
or
distributor requires time and effort.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Though there may be many qualified candidates, U.S. firms should use
high standards in selecting the agent/distributor.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Since most Mexican firms are selli=
ng in
a limited area, U.S. companies should consider appointing representatives in
multiple cities to broaden distribution, and rarely, if ever, grant an
exclusive, national agreement.<span style=3D'mso-spacerun:yes'>&nbsp; </spa=
n>It
is important to develop a close working relationship with the appointed
agent/distributor.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Providing
appropriate training, marketing support, samples, product support, and time=
ly
supply of spare parts is critical for success.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>There are no indemnity laws to pre=
vent a
company from canceling an agent or distributor agreement, but the cancellat=
ion
clause should include specifics and be free of vague language.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Sales performance clauses in
agent/distributor agreements are permitted, and failure to meet established
standards can be a reasonable cause for contract cancellation.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Before signing the agent/distributor
agreement, all parties should fully understand the terms and conditions and=
 the
relationship to be developed.<span style=3D'mso-spacerun:yes'>&nbsp; </span=
>Many
relationships are strained because insufficient time is invested in develop=
ing
a full understanding of what is expected.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Commercial Service and other
organizations, such as the U.S. Chamber of Commerce and U.S. State governme=
nt
offices, maintain lists of Mexican agents/distributors, manufacturers, Mexi=
can
government offices, and private sector trade organizations.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>After identifying a suitable
agent/distributor, the U.S. exporter is encouraged to conduct a commercial
background check on the Mexican firm.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The U.S. Commercial Service offers the service of providing an
International Company Profile (ICP) report to provide background informatio=
n on
a potential business partner.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>If the product is new to the market=
, or if
the market is extremely competitive, advertising and other promotional supp=
ort
should be negotiated in detail with your representative.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Product and industry knowledge, tr=
ack
record, enthusiasm and commitment should be weighed heavily.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Service and price are extremely
important to Mexican buyers.<span style=3D'mso-spacerun:yes'>&nbsp; </span>=
The
U.S. exporter should also schedule annual visits of Mexican personnel to the
U.S. companies for training.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Another factor to consider is financing, as the commercial and
industrial sectors&#8217; resources are limited due to high interest rates.=
<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Joint venture arrangements should =
also
be investigated to strengthen market penetration.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Direct marketing and telemarketing=
 are
still evolving marketing strategies, but they are gaining in popularity and
scope.</span></p>

<h2><a name=3Dstepsforestablishinganoffice></a><a name=3Destablishinganoffi=
ce></a><span
lang=3DEN>Establishing an Office<span style=3D'mso-tab-count:6'>&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>For U.S. companies interested in
establishing a presence in Mexico, the General Law of Mercantile Organizati=
ons
(or the Civil Code) regulates the many different forms of business
entities.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The type of business
incorporation that a U.S. company or individual chooses is extremely import=
ant
because it determines the operations they are allowed to perform in Mexico =
and,
among other liabilities, the amount of taxes they pay.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some of the most commonly-used type=
s of
business forms are the Sociedad Anonima (Corporation) identified with
&quot;S.A.&quot; at the end of the company name, and the Sociedad Anonima de
Capital Variable (Corporation with Variable Capital) identified with &quot;=
S.A.
de C.V.&quot;<span style=3D'mso-spacerun:yes'>&nbsp; </span>One of the adva=
ntages
of the latter is that the minimum fixed capital can be changed subsequent to
the initial formation.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Limited Liability Partnership (=
Sociedad
de Responsabilidad Limitada) identified with &quot;S. de R.L.&quot; is simi=
lar
to a closed corporation in the United States and it also has the option of
having a variable capital (&#8220;S. de R.L. de C.V.&#8221;).<span
style=3D'mso-spacerun:yes'>&nbsp; </span>As this is an organization formed =
by individuals,
it can have similar characteristics to a partnership with the exception of =
the
unlimited liability.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Civil Partnership (Sociedad Civil) =
is the
most common organization for professional service providers.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>It has no minimum capital requirem=
ents and
no limit in the number of partners, but it is taxable in the same way as a
corporation.<span style=3D'mso-spacerun:yes'>&nbsp; </span>It is identified=
 with
&quot;S.C.&quot;</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Civil Association (Asociaci&oacute;=
n Civil)
is the form that charitable or nonprofit organizations adopt to operate and=
 is
identified with &quot;A.C.&quot;<span style=3D'mso-spacerun:yes'>&nbsp; </s=
pan></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>A foreign company may open a branch
(&#8220;sucursal&#8221;) in Mexico as an alternative to incorporating.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>A branch can provide rights and
responsibilities similar to a corporation, including tax liability and acce=
ss
to local courts, but requires the approval of the National Foreign Investme=
nt
Commission.</span></p>

<h2><a name=3Dseven></a><a name=3Dfranchising></a><span lang=3DEN>Franchisi=
ng<span
style=3D'mso-tab-count:8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>The franchise industry in Mexico ha=
s grown
between 15 &#8211; 20 percent every year over the last decade.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In 2006 franchises generated sales=
 over
USD 8.5 Billion, proving that the franchise sector is an important source of
job creation, self-employment and wealth creation.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico is the 8th leading nation in
franchise development according to the World Franchise Council.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Conservative estimates indicate th=
at
this sector will grow at least 15 percent in 2007. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Franchises in Mexico are regulated =
by
Article 142 of the Industrial Property Law and </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Article 65 of its Regulations.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Franchise agreements must be regis=
tered
before the </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Institute of Industrial Pro=
perty in
order to be effective against third parties.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>On January 26, 2006, an amendment t=
o the
Mexican Franchise Regulations (Article 142) </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>was published in the Mexican Offici=
al
Gazette, stating a new definition of franchise, </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>mandating requirements for franchise
agreements, and providing new standards for </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>pre-sale franchise disclosure.</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on Franchising=
 in
Mexico, please see Chapter 4 of this Country Commercial Guide:<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Leading Sectors for U.S. Export and
Investment &#8211; Franchising.</span></p>

<h2><a name=3Deight></a><a name=3Ddirectmarketing></a><span lang=3DEN>Direct
Marketing<span style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><=
span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>In the last ten years the marketing
industry in Mexico has evolved into a more sophisticated, segmented, and
dynamic sector.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Today, the ch=
oices
firms have for marketing their products range from promoting their products
through one-to-one contact at point-of-sale displays or inserts distributed=
 in
monthly bills to mass exposure through advertising on billboards or other m=
edia
outlets.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Simultaneously, an increase in the =
general
adoption of more competitive and aggressive marketing strategies among local
and international firms has fostered specific industry specialization.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This is particularly true in the c=
ase of
promotional services such as in-store promotions, free sample campaigns and
other types of services, which require a one-on-one approach.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Today, as well as traditional mark=
eting
firms, there are companies dedicated solely to each marketing discipline.<s=
pan
style=3D'mso-spacerun:yes'>&nbsp; </span>Following is a list of the marketi=
ng
services that are readily available in Mexico:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>1)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Publicity</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>2)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Media
Centers</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>3)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Public
Relations</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>4)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Market
Research</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>5)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Internet</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>6)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>POS
(Point of Sale)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>7)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Promotions</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>8)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Direct
Marketing</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Generally, medium and small-sized U=
.S.
companies that enter the Mexican market leave all of the promotional effort=
s to
their local distributor or representative, relying entirely on their abilit=
y to
sell to major players in the market.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>However, industry experts believe that in order to establish a long-=
term
presence in Mexico, U.S. firms must directly invest in marketing and promot=
ion
to increase their sales.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>According to industry experts, comp=
anies
are utilizing more targeted strategies, as opposed to mass media channels.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span>Since selecting the most appropria=
te
means is very subjective, the best approach is to rely on the industry expe=
rts
to make solid recommendations on the best available vehicle.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CS Mexico highly recommends U.S. co=
mpanies
check with local associations to verify member companies&#8217; standings
before conducting any marketing campaign in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Additionally, local associations a=
re
often a great source for information and general orientation as to the most
recommended strategy.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span>=
<span
style=3D'mso-ansi-language:ES'>The leading association in Mexico is CICOM.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span><o:p></o:p></span></p>

<p class=3DMsoNormal><span style=3D'mso-ansi-language:ES'><o:p>&nbsp;</o:p>=
</span></p>

<p class=3DMsoNormal><span style=3D'mso-ansi-language:ES'>CICOM<o:p></o:p><=
/span></p>

<p class=3DMsoNormal><span style=3D'mso-ansi-language:ES'>Confederacion de =
la
Industria de la Comunicacion Mercadotecnica<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Confederation of the Industry for M=
arketing
Communication</span></p>

<p class=3DMsoNormal><span style=3D'mso-ansi-language:ES'>Cerrada de Paloma=
s 36-A<o:p></o:p></span></p>

<p class=3DMsoNormal><span style=3D'mso-ansi-language:ES'>Col. Reforma Soci=
al<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>11650 Mexico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 2623-0561, through=
 64</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 2623-0564 (request=
 tone)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>e-mail: cte@amap.mx</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.cicom.org.mx/=
">www.cicom.org.mx</a></span></p>

<h2><a name=3Dnine></a><a name=3Djointventures></a><span lang=3DEN>Joint
Ventures/Licensing<span style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><=
span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Given the flexibility of engaging i=
n joint
venture agreements, this is a common approach for U.S. firms interested in
establishing a presence in Mexico.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Although some Mexicans rely on verbal agreements when doing business=
, it
is highly recommended to have a written joint venture agreement with your
Mexican business partner.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Acc=
ording
to Mexican law, joint ventures are considered separate entities from their
parent companies and must register separately to pay taxes.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>To safeguard a license or patent ag=
ainst
third parties, all licenses and patents in Mexico must be registered with t=
he
Mexican Institute of Intellectual Property (IMPI).<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Registering a license or patent en=
tails a
government review that can take up to twenty weeks.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>For more information on IMPI, plea=
se see
the &#8220;Intellectual Property&#8221; section below.</span></p>

<h2><a name=3Dten></a><a name=3Dsellingtothegovt></a><span lang=3DEN>Sellin=
g to the
Government<span style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican government purchases la=
rge
volumes of raw material, repair parts, finished goods and hired services, f=
or
the execution of important infrastructure and construction works.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In 2005, government procurement am=
ounted
to $26.75 billion, of which 31% was used to purchase goods, 44% to services=
 and
25% to construction services.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Traditionally, the entities and ent=
erprises
with the largest purchasing budgets have been:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Public entities: </span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l14 level1 lfo17;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Secretariat of Communicat=
ions
and Transport (SCT)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l14 level1 lfo17;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Secretariat of Public Edu=
cation
(SEP)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l14 level1 lfo17;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Treasury Department (SHCP=
)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l14 level1 lfo17;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Secretariat of Health (SS=
)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Public enterprises: </span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l18 level1 lfo16;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Mexican Petroleum (PEMEX)=
</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l18 level1 lfo16;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Federal Electricity Commi=
ssion
(CFE)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l18 level1 lfo16;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Mexican Social Security M=
exican
(IMSS) </span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l18 level1 lfo16;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Government Workers Securi=
ty and
Social Services Institute (ISSSTE)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on Mexico&#821=
7;s
government procurement laws and procedures, please see the following market
research report &#8220;Update on Mexican Government Procurement Laws&#8221;=
: <a
href=3D"http://www.buyusainfo.net/docs/x_2561665.pdf">http://www.buyusainfo=
.net/docs/x_2561665.pdf</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. firms, their Mexican agents,
distributors, and representatives interested in government procurement shou=
ld
become familiar with these laws and any potential revisions to the laws.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. firms may take advantage of
electronic means to participate in the bidding process.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. firms that want to learn more=
 about
tenders and bids can check the following electronic web page address, which
includes all information on current tenders, statistics, and complaints: <a
href=3D"http://www.compranet.gob.net/">http://www.compranet.gob.net</a>.</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>While maintaining a representative =
or
office in Mexico is not a prerequisite to obtaining government contracts, it
can simplify obtaining the information needed to prepare bid documents and
support after-sales service and parts supply.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. firms are encouraged to carefu=
lly
analyze with their representative the tender specifications.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>They may differ from entity to ent=
ity,
depending on the value of operation, type of goods or services, budget limi=
tations,
etc.<span style=3D'mso-spacerun:yes'>&nbsp; </span>A bid will be disqualifi=
ed if
not received within the specified period of time.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Bids can also be disqualified for =
not
meeting minute technical details.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Likewise, each tender includes a specific period of time for
participants to ask questions.<span style=3D'mso-spacerun:yes'>&nbsp; </spa=
n>By
paying attention to all details, the unnecessary disqualification of a firm=
 may
be avoided.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In some tenders, =
only
written questions are permitted.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Replies are given to all purchasers of the tender documents.</span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>If a tender specifies a certain bra=
nd or
gives preference to a supplier, a complaint can be filed with the General
Directorate of Complaints, before the contract is awarded.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Each bid should only consider the =
exact
specifications listed in the tender.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>&quot;Solutions&quot; and or specifications not listed will disquali=
fy
the bid.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Finally, U.S. firms should communic=
ate
regularly with their Mexican representative and fine-tune all details relat=
ed
to the required documents.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Th=
ere
have been numerous cases of disqualification based upon seemingly insignifi=
cant
failures on the part of bidders to comply with tender regulations and
procedures to the letter of the law.<span style=3D'color:red'><o:p></o:p></=
span></span></p>

<h2><a name=3Deleven></a><a name=3Ddistributionandsaleschannels></a><span l=
ang=3DEN>Distribution
and Sales Channels<span style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has an adequate transportati=
on
network that is being modernized.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The main land-border crossings with the U.S. are Nuevo Laredo, Ciudad
Juarez, Piedras Negras, Mexicali and Tijuana, which has the highest passeng=
er
traffic in the world.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Laredo/=
Nuevo
Laredo is by far the most popular land-border crossing for goods, with
approximately 40% of all U.S.-Mexican trade clearing customs at this
point.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Most Mexican companies,
regardless of their geographic proximity to Laredo/Nuevo Laredo, prefer hav=
ing
their goods shipped through this point because the customs agents and custo=
ms
brokers are the most experienced.<span style=3D'mso-spacerun:yes'>&nbsp; </=
span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The main maritime ports are Altamir=
a,
Tampico, Veracruz and Progreso in the Gulf of Mexico, and Ensenada, Lazaro
Cardenas, Manzanillo and Puerto Madero on the Pacific Coast.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>All these ports have infrastructur=
e and equipment
to facilitate intermodal, door-to-door merchandise transportation. </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is developing a modern highw=
ay
system, primarily comprised of expensive toll roads connecting the main
industrial areas located in the triangle Mexico
City-Guadalajara-Monterrey.<span style=3D'mso-spacerun:yes'>&nbsp; </span>O=
utside
this area, road transportation is fair-to-poor.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Transportation-logistic services a=
re
expensive in Mexico: it is estimated that over 8 percent of product cost in
Mexico is related to logistics, vis-&agrave;-vis 5 percent in more developed
countries.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>According to the Mexican Institute =
for Competitiveness,
in 2006, 75 percent of Mexican products were shipped by road, 17.5 percent =
by
railroad and 7.5 percent by maritime transportation.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>North-South NAFTA trade has triple=
d over
the past decade, straining the limit of Mexico&#8217;s old transportation
infrastructure.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexican
government is investing heavily in roads, ports and intermodal expansion to
make industry and exports more competitive.</span></p>

<h2><a name=3Dtwelve></a><a name=3Dsellingfactors></a><span lang=3DEN>Selli=
ng
Factors/Techniques<span style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>In addition to developing strong wo=
rking
relationships with Mexican partners, U.S. firms should use Spanish-language
materials and speak Spanish whenever possible while doing business in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Hiring local staff ca=
n help
facilitate these relationships and provide U.S. companies with insights on
selling to the Mexican market.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Mexicans tend to be extremely price conscious.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Often business deals are made durin=
g meals,
most often lunch.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Business lu=
nches
tend to be late in the afternoon and last several hours.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp; </span></span></p>

<h2><a name=3Dthirteen></a><a name=3Delectroniccommerce></a><span lang=3DEN=
>Electronic
Commerce<span style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>E-commerce between organizations and
companies, either business to business (B2B) or government to business (G2B=
),
has been developing much faster than e-commerce with consumers (B2C).<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This is mainly due to three main f=
actors:
1) PC and Internet penetration among households is very low, 2) individuals=
 are
more reluctant and hesitant to interact with machines, and 3) many individu=
als
still don&#8217;t have either a bank account or credit card with which to p=
ay
for online transactions. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Companies and the Mexican Governmen=
t are
investing heavily in their IT infrastructure to promote e-commerce between
clients, suppliers, government and individuals.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Given that this market will grow i=
n the
future, there are great opportunities for suppliers of specialized and
segmented solutions based on economic activity.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The biggest market is enterprise
solutions to help companies integrate and automate their communications</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more detailed information on e-=
commerce
in Mexico, please visit our Market Research Library at <a
href=3D"http://www.export.gov/mrktresearch">http://www.export.gov/mrktresea=
rch</a>
and search for &#8220;Electronic Commerce in Mexico&#8221;.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Following is a representative list =
of
companies and organizations active in e-commerce activities in Mexico:</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>EFICE=
NTRUM: <a
href=3D"http://www.eficentrum.com/">http://www.eficentrum.com</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>NEGOC=
IOS Y
APLICACIONES EN INTERNET: <a href=3D"http://www.i-negocios.com/">http://www=
.i-negocios.com</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>TERRA=
 NEGOCIOS:
<a href=3D"http://www.terranegocios.com.mx/">http://www.terranegocios.com.m=
x</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>COMPR=
ANET
&#8211; Government Contracting: <a href=3D"http://www.compranet.gob.mx/">ht=
tp://www.compranet.gob.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>TRAMI=
TANET
&#8211; Government Procurement: <a href=3D"http://www.tramitanet.gob.mx/">h=
ttp://www.tramitanet.gob.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>AMECE=
 &#8211;
Asociaci&oacute;n Mexicana de Comercio Electr&oacute;nico (Mexican Associat=
ion
of E-commerce): <a href=3D"http://www.amece.org.mx/">http://www.amece.org.m=
x/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>AMIPC=
I &#8211;
Asociacion Mexicana de Internet (Mexican Association of Internet): <a
href=3D"http://www.amipci.org.mx/">http://www.amipci.org.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>VISA:=
 <a
href=3D"http://www.visa.com/">www.visa.com</a></span></p>

<h2><a name=3Dproductsandservices></a><a name=3Dfourteen></a><a
name=3Dtradepromotion></a><span lang=3DEN>Trade Promotion and Advertising<s=
pan
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>CS Mexico provides on-line advertis=
ing for
U.S. and Mexican companies under the Business Service Provider (BSP) and
Featured U.S. Exporter (FUSE) programs.<span style=3D'mso-spacerun:yes'>&nb=
sp;
</span>For more information, please click:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CS Mexico BSP Directory: <a
href=3D"https://www.buyusa.gov/mexico/en/business_service_providers.html">h=
ttps://www.buyusa.gov/mexico/en/business_service_providers.html</a></span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CS Mexico FUSE Directory: <a
href=3D"https://www.buyusa.gov/mexico/es/oportunidades_negocios.html">https=
://www.buyusa.gov/mexico/es/oportunidades_negocios.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico offers a wide variety of tra=
de fairs
spanning many sectors and industries.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>To access a list of trade events that CS Mexico is supporting, please
see Chapter 9.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The following
companies organize trade shows in Mexico:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>AMFAR=
:<span
style=3D'mso-spacerun:yes'>&nbsp; </span><a href=3D"http://www.amfar.com.mx=
/">http://www.amfar.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Asoci=
aci&oacute;n
Nacional de Productos Naturales A.C.: <a href=3D"http://www.anipron.org.mx/=
">http://www.anipron.org.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Centr=
o Banamex:
<a href=3D"http://www.centrobanamex.com/">www.centrobanamex.com</a></span><=
/p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Centr=
o Impulsor
de la Construcci&oacute;n y la Habitaci&oacute;n A.C.: <a
href=3D"http://www.cihac.com.mx/">http://www.cihac.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Unive=
rsitarea,
C&iacute;rculo de Profesiones S.A. de C.V.: <a
href=3D"http://www.universitarea.com.mx/">http://www.universitarea.com.mx</=
a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>EJ Kr=
ause de
M&eacute;xico S.A. de C.V.: <a href=3D"http://www.ejkrause.com.mx/">http://=
www.ejkrause.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Expo
Convenciones: <a href=3D"http://www.expoconvenciones.com/">http://www.expoc=
onvenciones.com</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Expo
M&eacute;xico, S. A. de C. V.: <a href=3D"http://www.expomexicosadecv.com.m=
x/">http://www.expomexicosadecv.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Expop=
ubl&iacute;citas:<span
style=3D'mso-spacerun:yes'>&nbsp; </span><a href=3D"http://www.expopublicit=
as.com/">http://www.expopublicitas.com</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Gavsa
Exposiciones: <a href=3D"http://www.gavsa.com/">http://www.gavsa.com</a></s=
pan></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Grupo=
 Salpro,
S.A. de C.V.: <a href=3D"http://www.mexicandesign.com/">http://www.mexicand=
esign.com</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Remex=
: <a
href=3D"http://www.remexexpos.com.mx/">http://www.remexexpos.com.mx</a></sp=
an></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Tradex
Exposiciones Internacionales: <a href=3D"http://www.tradex.com.mx/">http://=
www.tradex.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>World=
 Trade
Center: <a href=3D"http://www.exposwtc.com/">www.exposwtc.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>According to data provided by the N=
ational
Chamber of the Publishing Industry, more than 420 newspapers and 1600 magaz=
ines
are published in Mexico. Many magazines are industry-specific. CS Mexico has
extensive media lists available for U.S. companies.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Given the size of the country and =
the
diverse nature of the media in the various regions in Mexico, the list of m=
edia
is too lengthy to mention here.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Advertising in Mexican print media is usually more expensive than in=
 the
United States. Advertising rates are generally commensurate to those of lar=
ge
international cities.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Advertising on billboards is also c=
ommon in
Mexico. There are more than 100 billboard companies in Mexico offering vari=
ous
kinds of billboards, ranging from plain paper billboards to electronically
controlled billboards. According to data provided by Medios Publicitarios
Mexicanos, there are over 130 advertising agencies, 40 market research
companies, 8 direct mailing companies, 20 sales promotion agencies and 8 di=
rect
marketing agencies.</span></p>

<h2><a name=3Dpricing></a><span lang=3DEN>Pricing<span style=3D'mso-tab-cou=
nt:8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. exporters should look carefull=
y at
import duties for agricultural products (taking into account the NAFTA
progressive tariff reductions), brokers&#8217; fees, transportation costs, =
and
taxes to determine if the product/service can be priced competitively.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. companies shipping goods not =
made
in the United States will be subject to the appropriate duties and tariffs.=
 </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The import duty, if applicable, is
calculated on the U.S. plant value (f.o.b. price) of the product, plus the
inland U.S. freight charges to the border and any other costs listed separa=
tely
on the invoice and paid by the importer.<span style=3D'mso-spacerun:yes'>&n=
bsp;
</span>These can include charges such as export packaging, inland freight c=
ost,
and insurance.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Value Added Tax (IVA)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Customs collects a value-ad=
ded tax
or IVA from the importer, on foreign transactions, upon entry of the
merchandise into Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This=
 IVA
is assessed on the cumulative value consisting of the U.S. plant value (f.o=
.b.
price) of the product(s), plus the inland U.S. freight charges, any other c=
osts
listed separately on the invoice such as export packing, insurance, plus the
duty, if applicable.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The IVA is 10 percent for products =
exported
to the &#8220;border zone,&#8221; defined as 20 km from the U.S.-Mexico
border.<span style=3D'mso-spacerun:yes'>&nbsp; </span>For final shipping po=
ints,
other than the border zone, a 15 percent IVA is charged.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The importer will pay other IVA fe=
es for
such services as inland Mexico freight, warehousing, and custom brokerage f=
ees,
if applicable.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The IVA typica=
lly is
recovered at the point of sale when the product is sold.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Sales of real property (real estat=
e)
within the border zone are taxed at the 15 percent IVA rate.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Estimated minimum prices</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>To avoid dumping practices, the Mex=
ican
authorities have set minimum prices for a wide range of imported products,
including textiles, clothing, leather products, shoes, some metals, station=
ary
products, tools, some glass products, bicycles, children&#8217;s accessorie=
s,
and others.<span style=3D'mso-spacerun:yes'>&nbsp; </span>These minimum pri=
ces
will be taken as the base for calculating any duty or taxes, if applicable,=
 for
all products imported under certain Harmonized System Codes.</span></p>

<h2><a name=3Dsalesservice></a><span lang=3DEN>Sales Service/Customer Suppo=
rt<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Service and price are extremely imp=
ortant
to Mexican buyers.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In many
industries, the decision to select a supplier depends on the demonstrated
commitment to service after the sale has been made.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This has been the most effective t=
ool
that third country manufacturers, mostly Japanese, have used to penetrate t=
he
market.<span style=3D'mso-spacerun:yes'>&nbsp; </span>They offer to have th=
eir
maintenance personnel at the clients' plant in no more than 48 hours after a
service call is made.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican customers are demanding uni=
form
quality control, compliance with international standards, productivity, low=
er
production costs, just-in-time deliveries and above all, reliable local ser=
vice
and maintenance programs.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Thi=
s last
factor has become, in many instances, even more important than pricing or
financing.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Many Mexican firms
employ English-speaking staff, but it is a good idea for the U.S. company to
employ Spanish-speaking sales representatives.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Providing appropriate training, pr=
oduct
support, and timely supply of spare parts is critical for success.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The U.S. exporter should also sche=
dule
annual visits of Mexican personnel to the U.S. companies for training.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>All Mexicans traveling to the Unit=
ed
States for training or other business purposes need a visa &#8211; more
information on the visa process is provided in Chapter 8.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Another factor to consider is fina=
ncing,
as the commercial and industrial sectors&#8217; resources are limited due to
high interest rates.<span style=3D'mso-spacerun:yes'>&nbsp; </span>More
information on financing options can be found in Chapter 7.</span></p>

<h2><a name=3Dprotectingip></a><span lang=3DEN>Protecting Your Intellectual
Property<span style=3D'mso-tab-count:4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <=
/span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Two different laws provide the core=
 legal
basis for protection of intellectual property rights (IPR) in Mexico -- the
Industrial Property Law (Ley de Propiedad Industrial) and the Federal Copyr=
ight
Law (Ley Federal del Derecho de Autor).<span style=3D'mso-spacerun:yes'>&nb=
sp;
</span>Multiple federal agencies are responsible for various aspects of IPR
protection in Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Off=
ice of
the Attorney General (Procuradur&iacute;a General de la Republica, or PGR) =
has
a specialized unit that pursues criminal IPR investigations.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexican Institute of Industrial
Property (Instituto Mexicano de la Propiedad Industrial, or IMPI) administe=
rs
Mexico&#8217;s trademark and patent registries and is responsible for handl=
ing
administrative cases of IPR infringement.<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span>The National Institute of Author Rights (Instituto Nacional del Dere=
cho
de Autor) administers Mexico&#8217;s copyright register and also provides l=
egal
advice and mediation services to copyright owners who believe their rights =
have
been infringed.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico Customs
Service (Aduana M&eacute;xico) plays a key role in ensuring that illegal go=
ods
do not cross Mexico&#8217;s borders.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Despite strengthened enforcement ef=
forts by
Mexico's federal authorities over the past several years, weak penalties and
other obstacles to effective IPR protection have failed to deter the rampant
piracy and counterfeiting found throughout the country.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The U.S. Government continues to w=
ork
with its Mexican counterparts to improve the business climate for owners of
intellectual property.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Please refer to the Embassy&#8217;s=
 IPR
Toolkit for more information: <a
href=3D"http://mexico.usembassy.gov/mexico/IPR.html">http://mexico.usembass=
y.gov/mexico/IPR.html</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is a signatory of at least f=
ifteen
international treaties, including the Paris Convention for the Protection of
Industrial Property, the NAFTA, and the WTO Agreement on Trade-related Aspe=
cts
of Intellectual Property Rights.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Though Mexico signed the Patent Cooperation Treaty in Geneva,
Switzerland in 1994, which allows for simplified patent registration proced=
ure
when applying for patents in more than one country at the same time, it is
necessary to register any patent or trademark in Mexico in order to claim an
exclusive right to any given product.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>A prior registration in the United States does not guarantee its exc=
lusivity
and proper use in Mexico, but serves merely as support for the authenticity=
 of
any claim you might make, should you take legal action in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>An English-language overview of Mex=
ico's
IPR regime can be found on the WIPO website at: <a
href=3D"http://www.wipo.int/about-ip/en/ipworldwide/pdf/mx.pdf">http://www.=
wipo.int/about-ip/en/ipworldwide/pdf/mx.pdf</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Although a firm or individual may a=
pply
directly, most foreign firms hire local law firms specializing in intellect=
ual
property.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The U.S. Embassy&#8=
217;s
Commercial Section maintains a list of such law firms in Mexico at: <a
href=3D"http://www.buyusa.gov/mexico/en/business_service_providers.html">ht=
tp://www.buyusa.gov/mexico/en/business_service_providers.html</a>.</span></=
p>

<h2><a name=3Dduediligence></a><span lang=3DEN>Due Diligence<span style=3D'=
mso-tab-count:
7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. firms must keep in mind that i=
t is
recommended to do due diligence on a Mexican firm or individual before ente=
ring
in any type of agreement.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In
Mexico&#8217;s larger cities, it is possible to find a local consulting or =
law
firm that can find information on a firm or individual.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Also, local chambers and associati=
ons
can assist U.S. firms in locating economic reports on a particular firm.</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There are only a few private firms =
that do
due diligence all over the country.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>U.S. firms should know that the U.S. Commercial Service has a service
called International Company Profile (ICP) that can be ordered from our off=
ices
in Tijuana, Monterrey, Guadalajara, and Mexico City.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The ICP is a report in English that
includes financial and commercial information on a Mexican firm or an indiv=
idual.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The service can also be ordered an=
d paid
for in any of the more than 100 U.S. Commercial Service Export Assistance
Centers located in major cities of the United States.</span></p>

<h2><a name=3Dlocalprofessionalservices></a><span lang=3DEN>Local Professio=
nal
Services<span style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>CS Mexico has a wide variety of
professional services lists that can be provided to U.S. companies free of
charge.<span style=3D'mso-spacerun:yes'>&nbsp; </span>If company-specific
information is needed or detailed research would be required to provide a l=
ist
of service providers, a fee would apply.</span></p>

<p class=3DMsoNormal></p>

<p class=3DMsoNormal><span lang=3DEN-US>Additionally, the following associa=
tions
could be helpful for U.S. firms seeking more information on professional
services: </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican Association of Accounti=
ng
Firms: <a href=3D"http://www.amcp.org.mx/">http://www.amcp.org.mx</a></span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican Association of Electric=
al and
Electronic Communications Engineers: <a href=3D"http://www.amicee.org.mx/">=
http://www.amicee.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican Association of
Information-Technology Industries: <a href=3D"http://www.amiti.org.mx/">htt=
p://www.amiti.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican Association of Insurance
Institutions: <a href=3D"http://www.amis.com.mx/">http://www.amis.com.mx</a=
></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican Bankers&#8217; Associat=
ion: <a
href=3D"http://www.abm.com.mx/">http://www.abm.com.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican College of Architects: =
<a
href=3D"http://www.camsam.org/">http://www.camsam.org</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The National Auto-Freight-Transport
Chamber: <a href=3D"http://www.canacar.com.mx/">http://www.canacar.com.mx</=
a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The National Chamber of Consulting
Companies: <a href=3D"http://www.cnec.org.mx/">http://www.cnec.org.mx</a></=
span></p>

<h2><a name=3Dmarketingtomanufacturers><span lang=3DEN>Marketing to Manufac=
turers
Initiative</span></a><span lang=3DEN><span style=3D'mso-tab-count:4'>&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is, for many companies, a na=
tural
extension of their sales program in the U.S. Thanks to the North American F=
ree
Trade Agreement (NAFTA), U.S. exporters often enjoy competitive advantages =
in
exporting to Mexico. The proximity of Mexico can mean that U.S. exporters h=
ave
significantly lower logistics costs, especially for larger items, than their
Asian and European competitors.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Since the signing of NAFTA in 1993,=
 Mexico
has continued to expand its manufacturing base considerably. Bilateral trade
between the U.S. and Mexico has grown over 200% in the last 12 years.
Manufacturers continue to be drawn to Mexico, particularly to the northern
region, as a result of its proximity to the consumer markets of the U.S. and
Canada coupled with its lower pay scale. As a result, foreign direct invest=
ment
has continued to flow into Mexico at the rate of an additional $18 billion =
per
year &#8211; most of it directed at manufacturing.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>To contact us about opportunities to
increase your exports to Mexico&#8217;s manufacturing sector, please visit =
our
Marketing to Manufacturers website at: <a
href=3D"http://www.buyusa.gov/mexico/en/145.html">http://www.buyusa.gov/mex=
ico/en/145.html</a>
or contact Daniel Crocker, Principal Commercial Officer in Monterrey at: <a
href=3D"mailto:Daniel.Crocker@mail.doc.gov">Daniel.Crocker@mail.doc.gov</a>=
.</span></p>

<h2><a name=3Dwebresources></a><span lang=3DEN>Web Resources<span style=3D'=
mso-tab-count:
7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch3">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Chamber of Commerce, Amcham: <a
href=3D"http://amcham.com.mx/">http://amcham.com.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Confederation of the Industry for M=
arketing
Communication: <a href=3D"http://www.cicom.org.mx/">http://www.cicom.org.mx=
/</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Government Procurement port=
al: <a
href=3D"http://www.compranet.gob.net/">http://www.compranet.gob.net</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican Institute of Industrial
Property: <a href=3D"http://www.impi.gob.mx/">http://www.impi.gob.mx</a></s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Department of Commerce IPR Por=
tal: <a
href=3D"http://www.stopfakes.gov/">http://www.stopfakes.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The World Intellectual Property
Organization: <a href=3D"http://www.wipo.int/">http://www.wipo.int</a></spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy Mexico IPR Toolkit: <a
href=3D"http://mexico.usembassy.gov/mexico/IPR.html">http://mexico.usembass=
y.gov/mexico/IPR.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CS Mexico Marketing to Manufacturer=
s: <a
href=3D"http://www.buyusa.gov/mexico/en/145.html">http://www.buyusa.gov/mex=
ico/en/145.html</a>
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Maquila Information Center:=
 <a
href=3D"http://www.maquilaportal.com/">http://www.maquilaportal.com</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>America&#8217;s Data Systems Global=
: <a
href=3D"http://www.maquilamarket.com/">http://www.maquilamarket.com</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Industrial Directories: <a
href=3D"http://www.solunet-infomex.com/">http://www.solunet-infomex.com</a>=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico&#8217;s Industrial Magazine:=
 <a
href=3D"http://www.twin-plant-news.com/">http://www.twin-plant-news.com</a>=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Maqguide.com Business Directories: =
<a
href=3D"http://www.maqguide.com/">http://www.maqguide.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><a href=3D=
"#toc"><span
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'>Return to table of contents</span><=
/a></span></p>

</div>

<b><span lang=3DEN-US style=3D'font-size:16.0pt;mso-bidi-font-size:24.0pt;
font-family:"Arial Unicode MS","sans-serif";mso-font-kerning:18.0pt;mso-ans=
i-language:
EN-US;mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:auto;mso-break-type:section-break'>
</span></b>

<div class=3DSection6>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><o:p>&nbsp=
;</o:p></span></p>

</div>

<b><span lang=3DEN-US style=3D'font-size:16.0pt;mso-bidi-font-size:24.0pt;
font-family:"Arial Unicode MS","sans-serif";mso-font-kerning:18.0pt;mso-ans=
i-language:
EN-US;mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:auto;mso-break-type:section-break'>
</span></b>

<div class=3DSection7><span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi=
-font-size:
12.0pt;font-family:"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:always'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch4></a><span lang=
=3DEN-US
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'><a href=3D"#toc">Return to table of
contents</a><o:p></o:p></span></p>

<h1><span lang=3DEN-US>Chapter 4: Leading Sectors for U.S. Export and Inves=
tment </span></h1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l25 level1 lfo10;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US><a href=3D"#agsectors">Agricultural Sector</a></span></li>
</ul>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'text-indent:18.0pt'><b><span lang=3DEN-US>Com=
mercial
Sectors<o:p></o:p></span></b></p>

<p class=3DMsoNormal style=3D'text-indent:18.0pt'><b><span lang=3DEN-US><o:=
p>&nbsp;</o:p></span></b></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadinsector1">Airport &amp; Ground Support E=
quipment</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector2">Automotive Parts &amp; Suppli=
es</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsectors3">Education &amp; Training Ser=
vices</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadinsector4">Electronic Components</a></spa=
n></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsectors5">Energy Sector</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector6">Environmental Sector</a></spa=
n></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector7">Franchising Sector</a></span>=
</li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector8">Hotel &amp; Restaurant Equipm=
ent</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector9">Housing &amp; Construction</a=
></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector10">Plastic Materials/Resins</a>=
</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector11">Security &amp; Safety Equipm=
ent
     &amp; Services</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector12">Telecommunications Equipment=
</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector13">Transportation Infrastructure
     Equipment &amp; Services</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l23 level1 lfo8;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#leadingsector14">Travel &amp; Tourism Service=
s</a></span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadinsector1></a><span lang=3DEN>Airport &amp; Ground Support
Equipment</span></h2>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Doverview></a><span lang=3DEN-US>Overview<span style=3D'mso-ta=
b-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has the most developed airpo=
rt
infrastructure in Latin America.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Every city of more than 50,000 inhabitants benefits from airport
services.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexico City air=
port
is the largest in Latin America in terms of number of passengers and
operations.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 1998, the Mexican government sta=
rted a
process to privatize the operation of the national airport system though
concessions granted through a public bid process.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Airports to be privatized were gro=
uped
into three groups by geographical regions: Pacific region, North region and
South region.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Some airports
continued to be operated by federal or state agencies.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>As a result, three private groups =
now
operate 44 airports in Mexico and 22 airports are operated by government
agencies.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Of these airports, =
40 are
international and 26 operate only domestic flights.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions)<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN-US>AIRPORT AND GROUND SUPPORT EQUIPMENT</span><span lang=3DEN-US
style=3D'font-size:10.0pt;mso-bidi-font-size:12.0pt'><o:p></o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2003</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005+</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>9,617</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>11,457</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12,488</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,290</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,496</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,498</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,226</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,261</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,625</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>9,553</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>11,582</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12,624</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Imports from the U.S.</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>8,597</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>10,423</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>10,944</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(Exchange rate: 1 USD =3D 10.70 pesos)<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Sources:<span style=3D'mso-spacerun:yes'>&nbsp; </span><span
style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><o:p></o:p></span></p>

<ol style=3D'margin-top:0cm' start=3D1 type=3D1>
 <li class=3DMsoNormal style=3D'mso-list:l1 level1 lfo18;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-font-size:12.0pt'>Comm=
unications
     and Transportations Secretariat (SCT) Statistics annual report <o:p></=
o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l1 level1 lfo18;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-font-size:12.0pt'>SCT&=
#8217; s
     North American Transportation Statistics<o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l1 level1 lfo18;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-font-size:12.0pt'>Aero=
puertos
     y Servicios Auxiliares (ASA) Statistics <o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l1 level1 lfo18;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-font-size:12.0pt'>Nati=
onal
     Institute of Geographical and Statistic Data (INEGI)<o:p></o:p></span>=
</li>
 <li class=3DMsoNormal style=3D'mso-list:l1 level1 lfo18;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-font-size:12.0pt'>Worl=
d Trade
     Atlas (BANCOMEXT)<o:p></o:p></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l1 level1 lfo18;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-font-size:12.0pt'>Secr=
etary of
     Economy<o:p></o:p></span></li>
</ol>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Note: These are 2005 figures, as updated information could not be
obtained.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestprospects></a><span lang=3DEN-US>Domestic Production and =
Best
Prospects<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has also developed an aerosp=
ace
industry and important international corporations have established plants i=
n 13
Mexican states.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Some companies
manufacturing or assembling in Mexico are Honeywell Aerospace, Lockheed Mar=
tin.
Volare Engineering, Bombardier, Tyco Electronics, Horizon Sport Technologie=
s,
General Dynamics, Teleflex Aerospace, General Electric, and GKN Aerospace.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span>Aerospace industry groups have ann=
ounced
investments totaling about USD 379 million in the next few years.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican airport network will of=
fer huge
opportunities for suppliers of all kind of equipment and services for airpo=
rt
planning, building, operating and aviation control.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>American firms should take more
advantage of NAFTA conditions and become more aggressive in this sector.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>The U.S. Commercial Service in Mex=
ico
can provide information on new projects and support introduction of products
into this market.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In the nineties, the number of pass=
engers
doubled and transported freight tripled, hence provoking a chronic saturati=
on
of Mexican airports. Facing this rapid increase, the government has decided=
 to
restructure the airport network. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The strategy is focused on developi=
ng a
Metropolitan System of Airports to decentralize the operations of the Mexico
City airport, using four peripheral airports: Toluca, Puebla, Cuernavaca and
Quer&eacute;taro. Other airports will also receive investment to increase
capacity and improve cargo and passenger services. At the same time, most
Mexican airlines have programs to renovate or increase their fleets.</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some important announced investments
include:</span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l26 level1 lfo19;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>The Federal Government will invest USD 227 million in 200=
7 to
     continue with the expansion of the Mexico City airport.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l26 level1 lfo19;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Grupo Aeroportuario del Pacifico will invest USD 110 mill=
ion to
     increase infrastructure in the 12 airports operated by the group,
     including doubling capacity of the facilities in Los Cabos and Puerto
     Vallarta.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l26 level1 lfo19;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Puebla airport will continue expanding passenger faciliti=
es and
     will start the construction of cargo facilities.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l26 level1 lfo19;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>The airports in Guadalajara and Monterrey will be expande=
d to
     include cargo hubs connecting with other domestic and international
     airports.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l26 level1 lfo19;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>A cargo terminal will be built at the Aguascalientes airp=
ort at
     an estimated cost of USD 2 billion.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l26 level1 lfo19;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Toluca airport will expand facilities for corporate/priva=
te
     aviation and for Express Delivery Services (EDS).</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l26 level1 lfo19;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>The EDS firm Estafeta will purchase four new aircraft to
     increase its fleet.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l26 level1 lfo19;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Aeromexico will invest USD 600 million to renovate its fl=
eet,
     bringing their fleet up to 66 aircraft by the end of 2011.</span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources></a><span lang=3DEN-US>Resources<span style=3D'mso-=
tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
tariat of
Communications and Transport: <a href=3D"http://www.sct.gob.mx/">www.sct.go=
b.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Aerop=
uertos y
Servicios Auxiliares: <a href=3D"http://www.asa.gob.mx/">www.asa.gob.mx</a>=
</span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Grupo
Aeroportuario del Pac&iacute;fico: <a href=3D"http://www.aeropuertosgap.com=
.mx/">www.aeropuertosgap.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Grupo
Aeroportuario del Centro Norte: <a href=3D"http://www.oma.aero/">www.oma.ae=
ro</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Aerop=
uertos del
Sureste: <a href=3D"http://www.asur.com.mx/">www.asur.com.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the airport=
 and
aviation sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Alicia Herrera, Senior Commercial
Specialist</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2629</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:alicia.herrera@mail.doc.gov">alicia.herrera@mail.doc.gov</a>=
</span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector2></a><span lang=3DEN>Automotive Parts &amp; Sup=
plies</span></h2>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Doverview2></a><span lang=3DEN-US>Overview<span style=3D'mso-t=
ab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Billions)</span><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp; </span>AUTO PARTS PRODUCTION FOR OEM AND
AFTERMARKET</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 estimate</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US
  style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times =
New Roman";
  mso-bidi-font-family:"Times New Roman"'>22.6<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>24.1</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>26.2</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>15.1</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>16.1</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>17.5</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12.6</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>13.4</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>14.5</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>20.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>21.3</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>23.1</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoBodyText><span lang=3DEN-US>Source: U.S Dept. of Commerce Bur=
eau of
the Census and information obtained with interviews from industry sources,
including importers, wholesalers, and retail auto-parts shops.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico&#8217;s auto part industry is
closely related to the U.S. industry.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>There are approximately one thousand auto parts manufacturers in Mex=
ico
and about 70% of them are subsidiaries of foreign corporations, mainly from=
 the
United States.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>TOTAL NUMBER OF VEHICLES &#8211;
AUTOMOBILES AND TRUCKS</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2004<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2005<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2006 estimate<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  units produced<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,568,430<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,670,378<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,778,953<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  units sold in country<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,121,068<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,193,937<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,271,543<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  units imported<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>682,316<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>726,667<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>776,080<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  units exported<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,195,147<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,132,504<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,206,117<o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoBodyText><span lang=3DEN-US>Source: KASO &amp; Asociados, Aut=
omotive
Consulting Group and Sec de la Economia.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fifty eight percent of the automobi=
les sold
in Mexico are imported, of which 75% come from the United States.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>During 2000, automotive production
reached a record high of 1,889,486 units, by 2004, that amount was reduced =
to
1,568,430 vehicles.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexic=
an
Association of the Automotive Industry (AMIA) stated that exports were over
1,434,110 units in 2000 and of only 1,132,504 in 2004, however, due to a
tremendous growth of the industry during 2005 and 2006, exports will reach a
figure of over 1,750,000 during 2006.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. exports of parts, equipment an=
d first
and second tier components have experienced an increase in exports due to
increased Mexican production of new models that have shifted from U.S. asse=
mbly
plants.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestprospects2></a><span lang=3DEN-US>Best Prospects/Services=
<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The greatest opportunities for auto=
motive
aftermarket parts include: collision repair parts, catalytic converters,
steering wheels and sound systems and generally all types of accessories.</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In the first and second tier supply=
 chain
sector, the best export opportunities for U.S. firms are basically OEM parts
and components, as well as materials, pre-assembly components such as small=
 and
progressive stampings, electronic components, equipment and specialized
tooling.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities2></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. parts, component and equipment
manufacturers will see increased export sales to assembly plants being
relocated to Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>A larger
number of used vehicles were recently authorized to be imported.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This will provide ample opportunit=
ies
for exports of repair equipment and parts.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources2></a><span lang=3DEN-US>Resources<span style=3D'mso=
-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>State=
 of
Jalisco Autoparts Distributors Association: <a href=3D"http://www.rujac.com=
/">http://www.rujac.com</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>The N=
ational
Association of the Manufacturers of Buses, Trucks and Tractor Trailers: <a
href=3D"http://www.expotransporteanpact.com.mx/">http://www.expotransportea=
npact.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Autoparts Industry Association: <a href=3D"http://www.ina.com.mx/">http://w=
ww.ina.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an
Association of Automobile Distributors: <a href=3D"http://www.amda.org.mx/"=
>http://www.amda.org.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an
Association of Automotive Industries: <a href=3D"http://www.amia.com.mx/">h=
ttp://www.amia.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Association of Bus and Cargo Trucks Producers: <a
href=3D"http://www.anpact.com.mx/">http://www.anpact.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Chamber of Cargo Transports: <a href=3D"http://www.canacar.com.mx/">http://=
www.canacar.com.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the automot=
ive
parts and supplies sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Ernesto De Keratry, Senior Commerci=
al
Specialist</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Consu=
late
General, Monterrey</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-81) 8343-4450</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-81) 8343-4440</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:Ernesto.dekeratry@mail.doc.gov">Ernesto.dekeratry@mail.doc.g=
ov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Monica Martinez, Trade Specialist</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2628</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:Monica.martinez@mail.doc.gov">Monica.martinez@mail.doc.gov</=
a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsectors3></a><span lang=3DEN>Education &amp; Training =
Services</span></h2>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Doverview3></a><span lang=3DEN-US>Overview<span style=3D'mso-t=
ab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico remains the seventh-leading =
place of
origin for students coming to the United States, and is one of only four
non-Asian countries among the top ten. Enrollment has steadily increased si=
nce
the mid-90s (except for a slight decline last year). </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In the academic year 2005/06, there=
 were
13,931 students from Mexico studying in the United States (up 6.6% from the
previous year).<span style=3D'mso-spacerun:yes'>&nbsp; </span>The majority =
of
Mexican students study at the undergraduate level (58.9%) with 29.8% in
graduate studies and 11.2% at community colleges &amp; in ESL programs.</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0 wi=
dth=3D595
 style=3D'width:446.4pt;border-collapse:collapse;border:none;mso-border-alt=
:solid windowtext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D115 valign=3Dtop style=3D'width:86.4pt;border:solid windowtex=
t 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial;mso-bidi-font-weight:bold'>Year<o:p><=
/o:p></span></p>
  </td>
  <td width=3D192 valign=3Dtop style=3D'width:144.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial;mso-bidi-font-weight:bold'># of Stude=
nts
  from Mexico<o:p></o:p></span></p>
  </td>
  <td width=3D288 valign=3Dtop style=3D'width:216.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial;mso-bidi-font-weight:bold'>% of Mexic=
an
  Students as compared to Total Foreign Students in US<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D115 valign=3Dtop style=3D'width:86.4pt;border:solid windowtex=
t 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2005/06<o:p></o:p></span></p>
  </td>
  <td width=3D192 valign=3Dtop style=3D'width:144.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>13,931<o:p></o:p></span></p>
  </td>
  <td width=3D288 valign=3Dtop style=3D'width:216.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2.5%<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D115 valign=3Dtop style=3D'width:86.4pt;border:solid windowtex=
t 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2004/05<o:p></o:p></span></p>
  </td>
  <td width=3D192 valign=3Dtop style=3D'width:144.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>13,063<o:p></o:p></span></p>
  </td>
  <td width=3D288 valign=3Dtop style=3D'width:216.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2.3%<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D115 valign=3Dtop style=3D'width:86.4pt;border:solid windowtex=
t 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2003/04<o:p></o:p></span></p>
  </td>
  <td width=3D192 valign=3Dtop style=3D'width:144.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>13, 329<o:p></o:p></span></p>
  </td>
  <td width=3D288 valign=3Dtop style=3D'width:216.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2.3%<o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt;mso-bidi-font-family:Arial'>*Source: Open Doors 2006, Educational Se=
ctor
Publication<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There is a growing demand for Engli=
sh
language competency within Mexican higher education. In order to increase t=
he
knowledge of a second language in this competitive market, several Mexican
private universities use the TOEFL Institutional exam as a requirement for
students in all fields of study. It is estimated that between 4-6% of Mexic=
an
ESL students travel abroad for intensive English programs to prepare for the
TOEFL.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The vast majority of private school=
s in
Mexico, from elementary school to college level, teaches and requires Engli=
sh
as part of their curriculum. The Mexican government has introduced ESL basic
programs in some public high schools and will gradually launch those progra=
ms
at middle and elementary schools. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The need for strong international p=
rograms
in higher education has become a need among Mexican universities as busines=
ses
in the 21st century are being conducted in a global environment. Private and
public universities in Mexico are looking to develop more relationships with
international universities to offer exchange programs and dual degree progr=
ams.
Mexican universities are seeking new ways to provide diverse, multicultural,
and international educational experiences for their students.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h5><span lang=3DEN-US>Training services:</span></h5>

<p class=3DMsoNormal><span lang=3DEN-US>As a result of the competition in t=
he
global market, forward-looking companies and institutions are developing and
promoting a new working culture that increases personal and professional
development opportunities for their employees. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Public schools have been working wi=
th the
private sector and local/federal governments in order to improve their prog=
rams
by focusing on preparing students for an international business
environment.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Also, large comp=
anies
have partnered with private and public universities to enhance their employ=
ees'
academic levels, particularly in the area of graduate education.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Training companies wishing to take
advantage of this trend have to be flexible and sensitive to the needs of t=
he
Mexican market. The demand is for tailor-made programs conducted in Spanish=
.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestprospects3></a><span lang=3DEN-US>Best Prospects/Services=
<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>English as a Second Language Progra=
ms for
students and corporate training programs in management, leadership and
executive-level language proficiency.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Dual-degree programs in internation=
al
business, management, finance, etc.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>(undergraduate and graduate level).</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities3></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Potential opportunities for U.S. sc=
hools
and universities include: recruiting Mexican students to study in the U.S.,
agreements with local schools/universities to offer joint programs, dual
certification and exchange programs for students and training programs in
technical and executive areas as well as human development.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources3></a><span lang=3DEN-US>Resources <span style=3D'ms=
o-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
 </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Educa=
tion USA
&#8211; Mexico: <a href=3D"http://www.usembassy-mexico.gov/educationusa">ht=
tp://www.usembassy-mexico.gov/educationusa</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
tar&iacute;a
de Educaci&oacute;n P&uacute;blica: <a href=3D"http://www.sep.gob.mx/">http=
://www.sep.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Asoci=
aci&oacute;n
Nacional de Universidades y Escuelas de Educaci&oacute;n Superior: <a
href=3D"http://www.anuies.mx/">http://www.anuies.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Conse=
jo
Nacional de Ciencia y Tecnolog&iacute;a: <a href=3D"http://www.conacyt.mx/"=
>http://www.conacyt.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Insti=
tute of
International Education: <a href=3D"http://www.iie.org/">http://www.iie.org=
</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the educati=
on and
training services sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Martha Sanchez, Commercial Assistan=
t</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2621</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"mailto:Martha.sanchez@ma=
il.doc.gov">Martha.sanchez@mail.doc.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadinsector4></a><span lang=3DEN>Electronic Components</span=
></h2>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Doverview4></a><span lang=3DEN-US>Overview<span style=3D'mso-t=
ab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lang=
=3DEN-US
style=3D'mso-bidi-font-family:Arial'>(US$ Millions)<o:p></o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0 wi=
dth=3D607
 style=3D'width:455.4pt;border-collapse:collapse;border:none;mso-border-alt=
:solid windowtext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2003<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2004 <o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2005<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2006
  (estimated)<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Market Size<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>25,581<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>30,198<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>34,211<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>40,100<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Local Production<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>1,110<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>1,200<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>1,100<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>1,100<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Imports<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>24,471<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>28,998<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>33,111<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>39,000<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Imports
  from the U.S.<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>21,229<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>20,188<o:p></o:p></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:63.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>18,244<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>20,068<o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoBodyText><span lang=3DEN-US>Source: Secretary of Economy (Wor=
ld Trade
Atlas) and Electronic and Telecommunications Industry Chamber (CANIETI). Lo=
cal
production is estimated based on Secretary of Economy and CANIETI figures.<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico&#8217;s electronic industry
continues to evolve, due in part by NAFTA and the growing competition from
Asian countries.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In addition,=
 the
growth of electronic components has lately been driven by a switch to new
product lines including in the aerospace, automotive, network equipment, ga=
me
consoles, printers, high capacity servers, storage media, and consumer
electronics industries, which continue to be the largest user of electronic
components.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Consumer electron=
ics is
the second most important export manufacturing industry in Mexico, and acco=
rding
to the Chamber of Electronics, in 2005 contributed approximately 4.5 percen=
t to
Mexico&#8217;s manufacturing GDP. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2005, about 38 percent of all el=
ectronic
components imported to Mexico were from the United States, representing a 9=
.63
percent decrease from the previous year.<span style=3D'mso-spacerun:yes'>&n=
bsp;
</span>Nevertheless, China had an increase of 31 percent, while Japan and K=
orea
had increases of 26 percent and 29 percent respectively.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There are competitive advantages for
Mexican electronic firms to import components from U.S. suppliers under NAF=
TA,
including short lead times in transportation, virtually 100 percent duty-fr=
ee
electronic components, and streamlined customs procedures. In addition, NAF=
TA
has led to increased foreign direct investment, and many of the original
equipment manufacturers are U.S. investment operations that utilize U.S.
components in their designs. U.S. market share has declined, however, due to
the Mexican Government&#8217;s PROSEC program, which established MFN tariff=
s of
zero or 5 percent for many categories of industrial inputs, thereby eroding=
 the
value of NAFTA duty-free entry for U.S. suppliers. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In recent years, Mexico&#8217;s exp=
orts of
electronic products have considerably increased and returned to 2001
levels.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In 2005, electronics
exports reached US$ 51.7 billion, almost a 10 percent increase from 2004.<s=
pan
style=3D'mso-spacerun:yes'>&nbsp; </span>The main manufacturing sub-sectors
continued to be information technologies (33%) and audio and video (30%).<s=
pan
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. exports of electronic compone=
nts
are directly linked to Mexico&#8217;s success in exporting finished
manufactured electronic products.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has two main centers for the
electronic industry:<span style=3D'mso-spacerun:yes'>&nbsp; </span>Tijuana,=
 Baja
California and Guadalajara, Jalisco:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>a)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Baja
California is the Mexican border state with the greatest number of electron=
ics
plants (105) employing approximately 65,000 people.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>According to Baja California&#8217=
;s
Economic Development Office, in 2006, maquiladoras in the State produced 17=
.5
million television sets and computer monitors.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The seven largest electronic
maquiladoras are Hitachi, JVC, Matsushita, Sanyo, Samsung, Sony, and
Sharp.<span style=3D'mso-spacerun:yes'>&nbsp; </span>While some of these pl=
ants
continue to produce conventional television and computer monitor sets, they
switched to the manufacture of the latest technologies including flat screen
sets: Liquid Crystal Diode (LCD), Digital Light Processing (DLP) and plasma=
.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Nevertheless, conventional televis=
ions
still make up approximately 18 percent of all production and destined for t=
he
Latin American, African and Asian markets.<span style=3D'mso-spacerun:yes'>=
&nbsp;
</span>Most of these companies have the same requirements for suppliers:<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>9000 ISO certification, just-in-ti=
me
delivery, production capacity and competitive prices.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>b)<span style=3D'mso-tab-count:1'>&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Manufacturing
in Guadalajara is focused on computer related hardware and telecommunicatio=
ns
products. Guadalajara&#8217;s electronic manufacturing is mainly based in
contract manufacturing (CMs) operations, including CMs such as Flextronics,
Solectron, SCI Sanmina and Jabil Circuit that work for OEMs such as IBM, HP=
 or
Cisco to mention some of them. Local companies in the electronics industry =
are
switching from manufacturing PCs to niche products that require more advance
technology, such as rackable servers, and by offering more customized busin=
ess
solutions services to a variety of industries.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The major components and parts impo=
rted by
the electronics manufacturing industry under HTS 85 during 2005 were: digit=
al
monolithic integrated circuits; parts/antenna for transmission for radio and
television; monolithic integrated circuits, other than digital; printed
circuits, cathode-ray, television picture tubes for color monitors; electri=
cal
apparatus; hybrid integrated circuits; insulated electric conductors; elect=
ric
motor parts, generators; static converters and power supplies; ceramic
dielectric, multiplayer fixed capacitors; insulated electric conductors;
electric switches for voltage not over 1000 volts; parts and accessories for
sound and video reproducing apparatus; diodes ex-photosensitive or
light-emitting diodes; electrical inductors; electrical conductors; indicat=
or
panels incorporating LCD&#8217;s and cards electrically integrated. </span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestprospects4></a><span lang=3DEN-US>Best Prospects/Services=
<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2005 the most significant U.S.
electronic components exported to Mexico were switches, plugs and relays,
valued at US$ $2.6 billion, followed by integrated circuits, valued at US$ =
2.2
billion. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>A negative trend is that one of
Mexico&#8217;s highest value import categories, the semiconductor sector, is
increasingly shifting in origin from the United States to Japan, Taiwan,
Malaysia, Korea and Singapore. U.S. semiconductor exports to Mexico fell fr=
om US$2.6
billion in 2003 to US$1.8 billion in 2005. In 2004, the U.S. was the leading
supplier in nine of the 10 top imports to Mexico, but during 2005, lost mar=
ket
share in four categories, HS 8504, 8534, 8529, 8541, which have gone to Chi=
na,
Korea and Japan.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities4></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>As Mexican manufacturing of electro=
nic
products becomes more complex, U.S. companies can find opportunities in new
sectors such as batteries, antennas and switches, relays and plugs. Also, U=
.S
suppliers of services related to electronic components such as logistics, s=
crap
management, inventory management, etc., can find opportunities in the Mexic=
an
market. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In Tijuana and Guadalajara, distrib=
ution
channels to manufacturers are controlled by numerous distribution/represent=
ation
companies - some of them located in San Diego, right across the border from
Tijuana that serve the Baja California region.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>These firms usually have an electr=
onic
components portfolio that includes different product lines. In most cases, =
U.S.
firms interested in entering this market will need to hire one of these
distribution/representation companies to serve as contract manufacturers. In
addition, inclusion in the approved material list determined by the original
equipment manufacturers is often a requirement to sell any critical electro=
nic
component to the contract manufacturer. These distributors/representatives =
can
be contacted using the services of the US Commercial Service.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources4></a><span lang=3DEN-US>Resources<span style=3D'mso=
-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Judith Valdes </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service Tijuana</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. 52-664-622-7400</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"mailto:Judith.Valdes@mai=
l.doc.gov">Judith.Valdes@mail.doc.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Gabriela Hernandez</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service Guadalajara=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Ph. 52-33-3615-0980 Fax 52-33-3615-=
7665</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:Gabriela.Hernandez@mail.doc.gov">Gabriela.Hernandez@mail.doc=
.gov</a></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsectors5></a><span lang=3DEN>Energy Sector</span></h2>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Doverview5></a><span lang=3DEN-US>Overview<span style=3D'mso-t=
ab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>This sector includes the sub-sector=
s of Oil
and Gas (OGM) and Electric Power Systems, (ELP) Equipment and Services.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>With the start of a new administra=
tion,
both sub-sectors have been identified to be a priority for Mexico&#8217;s
Federal Government.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The deman=
d for
imported equipment and services increased seven percent from 2005 to 2006.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. exports to Mexico also have g=
rown
at an average of 8.5 percent during the same period.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The total market is expected to gr=
ow at
an average of 6.7 percent annually from 2006 to 2007.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The competition will continue to c=
ome
from Japanese, Chinese, Taiwanese, German and Canadian companies.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions) <span style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN-US>TRENDS IN THE ENERGY MARKET*</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 (estimated)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>9,584.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>10,063.2</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>10,738.4</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>4,985.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,184.4</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,391.8</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>11,921.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12,632.4</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>13,390.3</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>16,520.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>17,511.2</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>18,736.9</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Imports from the U.S.</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>11,280.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12,082.7</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>13,109.7</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>*(Exchange rate: 1 USD =3D 11.5 pesos)<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>** Based on statistics available from January to November 2006 (11
months).<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Source of information: BANCOMEXT, -Mexican Import/Export Bank
statistics, Secretary of Economy Statistics, Government Owned Petroleum Com=
pany
&#8211;PEMEX and The Federal Electricity Commission-CFE official information
and interviews with members of the Mexican College of Petroleum Engineers, =
and
representatives of U.S. companies in Mexico.</span><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions)<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>OIL
AND GAS SUB-SECTOR</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 (estimated)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>5,742.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,725.8 </span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>6,083.9</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>1,805.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,877.2</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,952.4</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp; </span>973.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,356.0<span
  style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,437.4</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>4,910.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,204.6 </span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,568.9</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Imports from the U.S.</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>3,289.7</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,591.2 </span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,896.4</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions)<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>ELECTRICAL
POWER SYSTEMS SUB-SECTOR</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr style=3D'height:3.85pt'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:3=
.85pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:3.85pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2004<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:3.85pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>2005<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:3.85pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2006
  (estimated)<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Market Size<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>3,842.0<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>4,337.4<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>4,654.5<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Local Production<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>3,180.0<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>3,307.2&nbsp;<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>&nbsp;3,439.4<o:p></o:p></span></=
p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Exports<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>10,948.0<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>11,276.4<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>11,952.9<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Imports<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>11,610.0<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>12,306.6<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>13,168.0<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Imports
  from the U.S.<o:p></o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>7,990.3<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'>8,491.5<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p align=3Dcenter style=3D'text-align:center;layout-grid-mode:char'><span
  lang=3DEN-US style=3D'mso-bidi-font-size:11.0pt;font-family:"Arial","sans=
-serif"'><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>9,213.3<o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico&#8217;s Energy sector betwee=
n 2000
and 2006 has been going through a modernization process in which large budg=
ets
have been assigned to the three most important federal agencies: Government
Owned-Petroleum Company (PEMEX), the Federal Electricity Commission (CFE) a=
nd
Luz y Fuerza del Centro (the federally owned Mexico City power company).<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>In 2003-2006, Pemex awarded 43 pla=
tforms
to private companies; CFE awarded 16 power plants.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In the same period one LNG plant h=
as
been completed and another is in the construction process.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The total budget for the three fed=
eral
agencies for 2007 is expected to be over US$30 billion.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestprospects5></a><span lang=3DEN-US>Best Prospects/Services=
<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The best prospects for U.S. firms i=
nclude:
drilling of work-over-rigs, to be used in the exploration, discovery,
development, maintenance, testing, depletion or production of oil and natur=
al
gas wells; pipe; valves; pumps; electrical apparatus for switching; insulat=
ed
wire cable; electric capacitors, board panels; electric transformers; elect=
ric
motors and generators; static converters; and rotary converters.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities5></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2007 Pemex, CFE and Luz y Fuerza=
 plan to
announce domestic and international tenders for the modernization of the Sa=
lina
Cruz Refinery; construction of a new LNG plant; four deep water exploration
services contracts; three natural gas exploration projects (multiple servic=
es
contracts); a combined cycle-solar power plant;<span
style=3D'mso-spacerun:yes'>&nbsp; </span>gas wells; mini-hydraulic projects=
 in
the South of Mexico; wind to energy projects and geothermal; etc.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2007 Pemex plans to publish
international tenders to build 10 new platforms and over 30 international
tenders for more than 200 kilometers of pipelines.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Also, in 2006, CFE plans to publis=
h ten
tenders for new power plants and upgrading of existing power plants, includ=
ing
a wind-to-energy plant, one hydroelectric plant and several combined cycle
plants with a total capacity of 3,516 megaWatts.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources5></a><span lang=3DEN-US>Resources<span style=3D'mso=
-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal Bank
for Imports and Exports: <a href=3D"http://www.bancomext.com/">http://www.b=
ancomext.com</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
tary of
Energy: <a href=3D"http://www.energia.gob.mx/">http://www.energia.gob.mx</a=
></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
tary of
Economy: <a href=3D"http://www.economia.gob.mx/">http://www.economia.gob.mx=
</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Gover=
nment-Owned
Petroleum Company-PEMEX: <a href=3D"http://www.pemex.gob.mx/">http://www.pe=
mex.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Feder=
al
Electricity Commission: <a href=3D"http://www.cfe.gob.mx/">http://www.cfe.g=
ob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Energy
Regulatory Commission: <a href=3D"http://www.cre.gob.mx/">http://www.cre.go=
b.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal Energy
Savings Commission: <a href=3D"http://www.conae.gob.mx/">http://www.conae.g=
ob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Centr=
al Light
and Power Company: <a href=3D"http://www.lfc.gob.mx/">http://www.lfc.gob.mx=
</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Colle=
ge of
Petroleum Engineers of Mexico: <a href=3D"http://www.cipm.org.mx/">http://w=
ww.cipm.org.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US><o:p>=
&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the energy =
sector
in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Francisco Ceron, Senior Commercial
Specialist (Energy)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2640</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:Francisco.ceron@mail.doc.gov">Francisco.ceron@mail.doc.gov</=
a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Arturo Dessommes, Commercial Specia=
list
(Electric Power)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2638</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:Arturo.dessommes@mail.doc.gov">Arturo.dessommes@mail.doc.gov=
</a></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US><o:p>=
&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector6></a><span lang=3DEN>Environmental Sector</span=
></h2>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Doverview6></a><span lang=3DEN-US>Overview<span style=3D'mso-t=
ab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>This sector includes the sub-sector=
s of
Pollution Control Equipment (POL) and water resources (WRE) equipment and s=
ervices.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexican environmental market h=
as
been growing at an annual average of 5.2 percent during 2004 - 2006 and it =
is
expected to grow at the same average from 2006 to 2007.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Major competitors in this market a=
re
French, German, Spanish, Canadian, Great Britain and Japanese companies.</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions) <span style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN-US>TRENDS IN THE ENVIRONMENTAL MARKET</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 (estimated)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,150.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,665.0</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,964.0</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,520.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,595.6</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,686.4</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,160.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,206.4</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,254.7</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,790.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>4,275.8</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>4,532.3</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes;height:13.0pt'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:13.0pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Imports from the U.S.</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.0pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,790.0</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.0pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,206.8</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.0pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,408.3</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>*Exchange Rate (Pesos to the USD: 11.50<o:p></o:p></span></p>

<p class=3DMsoBodyText><span lang=3DEN-US>** Based on statistics available =
form
January to November 2006 (11 months)<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Source of information: BANCOMEXT, -Mexican Import/Export Bank
statistics, Secretary of Economy Statistics; statistics from the Secretariat
for the Environment and Natural Resources &#8211;SEMARNAT; statistics from =
the
National Council of Environmental Executives- CONIECO and interviews with
importers, distributors and end-users of environmental equipment and servic=
es.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestproducts6></a><span lang=3DEN-US>Best Products/Services<s=
pan
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Best prospects in this sector inclu=
de:
liners for landfills; solid waste containers; solid waste recycling equipme=
nt;
dust collectors; hazardous and toxic waste transportation equipment; autocl=
aves
for medical waste; medical waste transportation equipment; bio-remediation
technology; environmental engineering services; chlorinators; desalination
plants; irrigation equipment; primary clarifiers; water pumps; water meters;
water leak detectors; water supply and distribution systems; and design and
engineering services.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities6></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>According to the Secretariat for the
Environment and Natural Resources &#8211;SEMARNAT, the priorities set for 2=
007
to 2009 will be centered on the construction of municipal wastewater treatm=
ent
plants, industrial waste treatment facilities and sanitary landfills to pro=
mote
the remediation of soil contaminated sites and increase the infrastructure =
of
potable water in rural and urban areas.<span style=3D'mso-spacerun:yes'>&nb=
sp;
</span>Among the projects to be announced are:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Construction of 10 municipal wastew=
ater
treatment plants in the cities of Metepec, State of Mexico;<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Puebla, State of Puebla;<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Hermosillo, State of Sonora;
Centro-Villa Hermosa, State of Tabasco; Merida, State of Yucatan; Mexico Ci=
ty;
Campeche, Ciudad del Carmen, and Escarcega, State of Campeche; and Berrioza=
bal,
State of Chiapas; construction of one industrial waste confinement facility=
 in
the city of Viezca, State of Coahuila; construction of sanitary landfills in
the cities of<span style=3D'mso-spacerun:yes'>&nbsp; </span>Jalapa, State of
Veracruz;<span style=3D'mso-spacerun:yes'>&nbsp; </span>City of<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Puebla, State of<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Puebla; soil remediation sites in =
the
city of Villahermosa, State of<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Tabasco;<span style=3D'mso-spacerun:yes'>&nbsp; </span>potable
distribution infrastructure in the cities of<span
style=3D'mso-spacerun:yes'>&nbsp; </span>San Luis Potosi, Morelia; irrigati=
on
projects in the cities of Jalapa, State of Veracruz; Puebla, State of Puebl=
a;
Cuernavaca, State of<span style=3D'mso-spacerun:yes'>&nbsp; </span>Morelos;=
 and
Hermosillo, State of Sonora.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; <=
/span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources6></a><span lang=3DEN-US>Resources<span style=3D'mso=
-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal Bank
for Imports and Exports: <a href=3D"http://www.bancomext.gob.mx/">www.banco=
mext.gob.mx</a>
</span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
tariat for
the Environment and Natural Resources: <a href=3D"http://www.semarnat.gob.m=
x/">http://www.semarnat.gob.mx/</a><span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;
</span></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
tariat for
Social Development: <a href=3D"http://www.sedesol.gob.mx/">http://www.sedes=
ol.gob.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal Water
Commission: <a href=3D"http://www.cna.gob.mx/">http://www.cna.gob.mx/</a></=
span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Institute of Ecology: <a href=3D"http://www.ine.gob.mx/">http://www.ine.gob=
.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Attor=
ney
General for Environmental Protection: <a href=3D"http://www.profepa.gob.mx/=
">http://www.profepa.gob.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an
Institute for Water Technology: <a href=3D"http://www.imta.gob.mx/">http://=
www.imta.gob.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>North=
 American
Development Bank: <a href=3D"http://www.nadbank.org/">http://www.nadbank.or=
g/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Council of Environmental Executives: <a href=3D"http://www.conieco.com.mx/"=
><span
style=3D'mso-spacerun:yes'>&nbsp;</span>http://www.conieco.com.mx/index.php=
</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal Bank
for Public Works: <a href=3D"http://www.banobras.gob.mx/">http://www.banobr=
as.gob.mx/</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the environ=
mental
sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Francisco Ceron, Senior Commercial
Specialist</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2640</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:Francisco.ceron@mail.doc.gov">Francisco.ceron@mail.doc.gov</=
a></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector7></a><span lang=3DEN>Franchising Sector</span><=
/h2>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Doverview7></a><span lang=3DEN-US>Overview<span style=3D'mso-t=
ab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The franchise industry in Mexico ha=
s grown
between 15 &#8211; 20 percent every year over the last decade. In 2006
franchises generated sales over USD 8.5 Billion, proving that the franchise
sector is an important source of job creation, self-employment and wealth.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico is the 8th leading nation in
franchise development according to the World Franchise Council.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Conservative estimates indicate th=
at
this sector will grow by at least 15 percent in 2007. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Franchises in Mexico are regulated =
by
Article 142 of the Industrial Property Law and </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Article 65 of its Regulations.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Franchise agreements must be regis=
tered
before the </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Institute of Industrial Pro=
perty in
order to be effective against third parties.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>On January 26, 2006, an amendment t=
o the
Mexican Franchise Regulations (Article 142) </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>was published in the Mexican Offici=
al
Gazette, stating a new definition of franchise, </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>mandating requirements for franchise
agreements, and providing new standards for </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>pre-sale franchise disclosure.</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestproducts7></a><span lang=3DEN-US>Best Products/Services<s=
pan
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Although Food concepts (formal / fa=
st food)
continue to lead the industry, there are many other sectors that are growing
rapidly and successfully in Mexico. Education / Entertainment services for
children, Personal Care Services (spas, beauty shops, health care centers),
Automotive services, among others, are considered as best prospects for the
coming 5 years.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities7></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Before entering the Mexican market,=
 it is
important to note the following:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l20 level1 lfo20;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Type of Franchise model
appropriate for Mexico (Master vs. Regional Franchise)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l20 level1 lfo20;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Level of Interest in the
Mexican market for the products/services that you will be offering (Potenti=
al
of the market, Product/Service acceptance)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l20 level1 lfo20;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Training / Support capabi=
lities
(Language, resources)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l20 level1 lfo20;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Product / Service
tropicalization: U.S. concepts may not be as popular as in the United States
for Mexican customers; be prepared to adapt your products/services to the
Mexican culture.</span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Franchising in Mexico, as in any ot=
her
country, requires a long-term commitment. The U.S. franchisor must commit h=
uman
and financial resources, patience and time to make its concept succeed in t=
he
Mexican market. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. franchises must be aware that =
since
the Mexican market is dominated by local franchises, a requirement for a
successful franchise concept in Mexico is to adapt, or customize, the conce=
pt
and characteristics to Mexican tastes.<span style=3D'mso-spacerun:yes'>&nbs=
p;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources7></a><span lang=3DEN-US>Resources<span style=3D'mso=
-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Asoci=
aci&oacute;n
Mexicana de Franquicias: <a href=3D"http://www.franquiciasdemexico.org/">ww=
w.franquiciasdemexico.org</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Feria
Internacional de Franquicias: <a href=3D"http://www.fif.com.mx/">www.fif.co=
m.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the franchi=
sing
sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Martha Sanchez, Commercial Assistan=
t</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2621</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"mailto:martha.sanchez@ma=
il.doc.gov">martha.sanchez@mail.doc.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector8></a><span lang=3DEN>Hotel &amp; Restaurant Equ=
ipment</span></h2>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Doverview8></a><span lang=3DEN-US>Overview<span style=3D'mso-t=
ab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican Restaurant Industry gre=
w 3.5
percent in 2006, representing two percent of the national GDP according to =
data
provided by the National Chamber of the Restaurant Industry (CANIRAC). Toda=
y,
the restaurant industry in Mexico registers around 36,000 restaurants in Me=
xico
City and 243,000 nationwide, out of which 96% are micro and small enterpris=
es;
and the remaining four percent consists of large restaurants. The industry =
also
generates more than 837,000 jobs throughout Mexico. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican restaurant industry is =
changing
rapidly and is in need of new technology. The restaurant industry reported
annual sales of about USD$15 billion although this figure probably understa=
tes
true sales. The lack of technology (especially in cold chain equipment) in
Mexico and the increasing sophistication of the Mexican consumer generate
business opportunities for U.S. exporters of equipment for restaurant indus=
try.
Some emerging competitors for U.S. manufacturers are Brazil, China and Euro=
pean
countries.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2005, the total market for this =
segment
surpassed USD 1.5 billion. The imports from the United States during 2005
increased eight percent compared to 2004.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions)</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 (Jan.-Sept.)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,499.37<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,560.92<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,181.98<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>792.90<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>816.00<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>691.58<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>431.31<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>561.14<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>626.29<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,137.78<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,306.06<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>1,116.69<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Imports from the U.S.</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>547.03<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>591.49<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-family:Arial'>477.99<o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(Bancomext figures available in dollars &#8211; no exchange rate
needed).<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Sources: Bancomext, Mexican Secretariat of Economy (SIEM System) and
National Chamber of Restaurants own estimates.<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The restaurant equipment industry is
divided into two groups: major equipment which primarily consists of
refrigeration equipment, machinery for making hot drinks and cooking,
commercial conventional ovens and stoves, microwave ovens, refrigerating /
freezing display counters, food grinder processors etc. The smaller group
includes decorations including furniture, tables, chairs, curtains, kitchen
utensils, cutlery, and glassware, among others. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In Mexico, there is local productio=
n of
ovens, refrigerators by few manufacturers and mostly all the specialized
manufacturing equipment is imported from United States and other countries.
Even though there is local production, which mainly consists of meat grinde=
rs,
slicers, refrigerators, freezers, coffee makers, ovens, kitchen furniture a=
nd
utensils among others, there is a huge market for U.S. exporters. Mexican
manufacturers are mainly small to medium-sized companies, which employ less
than 50 people. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The industry is spread out from the
Northeast to the central part of the country and almost 45 percent of it is
concentrated in Monterrey, near the border, but also in Guadalajara and Mex=
ico
City.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Even though there is so=
me
local production, it generally lacks the quality and level of technology of
U.S. made equipment.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on Mexico&#821=
7;s
hotel and restaurant industries, please see the following market research
report &#8220;Mexico &#8211; Overview of the Hotel Industry&#8221;: <a
href=3D"http://www.buyusainfo.net/docs/x_3610545.pdf">http://www.buyusainfo=
.net/docs/x_3610545.pdf</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestproducts8></a><span lang=3DEN-US>Best Products/Services<s=
pan
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l30 level1 lfo21;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Frozen-food display count=
ers</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l30 level1 lfo21;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Food warmers</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l30 level1 lfo21;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Food &#8211; temperature
measurers</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l30 level1 lfo21;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Stainless steel utensils<=
/span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l30 level1 lfo21;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Catering equipment</span>=
</p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l30 level1 lfo21;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Tabletop centerpieces</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities8></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Under NAFTA, most equipment for hot=
els and
restaurants manufactured in the United States can be imported duty-free into
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. companies offeri=
ng
products for the hotel and restaurant equipment sector should develop effor=
ts
to introduce new products into the Mexican market.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Interested companies however shoul=
d be
aware that certain segments of the market are price sensitive.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources8></a><span lang=3DEN-US>Resources<span style=3D'mso=
-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Chamber of Restaurants: <a href=3D"http://www.caniracnacional.com.mx/">http=
://www.caniracnacional.com.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal Bank
of Foreign Trade (Bancomext): <a href=3D"http://www.bancomext.com/">www.ban=
comext.com</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
tariat of
Economy: <a href=3D"http://www.economia.gob.mx/">www.economia.gob.mx</a></s=
pan></p>

<p style=3D'margin-top:0cm;margin-right:0cm;margin-bottom:6.0pt;margin-left=
:0cm'><span
lang=3DEN-US style=3D'font-family:"Arial","sans-serif";mso-fareast-font-fam=
ily:
"Times New Roman";mso-bidi-font-family:"Times New Roman"'>Magazine
&#8220;Industrias Alimentos &amp; Bebidas&#8221;<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the hotel a=
nd
restaurant sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Monica Martinez, Commercial Assista=
nt</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2628</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:Monica.Martinez@mail.doc.gov">Monica.Martinez@mail.doc.gov</=
a></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector9></a><span lang=3DEN>Housing &amp; Construction=
</span></h2>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Doverview9></a><span lang=3DEN-US>Overview<span style=3D'mso-t=
ab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican housing construction in=
dustry
has experienced constant growth over the last 5 years with an average rate =
of
4.5% per year.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The current
administration has made housing a priority and assigned additional funds to
government institutions that support the development of low-income and
pre-fabricated housing.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The
government also offers support to efforts of private companies (local and
foreign) involved in this industry through additional access to capital.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>With government support and private
investment, the housing market is expected to grow at nearly 8% for the
foreseeable future.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Low-cost and prefabricated housing
initiatives and projects are a priority for the 32 Mexican States, as well =
as
for the Federal government.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Governments realize that they cannot solve the housing deficit on th=
eir
own and that they need the support of private local or foreign companies, as
well as international housing foundations or institutions in order to devel=
op
housing to meet the growing demand.<span style=3D'mso-spacerun:yes'>&nbsp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>If a U.S. firm is interested in ent=
ering
Mexico&#8217;s construction industry, one of their best options is to sign a
joint venture agreement with a Mexican construction or housing firm that is
already playing a significant role in the housing industry.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexican companies already know the
market and the complicated labor and legal aspects involved in doing busine=
ss
in this booming industry.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The
market is open to new rapid-construction techniques and new materials.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. products and services are well
accepted in Mexico thanks to NAFTA and the relatively low transportation co=
sts.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For a complete report on the housin=
g and
construction industry in Mexico, please see the following market research
reports &#8220;Mexico:<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Mexico&#8217;s Low Income and Pre-Fab Housing Overview &#8216;06&#82=
21;:
<a href=3D"http://www.buyusainfo.net/docs/x_5838347.pdf">http://www.buyusai=
nfo.net/docs/x_5838347.pdf</a>
and &#8220;Mexico: Mexico&#8217;s Building and Construction Materials Overv=
iew
&#8216;06&#8221;: <a href=3D"http://www.buyusainfo.net/docs/x_9496230.pdf">=
http://www.buyusainfo.net/docs/x_9496230.pdf</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h5><span lang=3DEN-US>Market Trends:</span></h5>

<p class=3DMsoNormal><span lang=3DEN-US>Currently, the market for low-incom=
e and
pre-fabricated dwellings is expected to continue to grow at an average rate=
 of
5% percent during the next two years.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The total housing sector is projected to grow at 8% per year.</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US>The following table shows the resul=
ts of
the housing program at the end of year 2005 and estimations for year 2006:<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>In US dollars<o:p></o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Entity</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Credits delivered in 2005</span><=
/p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total investment in 2005</span></=
p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Credits projected to deliver in 2=
006</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Investment projected for 2006***<=
/span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>INFONAVIT</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>375,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$6.2 billions</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>435,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$7.2 billions</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>FOVISSSTE</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>50,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$1.3 billions</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>70,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$1.4 billions</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>SHF</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>99,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$2.1 billions</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>115,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$2.7 billions</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>FONHAPO</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>92,600</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$0.3 billions</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>140,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$0.4 billions</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>OTHERS*</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>69,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$2.6 billions</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>110,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$5.5 billions</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>SUBTOTAL</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>685,600</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$12.5 billions</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>870,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$17.2 billions</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>REDUCTIONS**</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>45,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>120,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>TOTAL</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>640,600</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$12.5 billions</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.55pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>750,000</span></p>
  </td>
  <td width=3D118 valign=3Dtop style=3D'width:88.6pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>$17.2 billions</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestproducts9></a><span lang=3DEN-US>Best Products/Services<s=
pan
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico offers good sales opportunit=
ies for
U.S. manufacturers of housing building materials. Mexican firms are searchi=
ng
for new and rapid construction techniques and new materials (high quality, =
low
prices, easy to use and install).<span style=3D'mso-spacerun:yes'>&nbsp;
</span>U.S. products and/or services are well accepted in Mexico and U.S. f=
irms
have the additional benefit of selling most products duty free under NAFTA.=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities9></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p; </span><span
style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Construction projects for 2007 incl=
ude
housing, high-rise office buildings, shopping centers, industrial plants,
hospitals, theaters, hotels, golf courses and museums total investment for
upcoming projects is estimated to be over 6.4 billion dollars. (Data gather=
ed
from CANADEVI, CONAVI, CMIC, CNEC, CIHAC, private developers and constructi=
on
companies).</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Major construction companies workin=
g with
Mexican government housing agencies will drive an increased demand for buil=
ding
materials as compared with the last five years. There are ambitious targets=
 for
new homes at the three different social levels. The segments of the market =
that
will demand the most building materials are the lower income, rapid
construction and middle income levels.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources9></a><span lang=3DEN-US>Resources<span style=3D'mso=
-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Chamber for Housing: <a href=3D"http://www.canadevi.org.mx/">http://www.can=
adevi.org.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Housing Council: <a href=3D"http://www.conavi.org.mx/">http://www.conavi.or=
g.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an Chamber
for the Construction Industry: <a href=3D"http://www.cmic.org/">http://www.=
cmic.org</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Chamber for Consulting Firms: <a href=3D"http://www.cnec.org.mx/">http://ww=
w.cnec.org.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Const=
ruction
and Housing Development Center: <a href=3D"http://www.cihac.com.mx/">http:/=
/www.cihac.com.mx</a><span
style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Natio=
nal
Institute for Geography and Statistics: <a href=3D"http://www.inegi.gob.mx/=
">http://www.inegi.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Insti=
tute of
National Housing Fund for Workers: <a href=3D"http://infonavit.gob.mx/">htt=
p://infonavit.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Gover=
nment
Housing Fund for Federal and State workers:</span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US><a
href=3D"http://www.issste.gob.mx/fovissste">http://www.issste.gob.mx/foviss=
ste</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the housing=
 and
construction sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mr. Adri&aacute;n Orta</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Commercial Specialist, U.S. Commerc=
ial
Service, U.S. Embassy Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2619</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"mailto:adrian.orta@mail.=
doc.gov">adrian.orta@mail.doc.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector10></a><span lang=3DEN>Plastic Materials/Resins<=
/span></h2>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Doverview10></a><span lang=3DEN-US>Overview<span style=3D'mso-=
tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico&#8217;s market for plastic m=
aterials
and resins is closely connected to the maquila industry&#8217;s manufacture=
 of
electronic products, such as conventional television sets, computer monitor=
s,
printers and vacuum cleaners, which have an estimated 40 percent plastic
content.<span style=3D'mso-spacerun:yes'>&nbsp; </span>However, with the
introduction of new technology, namely plasma, DLP (Digital Light Processin=
g)
and LCD (Liquid Crystal Display), monitors and television sets have reduced
their plastic content to approximately 15 percent.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>During 2006, Mexico&#8217;s maquila
industry (largely located on Mexico&#8217;s border with the United States)
manufactured approximately 17.5 million television sets and computer monito=
rs,
of which 82 percent utilized the new technology.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>However, these plants increased the
overall volume of plastic materials/resins imports by over 10 percent.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This is critical, as the industry
imports approximately 96 percent of the country&#8217;s total demand.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. industry is the main supplier=
 to
this market with an approximate 84 percent market share in 2006. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has approximately 300 manufa=
cturing
facilities that use plastic materials as the main component of their produc=
tion
processes.<span style=3D'mso-spacerun:yes'>&nbsp; </span>For over 100 of th=
ese
plants, at least 40 percent of the content of their products is plastic.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>As stated before, most of these pl=
ants
are associated with the electronics industry, but because of new investment=
 and
the expansion of Mexico&#8217;s automotive industry along the border, this
sector too is expected to become an important importer of plastic parts/res=
ins.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>During the last two years, the impo=
rt of
plastics and plastic articles increased by almost 16 percent, and in 2006, =
the
total import market of plastics/resins for the maquiladora industry ranked =
the
third highest, only after machinery and electronic equipments.</span><span
class=3DTypewriter><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-fo=
nt-size:
12.0pt;mso-bidi-font-family:Arial'> <o:p></o:p></span></span></p>

<p class=3DMsoNormal><span class=3DTypewriter><span lang=3DEN-US style=3D'f=
ont-size:
10.0pt;mso-bidi-font-size:12.0pt;mso-bidi-font-family:Arial'><o:p>&nbsp;</o=
:p></span></span></p>

<p class=3DMsoNormal style=3D'margin-left:108.0pt;text-indent:36.0pt'><span
class=3DTypewriter><span lang=3DEN-US style=3D'mso-ansi-font-size:11.0pt;fo=
nt-family:
"Arial","sans-serif"'>Plastics/Resins Market<o:p></o:p></span></span></p>

<p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span
class=3DTypewriter><span lang=3DEN-US style=3D'mso-ansi-font-size:11.0pt;fo=
nt-family:
"Arial","sans-serif"'>(USD $ Millions)</span></span><span lang=3DEN-US
style=3D'mso-bidi-font-family:Arial'><o:p></o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0 wi=
dth=3D571
 style=3D'width:428.6pt;border-collapse:collapse;border:none;mso-border-alt=
:solid windowtext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D211 valign=3Dtop style=3D'width:158.15pt;border:solid windowt=
ext 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D51 valign=3Dtop style=3D'width:38.35pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2003<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2004 <o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2005<o:p></o:p></span></p>
  </td>
  <td width=3D117 valign=3Dtop style=3D'width:88.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>2006
  estimated<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D211 valign=3Dtop style=3D'width:158.15pt;border:solid windowt=
ext 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Market Size<o:p></o:p></span></p>
  </td>
  <td width=3D51 valign=3Dtop style=3D'width:38.35pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>5,552<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>6,403<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>7,026<o:p></o:p></span></p>
  </td>
  <td width=3D117 valign=3Dtop style=3D'width:88.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>7,699<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D211 valign=3Dtop style=3D'width:158.15pt;border:solid windowt=
ext 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Local Production (est.)<o:p></o:p></span></p>
  </td>
  <td width=3D51 valign=3Dtop style=3D'width:38.35pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>102<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>100<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>281<o:p></o:p></span></p>
  </td>
  <td width=3D117 valign=3Dtop style=3D'width:88.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>280<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D211 valign=3Dtop style=3D'width:158.15pt;border:solid windowt=
ext 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Total
  Imports<o:p></o:p></span></p>
  </td>
  <td width=3D51 valign=3Dtop style=3D'width:38.35pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>5,450<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>6,303<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>6,745<o:p></o:p></span></p>
  </td>
  <td width=3D117 valign=3Dtop style=3D'width:88.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>7,419<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D211 valign=3Dtop style=3D'width:158.15pt;border:solid windowt=
ext 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Imports
  from the U.S.<o:p></o:p></span></p>
  </td>
  <td width=3D51 valign=3Dtop style=3D'width:38.35pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>4,360<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>5,340<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.05pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>5,575<o:p></o:p></span></p>
  </td>
  <td width=3D117 valign=3Dtop style=3D'width:88.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>6,076<o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoBodyText><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>Source:
Banco de M&eacute;xico and Mexico&#8217;s Secretary of Economy (World Trade
Atlas).<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dbestproducts10></a><span lang=3DEN-US>Best Products/Services<=
span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The most promising plastic material=
s with
the highest potential for growth are:<span style=3D'mso-spacerun:yes'>&nbsp;
</span>natural plastic (inc. modified) polymers (primary forms); plastic
plates, sheets, films, foils &amp; strips; plastic tubes, pipes, hoses and
their fittings; polymers of styrene, in primary forms; self-adhesive plates=
 of
plastics; polyethers, expoxides and polyesters, in primary forms; polymers =
of
propylene or other olefins; polymers of vinyl chloride etc.; articles of
plastics (inc. polymers and resins); containers (boxes, bags, etc.) closure=
s,
etc.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dopportunities10></a><span lang=3DEN-US>Opportunities<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>BORDERLAND</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>El Paso, TX. USA</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Spring of Every year. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Irma D. Stelley, Show Manager</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>+1(915) 771-7061 or +1(915) 771-710=
1</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Email - borderland@huntleigh.net</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US>Industrial Technology Trade Show</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US>www.borderland.tradeshow.net</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>MEXPORT 2007</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Otay Mesa, CA. USA</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Summer 2004</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Otay Mesa Chamber of Commerce</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>+1(619) 661-6111 or +1(619) 661-617=
8 </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Email - info@mexport.org</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Industrial Trade Show</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>www.otaymesa.org</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>EXPO MANUFACTURA 2007</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Monterrey, N.L.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>First quarter of every year</span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>www.expomanufactura.org</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>This show represents an excellent
opportunity for U.S. firms to participate and enter the Mexican market.</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dresources10></a><span lang=3DEN-US>Resources<span style=3D'ms=
o-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Judith Valdes, Commercial Specialis=
t </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Consulate General Tijuana</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. 52 664 622-7400</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"mailto:Judith.valdes@mai=
l.doc.gov">Judith.valdes@mail.doc.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>a) Maquila Portal:
http://www.maquilaportal.com </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>b) Magazine - Mexico NOW magazine</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>c) Twin Plan Magazine</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<b><span lang=3DEN style=3D'font-size:11.0pt;mso-bidi-font-size:18.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Arial Unicode MS";mso-bidi-fo=
nt-family:
"Arial Unicode MS";mso-ansi-language:EN;mso-fareast-language:EN-US;mso-bidi=
-language:
AR-SA'><br clear=3Dall style=3D'page-break-before:always'>
</span></b>

<h2><a name=3Dleadingsector11><span lang=3DEN>Security &amp; Safety Equipme=
nt &amp;
Services</span></a></h2>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Overview<span style=3D'mso-tab-count:8'>&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The overall market for U.S. security
products grew between 15% from 2005 to 2006 but the United States lost some
ground as the main provider of imported security equipment to Mexico, dropp=
ing
from 75 percent to 70 percent of market share.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Nevertheless, Mexico&#8217;s secur=
ity
sector is one of the fastest-growing sectors and is still a best prospect f=
or
U.S. companies.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions) <span style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN-US>TRENDS IN THE SAFETY &amp; SECURITY MARKET</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 (estimated)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>2,773<o:p></o:p></sp=
an></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>3,230<o:p></o:p></sp=
an></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>3,714<o:p></o:p></sp=
an></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>1,395<o:p></o:p></sp=
an></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>1,485<o:p></o:p></sp=
an></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>1,707<o:p></o:p></sp=
an></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>739<o:p></o:p></span=
></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>812<o:p></o:p></span=
></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>934<o:p></o:p></span=
></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>2,082<o:p></o:p></sp=
an></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>2,395<o:p></o:p></sp=
an></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>2,754<o:p></o:p></sp=
an></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes;height:13.0pt'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:13.0pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Imports from the U.S.</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.0pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>1,430<o:p></o:p></sp=
an></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.0pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>1,658<o:p></o:p></sp=
an></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.0pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US
  style=3D'mso-fareast-font-family:"Arial Unicode MS"'>1,906<o:p></o:p></sp=
an></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Exchange rate: In US Dollars.<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Sources: National Bank of Foreign Commerce (BANCOMEXT) - Official
Mexican Import/Export figures. INEGI, Association of Business Owners of the
Mexican Republic (COPARMEX), Mexico Unido Contra la Delincuencia and Mexico
Security Market Report, Security Industry Association.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>While the Mexican government has tr=
ied to
act rapidly by instituting new laws and creating new governmental bodies to
regulate and enforce them, slow economic growth, inefficient law enforcemen=
t,
and growth in organized crime coupled with drug trafficking have generated =
an
increasing emphasis on security.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Reported offenses that continue to rise most rapidly include attacks
against private property, theft, kidnappings, and car jacking.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Under these circumstances, most pr=
ivate
companies and individuals fund additional security enhancement themselves.<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Security is one of the main issues =
in the
political agenda in Mexico. The new Calder&oacute;n Administration is focus=
ed
on fighting insecurity and has developed new programs to try to mitigate the
large insecurity at all levels. Programs include reforming police, creation=
 of
a nationwide criminal database, and a 12.4% increase in the budget focused =
on
security.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For American companies, it is diffi=
cult to
compete in installation mainly because Mexican companies have access to low
wages.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Nevertheless, multinat=
ional
companies prefer to have a foreign expert who understands and applies
international standards within the constraints of the Mexican social and le=
gal
environments and can respond to those standards. As mentioned above, US com=
panies
are losing ground in the Mexican market given Free Trade Agreements with the
European Union and Japan. Also, imports from China and Korea will continue =
to
challenge American manufactures and solution providers.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>According to the organizers of the =
Las
Americas Security Show in Mexico, annual budgets for companies and/or users=
 is
broken down as follows:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'margin-left:77.4pt;border-collapse:collapse;border:none;mso-borde=
r-alt:
 solid windowtext .5pt;mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insid=
eh:
 .5pt solid windowtext;mso-border-insidev:.5pt solid windowtext'>
 <tr style=3D'height:12.35pt'>
  <td width=3D204 valign=3Dtop style=3D'width:153.0pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
2.35pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><b><span
  lang=3DEN-US>Annual Budget (US dollars)<o:p></o:p></span></b></p>
  </td>
  <td width=3D168 valign=3Dtop style=3D'width:126.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:12.35pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><b><span
  lang=3DEN-US>Percentage<o:p></o:p></span></b></p>
  </td>
 </tr>
 <tr style=3D'height:13.9pt'>
  <td width=3D204 valign=3Dtop style=3D'width:153.0pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:13.9pt'>
  <p class=3DMsoNormal style=3D'margin-left:21.6pt'><span lang=3DEN-US>Up t=
o $50,000</span></p>
  </td>
  <td width=3D168 valign=3Dtop style=3D'width:126.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.9pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>14%</span></p>
  </td>
 </tr>
 <tr style=3D'height:13.9pt'>
  <td width=3D204 valign=3Dtop style=3D'width:153.0pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:13.9pt'>
  <p class=3DMsoNormal style=3D'margin-left:21.6pt'><span lang=3DEN-US>$51,=
000 -
  $100,000</span></p>
  </td>
  <td width=3D168 valign=3Dtop style=3D'width:126.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.9pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>18%</span></p>
  </td>
 </tr>
 <tr style=3D'height:13.9pt'>
  <td width=3D204 valign=3Dtop style=3D'width:153.0pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:13.9pt'>
  <p class=3DMsoNormal style=3D'margin-left:21.6pt'><span lang=3DEN-US>$101=
,000
  &#8211; $250,000</span></p>
  </td>
  <td width=3D168 valign=3Dtop style=3D'width:126.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.9pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>37%</span></p>
  </td>
 </tr>
 <tr style=3D'height:13.9pt'>
  <td width=3D204 valign=3Dtop style=3D'width:153.0pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:13.9pt'>
  <p class=3DMsoNormal style=3D'margin-left:21.6pt'><span lang=3DEN-US>$251=
,000
  &#8211; 500,000</span></p>
  </td>
  <td width=3D168 valign=3Dtop style=3D'width:126.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.9pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>16%</span></p>
  </td>
 </tr>
 <tr style=3D'height:13.9pt'>
  <td width=3D204 valign=3Dtop style=3D'width:153.0pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:13.9pt'>
  <p class=3DMsoNormal style=3D'margin-left:21.6pt'><span lang=3DEN-US>$501=
,000 -
  $1,000,000</span></p>
  </td>
  <td width=3D168 valign=3Dtop style=3D'width:126.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
3.9pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>8%</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes;height:14.7pt'>
  <td width=3D204 valign=3Dtop style=3D'width:153.0pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:14.7pt'>
  <p class=3DMsoNormal style=3D'margin-left:21.6pt'><span lang=3DEN-US>Over
  $1,000,000</span></p>
  </td>
  <td width=3D168 valign=3Dtop style=3D'width:126.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt;height:1=
4.7pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>9%</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Best Products/Services<span style=3D'mso-tab-count:6=
'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Among the best prospects for produc=
ts and
services in the security sector include: </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Access, Alarms &amp; CCTV controls<=
span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Personal
Alarm Systems</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Access control equipment<span
style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Biometrics</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Explosives detection<span style=3D'=
mso-tab-count:
4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span>Radio
&amp; telecommunications systems</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>GPS Tracking<span style=3D'mso-tab-=
count:
5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>F=
ire
detection &amp; extinguishing</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Information systems<span style=3D'm=
so-tab-count:
4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span>Communications
security</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Identification cards<span style=3D'=
mso-tab-count:
4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span>Perimeter
protection elements</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Surveillance &amp; Counter-surveill=
ance<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Training
&amp; equipment</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Security consulting<span style=3D'm=
so-tab-count:
4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp; </span>Law
enforcement</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Armored vehicles &amp; bullet resis=
tant
materials<span style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Armored
vests &amp; anti-riot equipment</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Armored jackets &amp; suits<span
style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span>Executives
&amp; Government official protection</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Kidnapping prevention &amp; first r=
esponse
for victims<span style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp; </span>Private
Security</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Opportunities<span style=3D'mso-tab-count:7'>&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CCTV systems alone have seen 20% gr=
owth,
and up to mid 2005 the value of this sub-sector is estimated at US$40
million.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Personal Alarm S=
ystem
business is growing over 40% yearly.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Commercial and Industrial Security has grown from US$363 million in =
1995
to over US$1 Bn in 2003 and has grown over 20% until 2005, valued at around
US$1.5 Bn.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The market for arm=
ored
vehicles, homes &amp; buildings, as well as all armored wear for individuals
such as bullet proof vests, and all bullet proof materials have seen a cons=
tant
10% increase in the last 2 years. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The professionals who use, evaluate=
 and
have a decision-making influence on purchases of safety and security projec=
ts
are:</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l32 level1 lfo22;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Security officers, police,
guards, armed forces</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l32 level1 lfo22;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Air &amp; Sea ports, Hote=
ls
Stores, Hospitals, Restaurants, Banking, Building, Parking, Stadiums, Minin=
g,
Oil, Transportation, Entertainment &amp; Amusement</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l32 level1 lfo22;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Storage, distribution &am=
p;
Inventory control</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l32 level1 lfo22;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>High-level executives, Ne=
ws,
Celebrities &amp; Diplomatic corps</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Resources<span style=3D'mso-tab-count:8'>&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>=
<a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Ameri=
can
Chamber of Commerce: <a href=3D"http://www.amcham.com.mx/">www.amcham.com.m=
x</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Asoci=
aci&oacute;n
Mexicana de Instituciones de Seguro: <a href=3D"http://www.amis.com.mx/">ww=
w.amis.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Funda=
ci&oacute;n
de Agentes Aduanales: <a href=3D"http://www.caaarem.org.mx/">www.caaarem.or=
g.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Conse=
jo
Nacional de Seguridad Privada: <a href=3D"http://www.cnsp.org.mx/">www.cnsp=
.org.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Insti=
tuto
Nacional de Geograf&iacute;a y Estadistica: <a href=3D"http://www.inegi.gob=
.mx/">www.inegi.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Data =
Source
Site: <a href=3D"http://www.nationmaster.com/">www.nationmaster.com</a></sp=
an></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Proca=
duria
General de la Republica: <a href=3D"http://www.pgr.gob.mx/">www.pgr.gob.mx<=
/a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
taria de
Gobernacion Mexico: <a href=3D"http://www.gobernacion.gob.mx/">www.gobernac=
ion.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
taria de
Seguridad Publica DF Mexico: <a href=3D"http://www.ssp.df.gob.mx/">www.ssp.=
df.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>The F=
reedonia
Group: <a href=3D"http://www.freedoniagroup.com/">www.freedoniagroup.com</a=
></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico United Against Crime: <a
href=3D"http://www.mexicounido.org/">www.mexicounido.org</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Seguridad en America<span style=3D'=
mso-tab-count:
1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </spa=
n></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Contact: Samuel Ortiz Coleman</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail:<span style=3D'mso-tab-count=
:1'> </span><a
href=3D"mailto:samortix@seguridadenamerica.com">samortix@seguridadenamerica=
.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Ventas de Seguridad</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Contact: Julian Arcila<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:jarcila@latinpressinc.com">jarcila@latinpressinc.com</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the securit=
y and
safety sector in Mexico, please contact: </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Juan Carlos Prieto, Commercial Spec=
ialist</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2634</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:juancarlos.prieto@mail.doc.gov">juancarlos.prieto@mail.doc.g=
ov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector12><span lang=3DEN>Telecommunications Equipment<=
/span></a></h2>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Overview<span style=3D'mso-tab-count:8'>&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions) <span style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN-US>TRENDS IN THE TELECOMMUNICATIONS MARKET</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 (estimated)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 style=3D'width:81.0pt;border-top:none;border-left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>6,387</span></p>
  </td>
  <td width=3D96 style=3D'width:72.0pt;border-top:none;border-left:none;bor=
der-bottom:
  solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;mso-border-top=
-alt:
  solid windowtext .5pt;mso-border-left-alt:solid windowtext .5pt;mso-borde=
r-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>7,217</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal style=3D'text-indent:36.0pt;mso-layout-grid-align:no=
ne;
  text-autospace:none'><span lang=3DEN-US style=3D'mso-bidi-font-size:11.0p=
t;
  color:black'>8,155<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 style=3D'width:81.0pt;border-top:none;border-left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>4,034</span></p>
  </td>
  <td width=3D96 style=3D'width:72.0pt;border-top:none;border-left:none;bor=
der-bottom:
  solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;mso-border-top=
-alt:
  solid windowtext .5pt;mso-border-left-alt:solid windowtext .5pt;mso-borde=
r-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>4,558</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;mso-layout=
-grid-align:
  none;text-autospace:none'><span lang=3DEN-US style=3D'mso-bidi-font-size:=
11.0pt;
  color:black'>5,150<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 style=3D'width:81.0pt;border-top:none;border-left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>2,353</span></p>
  </td>
  <td width=3D96 style=3D'width:72.0pt;border-top:none;border-left:none;bor=
der-bottom:
  solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;mso-border-top=
-alt:
  solid windowtext .5pt;mso-border-left-alt:solid windowtext .5pt;mso-borde=
r-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>2,659</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;mso-layout=
-grid-align:
  none;text-autospace:none'><span lang=3DEN-US style=3D'mso-bidi-font-size:=
11.0pt;
  color:black'>3,005<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 style=3D'width:81.0pt;border-top:none;border-left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>4,706</span></p>
  </td>
  <td width=3D96 style=3D'width:72.0pt;border-top:none;border-left:none;bor=
der-bottom:
  solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;mso-border-top=
-alt:
  solid windowtext .5pt;mso-border-left-alt:solid windowtext .5pt;mso-borde=
r-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>4,752</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;mso-layout=
-grid-align:
  none;text-autospace:none'><span lang=3DEN-US style=3D'mso-bidi-font-size:=
11.0pt;
  color:black'>5,370<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Imports from the U.S.</span></p>
  </td>
  <td width=3D108 style=3D'width:81.0pt;border-top:none;border-left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>2,824</span></p>
  </td>
  <td width=3D96 style=3D'width:72.0pt;border-top:none;border-left:none;bor=
der-bottom:
  solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;mso-border-top=
-alt:
  solid windowtext .5pt;mso-border-left-alt:solid windowtext .5pt;mso-borde=
r-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center'><span lan=
g=3DEN-US>2,858</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;mso-layout=
-grid-align:
  none;text-autospace:none'><span lang=3DEN-US style=3D'mso-bidi-font-size:=
11.0pt;
  color:black'>3,229<o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(Figures obtained in dollars &#8211; no exchange rate needed).<o:p>=
</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Source: Total Market Size figures &#8211; Selected figures<o:p></o:=
p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Source: Imports from the U.S.: US Census: <a
href=3D"http://www.census.gov/foreign-trade/statistics/product/enduse/expor=
ts/c2010.html">http://www.census.gov/foreign-trade/statistics/product/endus=
e/exports/c2010.html</a>.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>All other figures are estimates.</=
span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>2006 was again a growth year for th=
e whole
IT &amp; Telecom industry in Mexico.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Continued growth in the sector was triggered by new technologies,
applications and regulations.<span style=3D'mso-spacerun:yes'>&nbsp; </span=
>In
general, technological convergence and the new Convergence Agreement will
generate the need for additional investment and equipment expenditures.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Different segments of the industry
experienced healthy growth, including: telecom equipment, PCs, software,
telecom services, supplies, IT solutions, applications, network equipment, =
VoIP
equipment and fixed and mobile operator network infrastructure. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The industry grew over 11% during 2=
006 with
a total estimated value of US$37Bn.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>2006 showed rate of 4.4% of ICT expenditures as compared to the nati=
onal
GDP, the highest annual rate in the Fox Administration&#8217;s tenure. </sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In telecom services, there are 20 m=
illion
fixed lines (approx. 20% penetration) with Telmex as the dominant carrier w=
ith
about 93% of market share.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In=
 the
mobile arena, the sector registered approximately 53 million mobile
subscribers.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Telcel is the le=
ading provider
with nearly 77% of market share followed by Movistar at 14%.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>At the end of 2006, Grupo Salinas,=
 the
controlling interest of rival Iusacell, acquired 100% of Unefon.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>By the end of 2007, Unefon a=
nd
Iusacell will be completely merged in branding and marketing, becoming one
single company.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Currently Ius=
acell
has close to 4% of market share and Unefon has a bit over 2.4%.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Best Products/Services<span style=3D'mso-tab-count:6=
'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Best products will remain in the
convergence area.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Following a=
re the
main sub-sectors where a majority of new acquisitions will be focused.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Each offers great opportunities for
American companies to participate in the Mexican IT &amp; Telecom market du=
ring
2007:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>CATV:<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></b><span lang=3DEN-US>Cable
Television companies are rapidly expanding and are now legally able to offer
telephone services.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span></s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Wireless</span></b><span lang=3D=
EN-US>:<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Wireless technologies and applicat=
ions
for corporate and personal uses are the hot topics today.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>WiFi and the future WiMAX will pro=
vide
flexibility and lower cost for connectivity.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Mobile Services:<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></b><span lang=3DEN-US>Mobi=
le
communications will still be the main growth industry in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mobile operators are experiencing =
strong
growth but are looking for new technologies to generate additional revenue.=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>High Definition Equipment</span>=
</b><span
lang=3DEN-US>:<span style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico recently
approved a new broadcasting law, which will motivate investment in HD equip=
ment
by TV and Radio broadcasters.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Mexico has adopted U.S. HDTV Standards.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Network infrastructure</span></b=
><span
lang=3DEN-US>:<span style=3D'mso-spacerun:yes'>&nbsp; </span>Driven by a ge=
ntle
opening of the market to competition, convergence and other market forces, =
we
see significant investment in expanding and upgrading fixed-line networks.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span>This will translate to further
deployment of networks and improved technologies.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>VoIP:</span></b><span lang=3DEN-=
US><span
style=3D'mso-spacerun:yes'>&nbsp; </span>Most carriers are focusing exclusi=
vely
on IP-based networks.<span style=3D'mso-spacerun:yes'>&nbsp; </span>VoIP is
growing in demand and will continue to expand into small and medium-size
businesses.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Opportunities<span style=3D'mso-tab-count:7'>&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The following are areas where the g=
reatest
opportunities lie for 2007:</span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l29 level1 lfo23;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Government procurements</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l29 level1 lfo23;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Security appliances and software</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l29 level1 lfo23;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Mobile applications</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l29 level1 lfo23;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Broadband applications</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l29 level1 lfo23;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Power Line Communications</span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Resources<span style=3D'mso-tab-count:8'>&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>=
<a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this sector
include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Selec=
t, IT
&amp; Telecom consultancy firm: <a href=3D"http://www.select.com.mx/">http:=
//www.select.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Comis=
i&oacute;n
Federal de Telecomunicaciones &#8211; Telecom Regulator: <a
href=3D"http://www.cofetel.gob.mx/">http://www.cofetel.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>C&aac=
ute;mara
Nacional de la Industria Electr&oacute;nica de Telecomunicaciones e
Inform&aacute;tica: <a href=3D"http://www.canieti.org/">http://www.canieti.=
org/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Telec=
om
Research Consortium: <a href=3D"http://telecom.cide.edu/home.html">http://t=
elecom.cide.edu/home.html</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>US Ce=
nsus
Bureau statistics: <a
href=3D"http://www.census.gov/foreign-trade/statistics/product/atp/select-a=
tpctry.html">http://www.census.gov/foreign-trade/statistics/product/atp/sel=
ect-atpctry.html</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
o Census
Bureau of Statistics: <a href=3D"http://www.inegi.gob.mx/inegi/default.asp"=
>http://www.inegi.gob.mx/inegi/default.asp</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Servi=
cio de
Administraci&oacute;n Tributaria (SAT) Ministry of Internal Revenue: <a
href=3D"http://www.sat.gob.mx/nuevo.html">http://www.sat.gob.mx/nuevo.html<=
/a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Gover=
nment
Procurement: <a href=3D"http://www.tramitanet.gob.mx/">http://www.tramitane=
t.gob.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>AMIPC=
I &#8211; Asociacion
Mexicana de Internet (Mexican Association of Internet): <a
href=3D"http://www.amipci.org.mx/">http://www.amipci.org.mx/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>CANIT=
EC &#8211;
C&aacute;mara Nacional de la Industria de Televisi&oacute;n por Cable: <a
href=3D"http://www.canitec.org/">http://www.canitec.org/</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the
telecommunications sector in Mexico, please contact: </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Juan Carlos Prieto, Commercial Spec=
ialist</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2634</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:juancarlos.prieto@mail.doc.gov">juancarlos.prieto@mail.doc.g=
ov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector13></a><a name=3Dleadingsector1><span style=3D'm=
so-bookmark:
leadingsector13'><span lang=3DEN>Transportation Infrastructure Equipment &a=
mp;
Services</span></span></a><span style=3D'mso-bookmark:leadingsector13'></sp=
an></h2>

<span style=3D'mso-bookmark:leadingsector13'></span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Overview<span style=3D'mso-tab-count:8'>&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The transportation sector is one of=
 the
most dynamic and promising in Mexico and will offer many opportunities to do
business for suppliers of transportation equipment and services.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Newly elected Mexican President Fe=
lipe
Calderon has announced the decision of the new government to undertake the
necessary actions/projects to have an efficient transportation sector, with
modern infrastructure and equipment, and services that compete at the
international level. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Private sector organizations have e=
xpressed
that a combined investment, from private and public sectors, of at least 20=
-30
USD billion per year, will be required to support the infrastructure and
equipment needed by Mexicans in the next 6-10 years.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>As resources are limited compared =
to
requirements, the Government of Mexico (GOM) will give priority to projects
with high impact on efficiency and social/economic development.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2007, GOM will invest 1.2 USD bi=
llion
for road infrastructure, 132 million USD to improve digital communication
networks, 81 million USD for airport security improvement, and about 190
million USD in port infrastructure and dredging.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Other projects already announced f=
or
this presidential period include:</span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l7 level1 lfo24;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Building a new port in Punta Colonet, at an estimated cos=
t of
     1.5 billion USD.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l7 level1 lfo24;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Building the necessary transportation and urban infrastru=
cture
     for Punta Colonet Port operation. Estimated cost 2-3 billion USD.</spa=
n></li>
 <li class=3DMsoNormal style=3D'mso-list:l7 level1 lfo24;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Developing an intermodal corridor between the ports of Sa=
lina
     Cruz, Oaxaca and Coatzacoalcos, Veracruz to offer an alternative for
     inter-oceanic traffic now using the Panama Canal. Estimated cost is 1.5
     billion USD.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l7 level1 lfo24;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Expansion of the Port of Veracruz at an estimated cost of=
 US
     500 million.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l7 level1 lfo24;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Construction of several suburban trains in the Mexico City
     Metropolitan area, at an estimated cost of 5.5 billion USD.</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l7 level1 lfo24;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Construction of new high specification highways, under the
     concession concept, with an estimated investment of 2.7 billion USD.</=
span></li>
 <li class=3DMsoNormal style=3D'mso-list:l7 level1 lfo24;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Ferromex Railroads will invest USD 310 million in new
     locomotives.</span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Imports of equipment for intermodal
transportation have increased significantly in the last 3 years. The import
market will continue growing at two-digit percentages, at least for the next
3-4 years.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>(USD$ Millions)<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN-US>INTERMODAL TRANSPORTATION MARKET</span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border:solid windowtex=
t 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2003</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>1,299.9<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>1,445.4<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'>1,806.3<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp; </span>679.9<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>701.9<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>922.8<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>73.4<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&nbsp; </span>97.8<o:p></o:p=
></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>153.8<o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>693.4<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>841.3<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>1,037.3<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Imports from the U.S.</span></p>
  </td>
  <td width=3D108 valign=3Dtop style=3D'width:81.0pt;border-top:none;border=
-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>506.1<o:p></o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>588.0<o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Ari=
al'><span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp; </span>789.7<o:p></o:p></sp=
an></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Source: 2003-2005 import statistics by harmonized system code, prov=
ided
by Bancomext<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoBodyText><span lang=3DEN-US>Note: Due to changes in Mexican c=
lassification
of imports, current statistics are not entirely comparable with statistics
provided in previous years.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>However, they confirm the market trends showing the constant growth =
of
this sector in the last five years.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Domestic Production and Best Products<span
style=3D'mso-tab-count:4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Domestic production comprises low-t=
ech
equipment (such as front loaders, non-sophisticated traffic control systems,
open and closed freight cars, and rail track fixtures) and a strong product=
ion
of trucks and trailers. International corporations such as Daimler Chrysler,
Freightliner, Mercedes Benz, International and Kenworth manufactured over
66,000 trucks during January-September 2006 and are exporting around 50 per=
cent
of their production. All high capacity cranes, railroad and lifting equipme=
nt
are imported. Under NAFTA, most equipment for intermodal transportation
manufactured in the U.S. can be imported duty free. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Products having the best prospects =
in this
market include: frame mobile and rotary cranes, self-propelled cranes on ti=
res,
front loaders with capacity over 7 tons., mobile platforms, traffic control
equipment, diesel electric locomotives, railway maintenance service vehicle=
s,
rail and tramway freight cars, automatic unloading wagons, covered and clos=
ed
cars, assemblies for railway vehicles, containers, chassis, and trailers.</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Opportunities<span style=3D'mso-tab-count:7'>&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2005, the U.S. supplied 76 perce=
nt of
total imports. This share could be increased if American firms take more ad=
vantage
of NAFTA conditions and become more aggressive in this sector. U.S. Commerc=
ial
Service Mexico can provide information on new projects and support introduc=
tion
of products into this market.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Resources<span style=3D'mso-tab-count:8'>&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>=
<a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this secto=
r are:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Secre=
tariat of
Communications and Transport: <a href=3D"http://www.sct.gob.mx/">www.sct.go=
b.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Assoc=
iation of
the Manufacturers of Buses, Trucks and Trailers: <a
href=3D"http://www.anpact.com/">www.anpact.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the transpo=
rtation
sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Alicia Herrera, Senior Commercial
Specialist</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, Mexico Cit=
y</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2629</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5566-1111</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:alicia.herrera@mail.doc.gov">alicia.herrera@mail.doc.gov</a>=
</span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dleadingsector14><span lang=3DEN>Travel &amp; Tourism Services=
</span></a></h2>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Overview<span style=3D'mso-tab-count:8'>&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>MEXICAN ARRIVALS TO THE U.S (in mil=
lions)</span></p>

<table class=3DMsoNormalTable border=3D0 cellspacing=3D0 cellpadding=3D0 wi=
dth=3D517
 style=3D'width:387.85pt;border-collapse:collapse;mso-padding-alt:0cm 0cm 0=
cm 0cm'>
 <tr style=3D'height:38.25pt'>
  <td width=3D93 valign=3Dbottom style=3D'width:69.9pt;border:solid windowt=
ext 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:.85pt .85pt 0cm .85pt;
  height:38.25pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0p=
t'>YEAR</span><span
  lang=3DEN-US style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"=
Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D136 valign=3Dbottom style=3D'width:101.95pt;border:solid wind=
owtext 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:.85pt .85pt 0cm .85pt;height:38.25pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>2004</span><span lang=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dbottom style=3D'width:108.0pt;border:solid windo=
wtext 1.0pt;
  border-left:none;mso-border-top-alt:solid windowtext .5pt;mso-border-bott=
om-alt:
  solid windowtext .5pt;mso-border-right-alt:solid windowtext .5pt;padding:
  .85pt .85pt 0cm .85pt;height:38.25pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>2005</span><span lang=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dbottom style=3D'width:108.0pt;border:solid windo=
wtext 1.0pt;
  border-left:none;mso-border-top-alt:solid windowtext .5pt;mso-border-bott=
om-alt:
  solid windowtext .5pt;mso-border-right-alt:solid windowtext .5pt;padding:
  .85pt .85pt 0cm .85pt;height:38.25pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>2006 (estimated)</span><span lang=3DE=
N-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'><o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'height:12.75pt'>
  <td width=3D93 nowrap valign=3Dbottom style=3D'width:69.9pt;border-top:no=
ne;
  border-left:solid windowtext 1.0pt;border-bottom:none;border-right:solid =
windowtext 1.0pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0p=
t'>Total
  Arrivals</span><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0pt;mso-=
fareast-font-family:
  "Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D136 nowrap valign=3Dbottom style=3D'width:101.95pt;border:non=
e;
  border-right:solid windowtext 1.0pt;mso-border-left-alt:solid windowtext =
.5pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoBodyText3 align=3Dright style=3D'text-align:right'><span la=
ng=3DEN-US
  style=3D'font-size:12.0pt;font-family:"Times New Roman","serif"'>11,906</=
span><span
  lang=3DEN-US style=3D'font-size:12.0pt;font-family:"Times New Roman","ser=
if";
  mso-fareast-font-family:"Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border:none;
  border-right:solid windowtext 1.0pt;mso-border-right-alt:solid windowtext=
 .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoBodyText3 align=3Dright style=3D'text-align:right'><span la=
ng=3DEN-US
  style=3D'font-size:12.0pt;font-family:"Times New Roman","serif"'>12,858</=
span><span
  lang=3DEN-US style=3D'font-size:12.0pt;font-family:"Times New Roman","ser=
if";
  mso-fareast-font-family:"Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border:none;
  border-right:solid windowtext 1.0pt;mso-border-top-alt:solid windowtext .=
5pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-top-alt:solid window=
text .5pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'>14,063<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'height:12.75pt'>
  <td width=3D93 nowrap valign=3Dbottom style=3D'width:69.9pt;border-top:no=
ne;
  border-left:solid windowtext 1.0pt;border-bottom:none;border-right:solid =
windowtext 1.0pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0p=
t'>%
  Change</span><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0pt;mso-fa=
reast-font-family:
  "Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D136 nowrap valign=3Dbottom style=3D'width:101.95pt;border:non=
e;
  border-right:solid windowtext 1.0pt;mso-border-left-alt:solid windowtext =
.5pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoBodyText align=3Dright style=3D'text-align:right'><span lan=
g=3DEN-US>13%</span><span
  lang=3DEN-US style=3D'mso-fareast-font-family:"Arial Unicode MS"'><o:p></=
o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border:none;
  border-right:solid windowtext 1.0pt;mso-border-right-alt:solid windowtext=
 .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoBodyText align=3Dright style=3D'text-align:right'><span lan=
g=3DEN-US>8%</span><span
  lang=3DEN-US style=3D'mso-fareast-font-family:"Arial Unicode MS"'><o:p></=
o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border:none;
  border-right:solid windowtext 1.0pt;mso-border-right-alt:solid windowtext=
 .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>9%</span><span lang=3DEN-US style=3D'=
mso-bidi-font-size:
  10.0pt;mso-fareast-font-family:"Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'height:12.75pt'>
  <td width=3D93 nowrap valign=3Dbottom style=3D'width:69.9pt;border-top:no=
ne;
  border-left:solid windowtext 1.0pt;border-bottom:none;border-right:solid =
windowtext 1.0pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0p=
t'>Air
  arrivals</span><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0pt;mso-=
fareast-font-family:
  "Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D136 nowrap valign=3Dbottom style=3D'width:101.95pt;border:non=
e;
  border-right:solid windowtext 1.0pt;mso-border-left-alt:solid windowtext =
.5pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoBodyText align=3Dright style=3D'text-align:right'><span lan=
g=3DEN-US>1,494</span><span
  lang=3DEN-US style=3D'mso-fareast-font-family:"Arial Unicode MS"'><o:p></=
o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border:none;
  border-right:solid windowtext 1.0pt;mso-border-left-alt:solid windowtext =
.5pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoBodyText align=3Dright style=3D'text-align:right'><span lan=
g=3DEN-US>1,668</span><span
  lang=3DEN-US style=3D'mso-fareast-font-family:"Arial Unicode MS"'><o:p></=
o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border:none;
  border-right:solid windowtext 1.0pt;mso-border-left-alt:solid windowtext =
.5pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'>N/A<o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes;height:12.75pt'>
  <td width=3D93 nowrap valign=3Dbottom style=3D'width:69.9pt;border:solid =
windowtext 1.0pt;
  border-top:none;mso-border-left-alt:solid windowtext .5pt;mso-border-bott=
om-alt:
  solid windowtext .5pt;mso-border-right-alt:solid windowtext .5pt;padding:
  .85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0p=
t'>%
  Change</span><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0pt;mso-fa=
reast-font-family:
  "Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D136 nowrap valign=3Dbottom style=3D'width:101.95pt;border-top=
:none;
  border-left:none;border-bottom:solid windowtext 1.0pt;border-right:solid =
windowtext 1.0pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-left-alt:solid windo=
wtext .5pt;
  mso-border-bottom-alt:solid windowtext .5pt;mso-border-right-alt:solid wi=
ndowtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoBodyText align=3Dright style=3D'text-align:right'><span lan=
g=3DEN-US>10%</span><span
  lang=3DEN-US style=3D'mso-fareast-font-family:"Arial Unicode MS"'><o:p></=
o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border-top:=
none;
  border-left:none;border-bottom:solid windowtext 1.0pt;border-right:solid =
windowtext 1.0pt;
  mso-border-bottom-alt:solid windowtext .5pt;mso-border-right-alt:solid wi=
ndowtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoBodyText align=3Dright style=3D'text-align:right'><span lan=
g=3DEN-US>12%</span><span
  lang=3DEN-US style=3D'mso-fareast-font-family:"Arial Unicode MS"'><o:p></=
o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border-top:=
none;
  border-left:none;border-bottom:solid windowtext 1.0pt;border-right:solid =
windowtext 1.0pt;
  mso-border-bottom-alt:solid windowtext .5pt;mso-border-right-alt:solid wi=
ndowtext .5pt;
  padding:.85pt .85pt 0cm .85pt;height:12.75pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>N/A</span><span lang=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'><o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Source: U.S. Department of Commerce, ITA, Office of Travel and Tour=
ism
Industries; Bureau of Economic Analysis.<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Note: N/A &#8211; Not available data.<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>MEXICAN ARRIVALS TO THE U.S. VIA AI=
R --
TRENDS IN RECEIPTS (USD millions)</span></p>

<table class=3DMsoNormalTable border=3D0 cellspacing=3D0 cellpadding=3D0 wi=
dth=3D517
 style=3D'width:388.0pt;border-collapse:collapse;mso-padding-alt:0cm 0cm 0c=
m 0cm'>
 <tr style=3D'height:38.25pt'>
  <td width=3D93 valign=3Dbottom style=3D'width:69.75pt;border:solid window=
text 1.0pt;
  border-right:none;mso-border-top-alt:solid windowtext .5pt;mso-border-lef=
t-alt:
  solid windowtext .5pt;mso-border-bottom-alt:solid windowtext .5pt;padding:
  1.0pt 1.0pt 0cm 1.0pt;height:38.25pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0p=
t'>YEAR</span><span
  lang=3DEN-US style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"=
Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D136 valign=3Dbottom style=3D'width:102.25pt;border:solid wind=
owtext 1.0pt;
  border-left:none;mso-border-top-alt:solid windowtext .5pt;mso-border-bott=
om-alt:
  solid windowtext .5pt;mso-border-right-alt:solid windowtext .5pt;padding:
  1.0pt 1.0pt 0cm 1.0pt;height:38.25pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>2004</span><span lang=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dbottom style=3D'width:108.0pt;border:solid windo=
wtext 1.0pt;
  border-left:none;mso-border-top-alt:solid windowtext .5pt;mso-border-bott=
om-alt:
  solid windowtext .5pt;mso-border-right-alt:solid windowtext .5pt;padding:
  1.0pt 1.0pt 0cm 1.0pt;height:38.25pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>2005</span><span lang=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D144 valign=3Dbottom style=3D'width:108.0pt;border:solid windo=
wtext 1.0pt;
  border-left:none;mso-border-top-alt:solid windowtext .5pt;mso-border-bott=
om-alt:
  solid windowtext .5pt;mso-border-right-alt:solid windowtext .5pt;padding:
  1.0pt 1.0pt 0cm 1.0pt;height:38.25pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>2006 (estimated)</span><span lang=3DE=
N-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'><o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'height:12.75pt'>
  <td width=3D93 nowrap valign=3Dbottom style=3D'width:69.75pt;border:none;
  border-left:solid windowtext 1.0pt;mso-border-left-alt:solid windowtext .=
5pt;
  padding:1.0pt 1.0pt 0cm 1.0pt;height:12.75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0p=
t'>Receipts</span><span
  lang=3DEN-US style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"=
Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D136 nowrap valign=3Dtop style=3D'width:102.25pt;border:none;b=
order-right:
  solid windowtext 1.0pt;mso-border-right-alt:solid windowtext .5pt;padding:
  1.0pt 1.0pt 0cm 1.0pt;height:12.75pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US>$6,257
  </span></p>
  </td>
  <td width=3D144 nowrap valign=3Dtop style=3D'width:108.0pt;border:none;bo=
rder-right:
  solid windowtext 1.0pt;mso-border-right-alt:solid windowtext .5pt;padding:
  1.0pt 1.0pt 0cm 1.0pt;height:12.75pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US>$7,200
  </span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border:none;
  border-right:solid windowtext 1.0pt;mso-border-right-alt:solid windowtext=
 .5pt;
  padding:1.0pt 1.0pt 0cm 1.0pt;height:12.75pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt'>N/A</span><span lang=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'><o:p></o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes;height:12.75pt'>
  <td width=3D93 nowrap valign=3Dbottom style=3D'width:69.75pt;border-top:n=
one;
  border-left:solid windowtext 1.0pt;border-bottom:solid windowtext 1.0pt;
  border-right:none;mso-border-left-alt:solid windowtext .5pt;mso-border-bo=
ttom-alt:
  solid windowtext .5pt;padding:1.0pt 1.0pt 0cm 1.0pt;height:12.75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0p=
t'>%
  Change</span><span lang=3DEN-US style=3D'mso-bidi-font-size:10.0pt;mso-fa=
reast-font-family:
  "Arial Unicode MS"'><o:p></o:p></span></p>
  </td>
  <td width=3D136 nowrap style=3D'width:102.25pt;border-top:none;border-lef=
t:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-bottom-alt:solid windowtext .5pt;mso-border-right-alt:solid wi=
ndowtext .5pt;
  padding:1.0pt 1.0pt 0cm 1.0pt;height:12.75pt'>
  <p class=3Dtexto align=3Dright style=3D'text-align:right'><span lang=3DES=
-TRAD>3% </span><span
  lang=3DES-TRAD style=3D'mso-fareast-font-family:"Arial Unicode MS"'><o:p>=
</o:p></span></p>
  </td>
  <td width=3D144 nowrap style=3D'width:108.0pt;border-top:none;border-left=
:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-bottom-alt:solid windowtext .5pt;mso-border-right-alt:solid wi=
ndowtext .5pt;
  padding:1.0pt 1.0pt 0cm 1.0pt;height:12.75pt'>
  <p class=3Dtexto align=3Dright style=3D'text-align:right'><span lang=3DES=
-TRAD>11% </span><span
  lang=3DES-TRAD style=3D'mso-fareast-font-family:"Arial Unicode MS"'><o:p>=
</o:p></span></p>
  </td>
  <td width=3D144 nowrap valign=3Dbottom style=3D'width:108.0pt;border-top:=
none;
  border-left:none;border-bottom:solid windowtext 1.0pt;border-right:solid =
windowtext 1.0pt;
  mso-border-bottom-alt:solid windowtext .5pt;mso-border-right-alt:solid wi=
ndowtext .5pt;
  padding:1.0pt 1.0pt 0cm 1.0pt;height:12.75pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right'><span lang=
=3DEN-US
  style=3D'mso-bidi-font-size:10.0pt;mso-fareast-font-family:"Arial Unicode=
 MS"'>N/A<o:p></o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>Source: U.S. Department of Commerce, ITA, Office of Travel and Tour=
ism
Industries; Bureau of Economic Analysis.<o:p></o:p></span></p>

<p class=3DMsoBodyText><span lang=3DEN-US>Note: N/A &#8211; Not available d=
ata.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The United States is the most impor=
tant
destination for Mexican travelers.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>In 2005, more than 12.8 million Mexicans traveled to the United Stat=
es,
representing 26% of the total foreign arrivals to the country.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico is the second source of
international travelers to the United States just after Canada.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Additionally, travel to the U.S.
interior grew by 15% to register 4,605,268 arrivals.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The solid growth ranked Mexican tr=
avel
to the U.S. interior larger than the number one overseas visitor market - t=
he
United Kingdom (4,344,957 arrivals).<span style=3D'mso-spacerun:yes'>&nbsp;
</span>This is good news for U.S. destinations and tourism services.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. companies need to market them=
selves
aggressively in Mexico to tap into this lucrative market.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Importantly, in 2005 spending by Me=
xican
travelers totaled $8.5 billion, with almost $7.2 billion (84% of this amoun=
t)
spent by air travelers.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This =
figure
shows the economic importance of Mexican air travelers.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. travel and tourism companies =
should
consider this in their efforts to prepare marketing strategies and promotio=
nal
packages to potential Mexican tourists.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Best Products/Services<span style=3D'mso-tab-count:6=
'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>It is important to differentiate be=
tween
land and air Mexican travelers to the United States.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexican land tourists usually trav=
el to
the southern states for a short time period in order to visit relatives or
friends and do shopping.<span style=3D'mso-spacerun:yes'>&nbsp; </span>On t=
he
other hand, air travelers do visit family but also make pleasure trips.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>These tourists are particularly
lucrative since they are the ones who generate most of the travel and touri=
sm
receipts to the United States.<span style=3D'mso-spacerun:yes'>&nbsp; </spa=
n>Air
travelers usually stay longer and buy packages that include transportation,
lodging, shopping, and recreational activities.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2005, of all U.S. regions, the P=
acific
and South Atlantic maintained the largest market shares for Mexican travele=
rs
to the United States.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Within =
these
regions, California remained the most frequently visited state with 29.7% of
the market.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Nevertheless, the=
 most
popular cities, Los Angeles (no data for 2005), New York (11.5%), and Miami
(9.7%) are distributed among 3 states.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Opportunities<span style=3D'mso-tab-count:7'>&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexicans are drawn to the United St=
ates
because of its destination diversity, infrastructure and excellent travel a=
nd
tourism services.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In particul=
ar,
Mexicans enjoy destinations that offer shopping, gambling, entertainment,
amusement parks and a cosmopolitan environment.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Natural parks and other outdoor
destinations are typically not as attractive for Mexicans.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Skiing is the notable exception &#=
8211;
Mexicans flock to resorts in Colorado and New Mexico in the winter months to
ski.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Wholesale operators continue to be =
the most
important distribution channel in the Mexican travel and tourism market.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>Wholesalers sell their packages to=
 the
travel agents who provide their services to the end consumers.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexicans prefer to make their trav=
eling
arrangements through a travel agent, since they are not confident about
providing their credit card information through the Internet.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>It is crucial to establish and main=
tain a
personal relationship with the travel and tourism companies contacted in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. travel and touri=
sm
companies must undertake frequent trips to Mexico and establish a comprehen=
sive
follow-up strategy to obtain sufficient exposure in the Mexican market and
increase sales.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Handing out
promotional material at one trade show is not likely to generate any result=
s.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Resources<span style=3D'mso-tab-count:8'>&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>=
<a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Some useful resources in this secto=
r are:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Offic=
e of Travel
and Tourism Industries: <a href=3D"http://tinet.ita.doc.gov/">http://tinet.=
ita.doc.gov</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Trave=
l Industry
Association of America (TIA): <a href=3D"http://www.tia.org/">http://www.ti=
a.org</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Visit=
 USA
Committee Mexico: <a href=3D"http://www.visitusa.com.mx/">http://www.visitu=
sa.com.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>ExpoV=
acaciones
USA Trade Show: <a href=3D"http://www.expovacacionesusa.com/">http://www.ex=
povacacionesusa.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more information on the travel =
and
tourism sector in Mexico, please contact:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Juan Carlos Ruiz, Commercial Assist=
ant</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Commercial Service, U.S. Embas=
sy
Mexico City</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5140-2654</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5535-1139</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"mailto:Juancarlos.ruiz@mail.doc.gov">Juancarlos.ruiz@mail.doc.gov</=
a></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dagsectors></a><span lang=3DEN>Agricultural Sectors<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Overview<span style=3D'mso-tab-count:8'>&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is the second largest market=
 for
U.S. agricultural products, behind only Canada.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In 2005, U.S. agricultural exports=
 to
Mexico reached a record $9.4 billion and will surpass that figure in 2006 w=
ith
export pace nearly 15 percent stronger through November 2006 than the same
period the previous year.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Sin=
ce
1992, U.S. agricultural and food exports to Mexico have been climbing at an
annual rate of almost 10 percent.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The most important exports in terms of total sales have been coarse
grains, red meats, and soybeans representing approximately 30 percent of to=
tal
exports to Mexico. Cotton, wheat, poultry and dairy products are also stron=
gly
represented in the trade mix.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Additional data is provided on a few key sectors below.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Red meat (beef &amp; pork)</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Poultry meat (chicken &amp; poultry=
)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fresh fruit (apples, pears, grapes)=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Red meat (1000 Metric Tons) </span>=
</p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 (estimated)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size 1/</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3.924</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,970</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>4,090</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,249</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,315</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,375</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>70</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>90</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>100</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>745</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>745</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>815</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>1/USDA/FAS Livestock and Poultry:<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span>World Markets and Trade <o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is the United States&#8217; =
primary
market for beef and pork.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Beef
exports continue to increase to record levels after falling in 2004 due to =
the
BSE finding in the US in December 2003.<span style=3D'mso-spacerun:yes'>&nb=
sp;
</span>Pork exports to Mexico increased dramatically in 2004, and that grow=
th
continued into 2006.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Poultry meat (Chicken &amp; Turkey)=
 (1000
Metric Tons) </span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005 (estimated)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size 1/</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,869</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,070</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,215</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,402</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,510</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,625</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>0</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>470</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>559</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>590</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>1/USDA/FAS Livestock and Poultry:<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span>World Markets and Trade <o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The United States continues to be b=
y far
the largest supplier of chicken and turkey meat to Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Main foreign competitor is Chilean=
 whole
turkeys for the Christmas season and boneless chicken breast.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Except for the United States and C=
hile,
Mexico has excluded the poultry sector from numerous free trade agreements
signed with other countries.</span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'mso-special-character:lin=
e-break;
page-break-before:always'>
</span>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fresh fruit (apples, pears, grapes)=
 (1000
Metric Tons) </span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border:solid windowtext=
 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2004</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2005</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2006 (estimated)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Market Size 1/</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>808</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>890</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>997</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Local Production</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>691</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>730</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>797</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Exports (grapes)</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>122</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>190</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>150</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D187 valign=3Dtop style=3D'width:140.4pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Imports</span></p>
  </td>
  <td width=3D96 valign=3Dtop style=3D'width:72.0pt;border-top:none;border-=
left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>333</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>349</span></p>
  </td>
  <td width=3D144 valign=3Dtop style=3D'width:108.0pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>350</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'>1/ USDA/FAS World Markets and Trade<o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The United States exported over USD=
$350
million in fresh fruit to Mexico in 2005, with apples accounting for the
lion&#8217;s share.<span style=3D'mso-spacerun:yes'>&nbsp; </span>However,
anti-dumping duties for Red and Golden Delicious varieties from the United
States, which reach as high as 46.58 percent for some exporters, continue to
impact the market. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US style=3D'mso-bidi-font-family:Arial'>Best Prospects/=
Services<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a><o=
:p></o:p></span></h3>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'mso-bidi-font-family:Arial=
'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'mso-layout-grid-align:none;text-autospace:non=
e'><span
lang=3DEN-US style=3D'mso-bidi-font-size:14.5pt;color:black'>U.S. consumer-=
ready
product sales continued their climb to record levels, increasing 23 percent=
 to
$4.2 billion in 2005 with record sales across many product categories: red
meats, poultry meat, dairy, fresh vegetables, processed meat and wine and
beer.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In addition, record sal=
es
were registered for intermediate products.<b><o:p></o:p></b></span></p>

<p class=3DMsoNormal style=3D'mso-layout-grid-align:none;text-autospace:non=
e'><b><span
lang=3DEN-US style=3D'mso-bidi-font-size:14.5pt;color:black'><o:p>&nbsp;</o=
:p></span></b></p>

<p class=3DMsoBodyText2 align=3Dcenter style=3D'text-align:center'><span la=
ng=3DEN-US
style=3D'font-size:12.0pt;mso-bidi-font-size:10.0pt'>US EXPORTS OF CONSUMER=
 READY
AND INTERMEDIATE AGRICULTURAL PRODUCTS<o:p></o:p></span></p>

<p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;tab-stops:43=
2.0pt;
mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US
style=3D'font-size:10.0pt;mso-bidi-font-size:12.0pt;color:black'>(In Thousa=
nds of
US Dollars; Calendar Year Information)<o:p></o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid green 1=
.5pt;
 mso-yfti-tbllook:191;mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-inside=
h:
 1.5pt solid green;mso-border-insidev:1.5pt solid green'>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Product</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border:solid green 1.5p=
t;
  border-left:none;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt =
0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;tab-stops:=
432.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>2003</=
span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border:solid green 1.5p=
t;
  border-left:none;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt =
0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;tab-stops:=
432.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>2004</=
span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border:solid green 1.5p=
t;
  border-left:none;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt =
0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;tab-stops:=
432.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>2005</=
span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border:solid green 1.5p=
t;
  border-left:none;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt =
0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;tab-stops:=
432.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>Jan-No=
v 05</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border:solid green 1.5=
pt;
  border-left:none;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt =
0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dcenter style=3D'text-align:center;tab-stops:=
432.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>Jan-No=
v 06</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Dairy Products</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>251,38=
5</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>387,26=
3</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>507,45=
4</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>468,16=
0<span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp; </span></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>400,89=
9</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Poultry Meat</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>259,53=
6</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>330,65=
2</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>451,59=
9</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>410,06=
9<span
  style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&nbsp; </span></span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>417,00=
4</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Snack Foods</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>179,65=
7</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>190,60=
6</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>226,33=
4</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>206,38=
0</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>223,14=
3</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Processed Fruits and Vegetables</=
span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>388,21=
8</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>407,60=
5</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>407,10=
3</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>366,82=
5</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>393,69=
7</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Wine/beer</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>57,299=
</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>66,006=
</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>75,249=
</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>70,021=
</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>77,272=
</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Red Meats</span></p>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>(fresh/chilled/frozen)</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>1,126,=
343</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>1,067,=
870</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>1,339,=
888</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>1,198,=
275</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>1,505,=
411</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Red Meats</span></p>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>(prepared/preserved)</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>157,08=
7</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>91,624=
</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>97,108=
</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>87,238=
</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>97,993=
</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Rice</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>140,39=
8</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>182,82=
3</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>165,43=
5</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>151,50=
8</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>186,15=
0</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Soybean Meal</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>150,81=
2</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>216,47=
7</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>321,21=
9</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>292,34=
3</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>346,65=
3</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Wheat flour</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>9,998<=
/span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>7,846<=
/span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>8,709<=
/span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>7,962<=
/span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>9,567<=
/span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D161 valign=3Dtop style=3D'width:120.4pt;border:solid green 1.=
5pt;
  border-top:none;mso-border-top-alt:solid green 1.5pt;padding:0cm 5.4pt 0c=
m 5.4pt'>
  <p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:non=
e;
  text-autospace:none'><span lang=3DEN-US>Forest products</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>396,81=
7</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>458,61=
4</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.5pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>513,27=
2</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.8pt;border-top:none;border-=
left:none;
  border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;mso-border=
-top-alt:
  solid green 1.5pt;mso-border-left-alt:solid green 1.5pt;padding:0cm 5.4pt=
 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>467,80=
5</span></p>
  </td>
  <td width=3D84 valign=3Dtop style=3D'width:62.75pt;border-top:none;border=
-left:
  none;border-bottom:solid green 1.5pt;border-right:solid green 1.5pt;
  mso-border-top-alt:solid green 1.5pt;mso-border-left-alt:solid green 1.5p=
t;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal align=3Dright style=3D'text-align:right;tab-stops:43=
2.0pt;
  mso-layout-grid-align:none;text-autospace:none'><span lang=3DEN-US>561,21=
9</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal style=3D'tab-stops:432.0pt;mso-layout-grid-align:none;
text-autospace:none'><span lang=3DEN-US style=3D'color:black'>*Indicates the
percent growth shown in the first eleven months of 2006 as compared to the =
same
period in 2004. <o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi-=
font-size:
12.0pt'><o:p>&nbsp;</o:p></span></p>

<h3><span lang=3DEN-US>Resources<span style=3D'mso-tab-count:8'>&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>=
<a
href=3D"#ch4"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The USDA&#8217;s Foreign Agricultur=
al
Service offices in Mexico &#8211; the Agricultural Trade Offices in Mexico =
City
and Monterrey, respectively, and the Office of Agricultural Affairs at the =
US
Embassy in Mexico City, publish more than 100 market reports annually.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The reports can be accessed at:</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"http://www.fas.usda.gov/scriptsw/attacherep/default.asp">www.fas.us=
da.gov/scriptsw/attacherep/default.asp</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>A sampling of useful reports from 2=
006
follows:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;border:none;mso-border-alt:solid windowt=
ext .5pt;
 mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-insideh:.5pt solid windowte=
xt;
 mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Title</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Number</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-left:none;mso-border-left-alt:solid windowtext .5pt;mso-border-alt:
  solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Date</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Grain &amp; Feed Annual Report</s=
pan></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>MX5019</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>March 8, 2006</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Sugar Annual Report</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>MX5029</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>April 10, 2006</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Oilseeds &amp; Products Annual</s=
pan></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>MX6028</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>April 13, 2006</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Food and Agriculture Import Regul=
ations
  and Standards</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>MX6059</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>July 27, 2006</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Livestock &amp; Products Annual</=
span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>MX6088</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>August 31, 2006</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Exporter Guide</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>MX6311</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>October 3, 2006</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Solid Wood Products Marketing Ann=
ual </span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>MX6089</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>October 31, 2006</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-top-alt:solid windowtext .5pt;mso-border-alt:s=
olid windowtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Dairy Annual</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>MX6092</span></p>
  </td>
  <td width=3D197 valign=3Dtop style=3D'width:147.6pt;border-top:none;borde=
r-left:
  none;border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1=
.0pt;
  mso-border-top-alt:solid windowtext .5pt;mso-border-left-alt:solid window=
text .5pt;
  mso-border-alt:solid windowtext .5pt;padding:0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>November 1, 2006</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><o:p>&nbsp=
;</o:p></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><a href=3D=
"#toc"><span
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'>Return to table of contents</span><=
/a></span></p>

</div>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;mso-fareast-languag=
e:
EN-US;mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:a=
uto;
mso-break-type:section-break'>
</span>

<div class=3DSection8>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><o:p>&nbsp=
;</o:p></span></p>

</div>

<b><span lang=3DEN-US style=3D'font-size:16.0pt;mso-bidi-font-size:24.0pt;
font-family:"Arial Unicode MS","sans-serif";mso-font-kerning:18.0pt;mso-ans=
i-language:
EN-US;mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:auto;mso-break-type:section-break'>
</span></b>

<div class=3DSection9><span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi=
-font-size:
12.0pt;font-family:"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:always'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch5></a><span lang=
=3DEN-US
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'><a href=3D"#toc">Return to table of
contents</a><o:p></o:p></span></p>

<h1><span lang=3DEN-US>Chapter 5: Trade Regulations and Standards</span></h=
1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#fifteen">Import Tariffs</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#sixteen">Trade Barriers</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#seventeen">Import Requirements and Documentat=
ion</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#eighteen">U.S. Export Controls</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#tempentry">Temporary Entry</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#twentyone">Labeling and Marking Requirements<=
/a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#twentythree">Prohibited and Restricted Import=
s</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#twentyfour">Customs Regulations and Contact I=
nformation</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#twentyfive">Standards</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#tradeagreements">Trade Agreements</a></span><=
/li>
 <li class=3DMsoNormal style=3D'mso-list:l34 level1 lfo2;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#twentysix">Web Resources</a></span></li>
</ul>

<h2><a name=3Dfifteen></a><span lang=3DEN>Import Tariffs<span style=3D'mso-=
tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch5">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Under the terms of the NAFTA, Mexico
eliminated tariffs on all remaining industrial and most agricultural produc=
ts
imported from the United States on January 1, 2003.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Remaining tariffs and non-tariff
restrictions on corn, sugar, milk powder, orange juice, and dried beans wil=
l be
phased out on January 1, 2008.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp;
</span>Mexico&#8217;s average duty on U.S. goods has fallen from 10 percent
prior to the NAFTA to less than 0.1 percent today.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Some examples of items still subje=
ct to
tariff treatment are:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<div align=3Dcenter>

<table class=3DMsoNormalTable border=3D0 cellspacing=3D0 cellpadding=3D0
 style=3D'border-collapse:collapse;mso-padding-alt:0cm 3.5pt 0cm 3.5pt'>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DEN-US
  style=3D'font-size:11.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>HS Code<o:p></o:p></span></b></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DEN-US
  style=3D'font-size:11.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>Description<o:p></o:p></span></b></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DEN-US
  style=3D'font-size:11.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>2006<o:p></o:p></span></b></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DEN-US
  style=3D'font-size:11.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>2007<o:p></o:p></span></b></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DEN-US
  style=3D'font-size:11.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>2008<o:p></o:p></span></b></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0402.10.01<o:p>=
</o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto style=3D'margin-top:1.2pt;margin-right:0cm;margin-bottom=
:1.4pt;
  margin-left:0cm;text-indent:0cm;line-height:normal'><span lang=3DEN-US
  style=3D'font-size:10.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>Milk powdered or tableted<o:p></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>23.5%<o:p></o:p=
></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>11.8%<o:p></o:p=
></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0402.21.01<o:p>=
</o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto style=3D'margin-top:1.2pt;margin-right:0cm;margin-bottom=
:1.4pt;
  margin-left:0cm;text-indent:0cm;line-height:normal'><span lang=3DEN-US
  style=3D'font-size:10.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>Milk powdered or tableted <o:p></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>23.5%<o:p></o:p=
></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>11.8%<o:p></o:p=
></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.2pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto style=3D'margin-top:1.0pt;margin-right:0cm;margin-bottom=
:1.4pt;
  margin-left:0cm;text-indent:0cm;line-height:normal'><span lang=3DEN-US
  style=3D'font-size:10.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>0713.33.02<o:p></o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>White beans, ex=
cept
  0713.33.01<o:p></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>23.5%<o:p></o:p=
></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>11.8%<o:p></o:p=
></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto style=3D'margin-top:1.0pt;margin-right:0cm;margin-bottom=
:1.4pt;
  margin-left:0cm;text-indent:0cm;line-height:normal'><span lang=3DEN-US
  style=3D'font-size:10.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>0713.33.03<o:p></o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Black beans,
  except<span style=3D'mso-spacerun:yes'>&nbsp; </span>0713.33.01.<o:p></o:=
p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>23.5%<o:p></o:p=
></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>11.8%<o:p></o:p=
></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto style=3D'margin-top:1.0pt;margin-right:0cm;margin-bottom=
:1.4pt;
  margin-left:0cm;text-indent:0cm;line-height:normal'><span lang=3DEN-US
  style=3D'font-size:10.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>0713.33.99<o:p></o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Beans not elsew=
here
  specified or included <o:p></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>23.5%<o:p></o:p=
></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>11.8%<o:p></o:p=
></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto style=3D'margin-top:1.0pt;margin-right:0cm;margin-bottom=
:1.4pt;
  margin-left:0cm;text-indent:0cm;line-height:normal'><span lang=3DEN-US
  style=3D'font-size:10.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>1005.90.03<o:p></o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Yellow corn<o:p=
></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>36.3%<o:p></o:p=
></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>18.2%<o:p></o:p=
></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto style=3D'margin-top:1.0pt;margin-right:0cm;margin-bottom=
:1.4pt;
  margin-left:0cm;text-indent:0cm;line-height:normal'><span lang=3DEN-US
  style=3D'font-size:10.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>1005.90.04<o:p></o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>White corn (for
  four)<o:p></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>36.3%<o:p></o:p=
></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>18.2%<o:p></o:p=
></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto style=3D'margin-top:1.0pt;margin-right:0cm;margin-bottom=
:1.4pt;
  margin-left:0cm;text-indent:0cm;line-height:normal'><span lang=3DEN-US
  style=3D'font-size:10.0pt;mso-bidi-font-size:8.0pt;mso-bidi-font-family:A=
rial;
  mso-ansi-language:EN-US'>1005.90.99<o:p></o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Corn not elsewh=
ere
  specified or included <o:p></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>36.3%<o:p></o:p=
></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>18.2%<o:p></o:p=
></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid;mso-row-margin-right:.35pt'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1604.14.01<o:p>=
</o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Tuna (genus &#8=
220;<i
  style=3D'mso-bidi-font-style:normal'>Thunus</i>&#8221;), except<span
  style=3D'mso-spacerun:yes'>&nbsp; </span>1604.14.02.<o:p></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2.6%<o:p></o:p>=
</span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1.3%<o:p></o:p>=
</span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
  <td style=3D'mso-cell-special:placeholder;border:none;padding:0cm 0cm 0cm=
 0cm'
  width=3D0><p class=3D'MsoNormal'>&nbsp;</td>
 </tr>
 <tr style=3D'page-break-inside:avoid;mso-row-margin-right:.35pt'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1604.14.02<o:p>=
</o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Tuna filets (ge=
nus
  &#8220;<i style=3D'mso-bidi-font-style:normal'>Thunus</i>&#8221;).<o:p></=
o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2.6%<o:p></o:p>=
</span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1.3%<o:p></o:p>=
</span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
  <td style=3D'mso-cell-special:placeholder;border:none;padding:0cm 0cm 0cm=
 0cm'
  width=3D0><p class=3D'MsoNormal'>&nbsp;</td>
 </tr>
 <tr style=3D'page-break-inside:avoid;mso-row-margin-right:.35pt'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1604.14.03<o:p>=
</o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Tuna filets (ge=
nus
  &#8220;<i style=3D'mso-bidi-font-style:normal'>Euthynnus</i>&#8221;
  variety<span style=3D'mso-spacerun:yes'>&nbsp; </span>&#8220;<i
  style=3D'mso-bidi-font-style:normal'>Katsowonus pelamis</i>&#8221;.<o:p><=
/o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2.6%<o:p></o:p>=
</span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1.3%<o:p></o:p>=
</span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
  <td style=3D'mso-cell-special:placeholder;border:none;padding:0cm 0cm 0cm=
 0cm'
  width=3D0><p class=3D'MsoNormal'>&nbsp;</td>
 </tr>
 <tr style=3D'page-break-inside:avoid;mso-row-margin-right:.35pt'>
  <td width=3D76 valign=3Dtop style=3D'width:57.25pt;padding:0cm 3.5pt 0cm =
3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1604.14.99<o:p>=
</o:p></span></p>
  </td>
  <td width=3D217 colspan=3D2 valign=3Dtop style=3D'width:163.0pt;padding:0=
cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Tuna not elsewh=
ere
  specified or included <o:p></o:p></span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.4pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2.6%<o:p></o:p>=
</span></p>
  </td>
  <td width=3D61 colspan=3D2 valign=3Dtop style=3D'width:45.65pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1.3%<o:p></o:p>=
</span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
  <td style=3D'mso-cell-special:placeholder;border:none;padding:0cm 0cm 0cm=
 0cm'
  width=3D0><p class=3D'MsoNormal'>&nbsp;</td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D81 colspan=3D2 valign=3Dtop style=3D'width:61.05pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2009.11.01<o:p>=
</o:p></span></p>
  </td>
  <td width=3D214 colspan=3D2 valign=3Dtop style=3D'width:160.25pt;padding:=
0cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Frozen orange j=
uice<o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.0pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>3.14 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1.57 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D81 colspan=3D2 valign=3Dtop style=3D'width:61.05pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2009.12.01<o:p>=
</o:p></span></p>
  </td>
  <td width=3D214 colspan=3D2 valign=3Dtop style=3D'width:160.25pt;padding:=
0cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Non-frozen oran=
ge
  juice with concentration smaller than or equal to 1.5<o:p></o:p></span></=
p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.0pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0.70 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0.35 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D81 colspan=3D2 valign=3Dtop style=3D'width:61.05pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2009.12.99<o:p>=
</o:p></span></p>
  </td>
  <td width=3D214 colspan=3D2 valign=3Dtop style=3D'width:160.25pt;padding:=
0cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Non-frozen oran=
ge
  juice not elsewhere specified or included<o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.0pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1.23 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0.61 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D81 colspan=3D2 valign=3Dtop style=3D'width:61.05pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2009.19.01<o:p>=
</o:p></span></p>
  </td>
  <td width=3D214 colspan=3D2 valign=3Dtop style=3D'width:160.25pt;padding:=
0cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Orange juice wi=
th
  concentration smaller than or equal to 1.5<o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.0pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0.70 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0.35 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes;page-break-inside:avoid'>
  <td width=3D81 colspan=3D2 valign=3Dtop style=3D'width:61.05pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>2009.19.99<o:p>=
</o:p></span></p>
  </td>
  <td width=3D214 colspan=3D2 valign=3Dtop style=3D'width:160.25pt;padding:=
0cm 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dleft style=3D'margin-top:1.0pt;margin-right:0cm;
  margin-bottom:1.4pt;margin-left:0cm;text-align:left;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>Orange juice not
  elsewhere specified or included<o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.0pt;padding:0cm=
 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>1.23 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 valign=3Dtop style=3D'width:45.0pt;padding:0cm 3.5pt 0cm 3=
.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0.61 &cent;/lt<=
o:p></o:p></span></p>
  </td>
  <td width=3D60 colspan=3D2 valign=3Dtop style=3D'width:45.35pt;padding:0c=
m 3.5pt 0cm 3.5pt'>
  <p class=3Dtexto align=3Dcenter style=3D'margin-top:1.0pt;margin-right:0c=
m;
  margin-bottom:1.4pt;margin-left:0cm;text-align:center;text-indent:0cm;
  line-height:normal'><span lang=3DEN-US style=3D'font-size:10.0pt;mso-bidi=
-font-size:
  8.0pt;mso-bidi-font-family:Arial;mso-ansi-language:EN-US'>0%<o:p></o:p></=
span></p>
  </td>
 </tr>
 <![if !supportMisalignedColumns]>
 <tr height=3D0>
  <td width=3D76 style=3D'border:none'></td>
  <td width=3D5 style=3D'border:none'></td>
  <td width=3D212 style=3D'border:none'></td>
  <td width=3D1 style=3D'border:none'></td>
  <td width=3D59 style=3D'border:none'></td>
  <td width=3D1 style=3D'border:none'></td>
  <td width=3D60 style=3D'border:none'></td>
  <td width=3D60 style=3D'border:none'></td>
  <td width=3D0 style=3D'border:none'></td>
 </tr>
 <![endif]>
</table>

</div>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>A number of U.S. exports are subjec=
t to
antidumping duties that limit access to the Mexican market.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Products subject to these duties
currently include beef, apples, expoxidated soy oil, liquid caustic soda,
hydrogen peroxide, monoethylene glycol mono butyl ether, ammonium sulfate, =
stearic
acid, partially hydrogenated fatty acid, polyvinyl chloride, bond paper, and
welded carbon steel pipe.<span style=3D'mso-spacerun:yes'>&nbsp; </span>As =
part
of an agreement with the United States, Mexico also placed safeguards on
poultry leg quarters in July of 2003.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The United States exempted Mexico from the recently ended safeguard
action on steel.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico also has implemented what ar=
e called
&#8220;Sectoral Promotion Programs (PROSEC)&#8221; which reduce MFN tariffs=
 to
0 or 5 percent on a wide range of important inputs needed by Mexico&#8217;s
export manufacturing sector.<span style=3D'mso-spacerun:yes'>&nbsp; </span>=
This
program includes some 20 different industry sectors and affects 16,000 tari=
ff
line items.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Mexican companies=
 must
be registered under this program to participate, and it can be difficult to
qualify. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Under the NAFTA, the import duty is=
 calculated
on the U.S. plant value of the product(s) (invoice), plus the inland U.S.
freight charges to the border, and any other costs listed separately on the
invoice and paid by the importer, such as export packing.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>All NAFTA-compliant products impor=
ted
definitively into Mexico no longer need to pay the customs processing fee
(CPF).<span style=3D'mso-spacerun:yes'>&nbsp; </span>Products temporarily
imported for processing and re-export may be subject to the CPF since the
imports are not considered &#8220;definitive.&#8221;</span></p>

<p class=3DMsoNormal></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has, in addition, a value-ad=
ded tax
(IVA) on most sales transactions, including sales of foreign products. The =
IVA
is 10 percent for products staying in the Mexican border region and 15 perc=
ent
for products that enter the interior of Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Basic products such as food and dr=
ugs
(but not processed foods) are exempt from the IVA.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>A special tax on production and ser=
vices
(IEPS) is assessed to the importation of alcoholic beverages, cigarettes,
cigars, and non-alcoholic beverages with a sweetener other than cane sugar,
among others. <span style=3D'mso-spacerun:yes'>&nbsp;</span>This tax may va=
ry
from 20 to 110 percent depending on the product.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Where an &quot;arms length&quot;
transaction does not exist between seller and importer, such as intra-compa=
ny
sales or transfers, Mexico applies valuation rules that are compatible with=
 the
Brussels Customs Valuation Code.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Goods for which the NAFTA preferential tariff treatment is not reque=
sted
are valued on a C.I.F. basis.</span></p>

<h2><a name=3Dsixteen></a><span lang=3DEN>Trade Barriers<span style=3D'mso-=
tab-count:
7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch5">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Under the NAFTA, there are virtuall=
y no
tariff barriers for U.S. exports to Mexico.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. companies do, however, face ce=
rtain
non-tariff barriers when exporting to Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In November 1992, Mexico published=
 a
list of goods (with several subsequent updates and expansions -- the latest=
 was
released on February 8, 2006) previously susceptible to fraudulent customs
under-valuation and established a &quot;minimum estimated price&quot; for s=
uch
goods.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This minimum estimated=
 price
is also referred to as a &#8220;reference price.&#8221;<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Importers of some 200 subject goods
(including categories of liquor, apparel, chemicals, footwear, steel, hand
tools, appliances, plywood, apples, rice, and poultry, among others) must p=
ost
a guarantee representing any difference in duties and taxes if the declared
customs value is less than the established reference price.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This guarantee usually is in the f=
orm of
a cash deposit, trust, or line of credit established with an authorized bank
(Bancomer, Banamex, or HSBC), which charges high fees to open, manage, and
close the accounts.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Mexican
government authorities then have up to six months to decide whether to star=
t a
formal investigation or to release the guarantee.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. exporters may expedite this r=
eview
by providing an invoice certified by their local chamber of commerce.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Exemptions from this regulation ex=
ist
for active or highly capitalized importers.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This policy is to be eliminated in=
 the
near future under a data-sharing agreement between the U.S. and Mexican
Customs.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Certain sensitive products must obt=
ain an
import license for which the difficulty varies according to the nature of t=
he
product.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Periodically, the Me=
xican
government publishes lists that identify the different items that have a
specific import control.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </spa=
n>Items
are identified according to their Harmonized System (HS) code number;
therefore, it is important the U.S. exporters have their products correctly
classified.<span style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. exporters are
encouraged to check with customs brokers as to the accurate classification =
of
their products.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The following are examples of import
licenses required and the Mexican government agencies that administer the
particular licenses.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Note tha=
t this
is not a complete list.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l28 level1 lfo25;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>The Secretariat of Economy
requires import licenses for weapons and ammunition, used goods, and
refurbished equipment, among others.</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l28 level1 lfo25;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>The Secretariat of Agricu=
lture
(SAGARPA) requires prior import authorization for some leather and fur
products, fresh/chilled and frozen meat, and agricultural machinery among
others.</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l28 level1 lfo25;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>The Secretariat of Health=
 (SSA)
requires either an &#8220;advance sanitary import authorization&#8221; or
&#8220;notification of sanitary import&quot; for medical products and
equipment, pharmaceuticals, diagnostic products, toiletries, processed food,
and certain chemicals.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Food
supplements and herbal products are highly regulated in Mexico, unlike in t=
he
United States.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>In some =
cases
only pharmaceutical-like companies may be eligible to import them.</span></=
p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l28 level1 lfo25;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>The Secretariat of the
Environment (SEMARNAT) requires import authorizations for products made from
endangered species such as eggs, ivory, certain types of wood, furs, etc.</=
span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l28 level1 lfo25;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Toxic and hazardous produ=
cts
have to comply with import authorization from an interagency commission cal=
led
CICOPLAFEST which has representation from the four agencies mentioned
above.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This list includes a l=
arge
number of organic and inorganic chemicals.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Commercial samples of controlled pr=
oducts
shipped by courier are also subject to these regulations.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Some special treatment may apply i=
n the
case of samples intended for research, product registration or certificatio=
n.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Unless returned at the sender's ex=
pense,
Customs often confiscates or destroys samples lacking the proper documentat=
ion.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dseventeen></a><span lang=3DEN>Import Requirements and Documen=
tation<span
style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch5">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>For tax purposes, all Mexican impor=
ters
must apply and be listed on the &#8220;Padr&oacute;n de Importadores&#8221;
maintained by the Secretariat of Finance and Public Credit (Hacienda).<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In addition, Hacienda maintains sp=
ecial
sectoral registries.<span style=3D'mso-spacerun:yes'>&nbsp; </span>To be el=
igible
to import more than 400 different items, including agricultural products,
textiles, chemicals, electronics, and auto parts, Mexican importers must ap=
ply
to Hacienda to be listed on these special industry sector registries.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Infrequently, U.S. exporters have
encountered problems when products are added to the list without notice or
importers are summarily dropped from the registry without prior notice or
subsequent explanation.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&=
nbsp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The basic Mexican import document i=
s the
&quot;pedimiento de importaci&oacute;n.&quot;<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This document must be accompanied =
by a
commercial invoice (in Spanish), a bill of lading, documents demonstrating
guarantee of payment of additional duties for undervalued goods (see
&quot;Customs Valuation&quot;) if applicable, and documents demonstrating
compliance with Mexican product safety and performance regulations (see
&quot;Standards&quot;), if applicable.<span style=3D'mso-spacerun:yes'>&nbs=
p;
</span>The import documentation may be prepared and submitted by a licensed
Mexican customs house broker or by an importer with sufficient experience in
completing the documents.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Products qualifying as North Americ=
an must
use the NAFTA Certificate of Origin in order to receive preferential
treatment.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This must be issue=
d by
the exporter and does not have to be validated or formalized. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Unless the importer is accredited t=
o act as
Mexican customs broker, the participation of a professional customs broker =
is
necessary to ensure compliance with Mexico's customs regulations.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexican customs law is very strict
regarding proper submission and preparation of customs documentation.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Errors in paperwork can result in =
fines
and even confiscation of merchandise as contraband.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Exporters are advised to ensure th=
at
Mexican clients employ competent, reputable Mexican importers or customs ho=
use
brokers.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Because customs brok=
ers
are subject to sanctions if they violate customs laws, some have been very
restrictive in their interpretation of Mexican regulations and standards.</=
span></p>

<h2><a name=3Deighteen></a><span lang=3DEN>U.S. Export Controls<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; =
</span><a
href=3D"#ch5"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is not subject to any specia=
l U.S.
export control regulations, and is designated as a Category I country (the
least restrictive) for receipt of U.S. high technology products.</span></p>

<h2><a name=3Dtempentry></a><span lang=3DEN>Temporary Entry<span style=3D'm=
so-tab-count:
7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp; </span><a
href=3D"#ch5"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h2>

<p class=3DMsoNormal><a name=3Dnineteen></a><span lang=3DEN-US>Temporary im=
ports for
manufacturing, transformation, and repair under the Maquila and Pitex progr=
ams
are subject to payment of duties taxes and compensatory fees.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Other temporary imports from the U=
nited
States, however, do not pay import duties, taxes or compensatory fees, but =
they
must comply with all other obligations set forth in Article 104 of the Mexi=
can
Customs Law.<span style=3D'mso-spacerun:yes'>&nbsp; </span>There are differ=
ent
types of temporary imports into Mexico, including:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>a) Temporary imports to be returned=
 in the
same condition;</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>b) Instruments of foreign artists;<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US>c) Temporary imports for cultural a=
nd
sporting events;</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>d) Temporary imports for convention=
s,
congresses and trade shows; and</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>e) Temporary imports for the press,
journalism, and cinematography.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The procedures for category (a) are=
 as
follows:<span style=3D'mso-spacerun:yes'>&nbsp; </span>Category (a) applies=
 to
temporary imports that remain in Mexico for a limited time and with a speci=
fic
purpose and are returned to the U.S. in the same condition and within the t=
ime
limits established in the Law (Art. 106).<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span>Such is the case of demonstration equipment that is temporarily impo=
rted
into Mexico for exhibitions or sales visits.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In such cases, U.S. representative=
s do
not need to contract the services of a Mexican customs broker, and may
themselves do the declaration of the products to Mexican Customs, using the
declaration lane at the time of entry.<span style=3D'mso-spacerun:yes'>&nbs=
p;
</span>Overlooking this requirement may result in the confiscation of the
products without possibility of recovery, unless a high penalty fee is paid=
 to
the Mexican Government.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Tempo=
rary
imports may remain in Mexico for up to six months.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The import is processed under a tem=
porary
importation form and there are basic requirements to obtain the clearance f=
rom
Customs, including:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<ol style=3D'margin-top:0cm' start=3D1 type=3D1>
 <li class=3DMsoNormal style=3D'mso-list:l17 level1 lfo26;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>A list of the products for temporary importation into Mex=
ico;</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l17 level1 lfo26;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>A letter from the U.S. company stating that the product(s=
) is
     for temporary entry into Mexico and that it will not be sold;</span></=
li>
 <li class=3DMsoNormal style=3D'mso-list:l17 level1 lfo26;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>A letter from the Mexican partner or company indicating t=
hat
     they take full responsibility for ensuring that the products are retur=
ned
     to the United States within the period allowed.<span
     style=3D'mso-spacerun:yes'>&nbsp; </span>The letter should also indica=
te
     that there is a business relationship between the Mexican party and the
     importer; </span></li>
 <li class=3DMsoNormal style=3D'mso-list:l17 level1 lfo26;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Preparation of a Temporary Customs Entry form (Pedimento =
de
     Importaci&oacute;n Temporal);</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l17 level1 lfo26;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>A fee of US$15.00 or its equivalent in Mexico&#8217;s cur=
rency
     must be paid in cash to Mexican Customs; and </span></li>
 <li class=3DMsoNormal style=3D'mso-list:l17 level1 lfo26;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>The list of the products to be temporarily imported into =
Mexico
     must also be presented to U.S. Customs before the equipment enters Mex=
ico
     in order to facilitate the duty free return to the U.S.</span></li>
</ol>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For temporary imports related to the
manufacture, transformation, or repair under the Maquila and Pitex programs,
exporters should obtain expert advice from a Mexican customs broker or other
consultant with expertise in this area.<span style=3D'mso-spacerun:yes'>&nb=
sp;
</span>More detailed information on this and the other categories of tempor=
ary
imports may be obtained from the Industry Sector Analysis report,
&#8220;Customs Procedures for Exporting to Mexico (March 2002)&#8221; avail=
able
from the internet on www.buyusa.com, or by contacting the U.S. Commercial
Service office in Tijuana (see contact list in Chapter 9).</span></p>

<h2><a name=3Dtwentyone></a><span lang=3DEN>Labeling and Marking Requiremen=
ts<span
style=3D'mso-tab-count:4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></=
span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch5">Return to top</a></=
span></h2>

<p class=3DMsoNormal><a name=3Dtwentytwo></a><span lang=3DEN-US>All product=
s intended
for retail sale in Mexico must bear a label in Spanish prior to their
importation to Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Produc=
ts
that must comply with commercial and commercial/sanitary information NOM's =
must
follow the guidelines as specified in the applicable NOM.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For more detailed information see t=
he
&#8220;Labeling and Marking&#8221; in the Standards section below.</span></=
p>

<h2><a name=3Dtwentythree></a><span lang=3DEN>Prohibited and Restricted Imp=
orts<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch5">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Import and/or export of the followi=
ng
products is prohibited in Mexico:</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Live predator fish</span>=
</p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Totoaba, fresh or cooled =
(fish)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Totoaba frozen (fish)</sp=
an></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Turtle eggs of any sort</=
span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Opium poppy seeds</span><=
/p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Opium poppy seeds oatmeal=
</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Marijuana (Cannabis Indic=
a)
seeds or spores whether or not mixed with other seeds</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Marijuana (Cannabis Indic=
a)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Opium juice, extracts, and
smoking preparations</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Extracts and juice from
marijuana (Cannabis Indica)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Thickeners made from mari=
juana
(Cannabis Indica)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Thallium sulfate</span></=
p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Insecticide (Isodrin or A=
ldrin)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Insecticide (Heptachlorin=
e or
Drinox)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Insecticide (Endrin or Me=
ndrin
or Nendrin or Hexadrin)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>N-ftalilglutamic acid
imidine<span style=3D'mso-spacerun:yes'>&nbsp; </span>(Thalidomide)</span><=
/p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Insecticide (Leptophos)</=
span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Heroin, base of
Diacetylmorphine chlorhydrate</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Medicinal preparations ma=
de
from marijuana (Cannabis Indica)</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Medicinal preparations ma=
de
from acetyl morphine or its salts or derivatives</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Turtle skins </span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Pre packed decals in colo=
r or
black and white formats whether or not containing</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>candies or chewing gum th=
at
include drawings, figures, illustrations that denigrate children or incite =
to
violence or self-destruction or other anti-social behavior, known as
&#8220;Garbage Pail Kids,&#8221; for example, printed by any trading compan=
y.</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>In the case of medical de=
vices
and health care products, besides complying with</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>standards, foreign manufa=
ctured
products need to have a legally appointed representative/distributor in Mex=
ico
and be registered with the Secretariat of Health </span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l27 level1 lfo27;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>(SSA), prior to being sol=
d in
Mexico. With the exception of blood, blood derivate products and organs, al=
most
all medical products can be imported into Mexico, if they comply with
regulations.</span></p>

<h2><a name=3Dtwentyfour></a><span lang=3DEN>Customs Regulations and Contact
Information<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch5">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. exporters continue to be conce=
rned
about Mexican customs administration procedures, including insufficient pri=
or
notification of procedural changes, inconsistent interpretation of regulato=
ry
requirements at different border posts, and uneven enforcement of Mexican
standards and labeling rules.<span style=3D'mso-spacerun:yes'>&nbsp; </span=
>There
have been relatively few specific complaints, however, and Mexican Customs =
has
been putting procedures in place to address issues of non-uniformity at bor=
der
ports of entry.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Agricultural
exporters note that Mexican inspection and clearance procedures for some
agricultural goods are long, burdensome, non-transparent and unreliable.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>Customs procedures for express pac=
kages
continue to be burdensome, though Mexico has raised the de minimis level to
fifty dollars from one dollar.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>However, Mexican regulation still holds the courier 100 percent liab=
le
for the contents of shipments.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Contact Information:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Servicio de Administraci&oacute;n
Tributaria </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Representation Office</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Embassy of Mexico</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>1911 Pennsylvania Ave. NW</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Washington DC 20006</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (202) 728-1621</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (202) 728-1664</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Administraci&oacute;n General de Ad=
uanas</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(General Customs Administration)</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US>Av. Hidalgo 77, M&oacute;dulo IV, P=
iso 3,
Col. Guerrero,</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Deleg. Cuauht&eacute;moc, 06300,
M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(011-52-55)<span
style=3D'mso-spacerun:yes'>&nbsp; </span>5802-3436</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(011-52-55)<span
style=3D'mso-spacerun:yes'>&nbsp; </span>5802-3437</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(011-52-55)<span
style=3D'mso-spacerun:yes'>&nbsp; </span>5802-3439</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.aduanas.gob.m=
x/">www.aduanas.gob.mx</a></span></p>

<h2><a name=3Dtwentyfive></a><span lang=3DEN>Standards<span style=3D'mso-ta=
b-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch5">Return to top</a></=
span></h2>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l12 level1 lfo9;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#standardsoverview">Overview</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l12 level1 lfo9;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#standardsorganizations">Standards Organizatio=
ns</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l12 level1 lfo9;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#standardsconformityassessment">Conformity Ass=
essment</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l12 level1 lfo9;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#standardsproductcertification">Product Certif=
ication</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l12 level1 lfo9;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#standardsaccreditation">Accreditation</a></sp=
an></li>
 <li class=3DMsoNormal style=3D'mso-list:l12 level1 lfo9;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#standardspublicationoftechnicalregulatio">Pub=
lication
     of Technical Regulations</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l12 level1 lfo9;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#standardslabelingandmarking">Labeling and Mar=
king</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l12 level1 lfo9;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#contactsstandards">Contacts</a></span></li>
</ul>

<p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Dstandardsoverview></a><span lang=3DEN-US><span style=3D'mso-t=
ab-count:
1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </spa=
n>Overview
<span style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#twentyfive"><span style=3D'font-weight:normal'>Return to top</span=
></a></span></h3>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><span style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><o:p></o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Traditionally, the Government of Me=
xico
(GOM) had been the primary actor in determining product standards, labeling=
 and
certification policy, with little input from the private sector and less fr=
om
consumers.<span style=3D'mso-spacerun:yes'>&nbsp; </span>As a result, indep=
endent
standards and certification organizations like those in the United States w=
ere
virtually non-existent in Mexico.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>In 1992, the Ministry of Economy (SE-Secretaria de Econom&iacute;a)
initiated efforts to reverse this situation, shifting the responsibility for
the formulation of voluntary standards to the private sector or to mixed
commissions.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 1992, the Mexican Government und=
ertook
an ambitious project to revamp its entire system for formulating product
standards, testing, and labeling and certification regulations.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The cornerstone of this review is =
the
Federal Law of Standardization and Metrology (Ley Federal de Metrolog&iacut=
e;a
y Normalizaci&oacute;n-LFMN) enacted on January 26, 1988 and updated in 199=
2,
which provided for greater transparency and access by the public and intere=
sted
parties to the standards development process, and has resulted in a reducti=
on
of obligatory product standards.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>This process is not without its problems, but the Mexican Government=
 has
been receptive to U.S. concerns and willing to resolve problems.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SE (Ministry of Economy), through i=
ts
General Bureau of Standards (DGN &#8211; Direcci&oacute;n General de Normas=
),
is the organization with the authority to manage and to coordinate the
standardization activities in the country.<span style=3D'mso-spacerun:yes'>=
&nbsp;
</span>Its authority derives from the LFMN. The implementing regulations
(Reglamento de la Ley Federal sobre Metrolog&iacute;a y Normalizaci&oacute;=
n)
were published in the Official Gazette (Diario Oficial, DOF) on January 14,
1999.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In accordance with the
Federal Law, the Law of Metrology and Standardization and its Regulation
(Reglamento de la Ley Federal sobre Metrolog&iacute;a y Normalizaci&oacute;=
n),
the National Program of Standardization (Programa Nacional de
Normalizaci&oacute;n, PNN), published annually in the Diario Oficial (DOF),
which is the official document used to plan, inform and coordinate the
standardization activities, both public and private, carried out by the Mex=
ican
Government.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Finally, two definitions are import=
ant to
keep in mind: </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>1. NOMs &#8211; Mexican Official St=
andards
&#8211; these are technical regulations, including labeling requirements,
issued by government agencies and ministries.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Compliance is mandatory. </span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>2. NMX &#8211; Mexican
&#8220;Voluntary&#8221; Standards &#8211; these are voluntary standards iss=
ued
by recognized national standard making bodies.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Compliance is mandatory only when a
claim is made that a product meets the NMX, when a NOM specifies compliance,
and whenever applicable in government procurement.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dstandardsorganizations></a><span lang=3DEN-US><span style=3D'=
mso-tab-count:
1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </spa=
n>Standards
Organizations<span style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#twentyfive"><span style=3D'font-weight:normal'>Return to top</span=
></a></span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In addition to the General Bureau of
Standards (DGN) of the Ministry of Economy, organizations that develop NOMs
&#8211; Mexican Official Standards include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226;ECONOMIA (Commerce)</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; SAGARPA<span
style=3D'mso-spacerun:yes'>&nbsp; </span>(Agriculture)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; STPS<span
style=3D'mso-spacerun:yes'>&nbsp; </span>(Labor)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; SCT<span
style=3D'mso-spacerun:yes'>&nbsp; </span>(Communications &amp; Transportati=
on)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; SECTUR<span
style=3D'mso-spacerun:yes'>&nbsp; </span>(Tourism)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; SEDESOL<span
style=3D'mso-spacerun:yes'>&nbsp; </span>(Social Development)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; SEMARNAT (Environment)</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; SENER (Energy) </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The DGN &#8211; Direcci&oacute;n Ge=
neral de
Normas publishes the National Standardization Plan (PNN &#8211; Plan Nacion=
al
de Normalizaci&oacute;n) twice a year. It is available on the DGN website.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span>Contact information is listed at t=
he end
of this chapter.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Organizations that develop NMX &#82=
11;
Mexican &#8220;Voluntary&#8221; Standards include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; ANCE (Electrical)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; IMNC (Quality Systems)</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; INNTEX (Textiles)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; ONNCCE (Construction)</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; NORMEX (Food Products and Q=
uality
Systems)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8226; NYCE (Electronics)</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h4><span lang=3DEN-US>NIST Notify U.S. Service</span></h4>

<p class=3DMsoNormal><span lang=3DEN-US style=3D'color:black'>Member countr=
ies of the
World Trade Organization (WTO) are required under the Agreement on Technical
Barriers to Trade (TBT Agreement) to report to the WTO all proposed technic=
al
regulations that could affect trade with other Member countries. </span><b>=
<span
lang=3DEN-US>Notify U.S.</span></b><span lang=3DEN-US style=3D'color:black'=
> is a
free, web-based e-mail subscription service that offers an opportunity to
review and comment on proposed foreign technical regulations that can affect
your access to international markets. Register online at Internet URL: </sp=
an><span
lang=3DEN-US><a href=3D"http://www.nist.gov/notifyus/">http://www.nist.gov/=
notifyus/<span
style=3D'font-size:12.0pt;font-family:"Tms Rmn","serif"'><o:p></o:p></span>=
</a></span></p>

<p class=3DMsoNormal style=3D'margin-left:36.0pt'><span lang=3DEN-US><o:p>&=
nbsp;</o:p></span></p>

<h3><a name=3Dstandardsconformityassessment></a><span lang=3DEN-US><span
style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span>Conformity
Assessment<span style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#twentyfive"><span style=3D'font-weight:normal'>Return to top</span=
></a></span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Under the NAFTA, Mexico was require=
d, starting
January 1, 1998, to recognize conformity assessment bodies in the United St=
ates
and Canada on terms no less favorable than those applied in Mexico. To date=
, no
U.S. certification bodies have been recognized by Mexico.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Based on agreements with other agen=
cies, as
well as with other certification organizations, the General Bureau of Stand=
ards
(DGN) of the Ministry of Economy has set the procedures for the certificati=
on
of products to the Official Mexican Standards (NOMs) or Mexican Standards
(NMXs). <span style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Conformity Assessment procedures is=
sued by
the SE/DGN tend to be more fully developed and cover a significantly greater
range of NOMs than those of other ministries who develop NOMs.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dstandardsproductcertification></a><span lang=3DEN-US><span
style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span>Product
Certification<span style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#twentyfive"><span style=3D'font-weight:normal'>Return to top</span=
></a></span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For the purposes of the certificati=
on
procedure, the following definitions are issued:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Product Certification: Proof of com=
pliance
with the applicable Mexican standard. An accredited certification body must
issue these certificates.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>DGN:<span style=3D'mso-tab-count:1'=
>&nbsp;&nbsp; </span>General
Bureau of Standards, Ministry of Economy (SE). This agency authorizes the
operation of certification and calibration laboratories and verification un=
its,
according to the Federal Law of Standardization and Metrology.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Accredited Laboratory: Institutions=
 authorized
to test or calibrate products subject to Mexican standards.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Accredited Unit for Sampling Verifi=
cation:
Authorized Unit for product sampling verification.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM: Mexican Official Standard (man=
datory)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NMX: Mexican Standard (voluntary)</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Product Certification Organization:=
 Product
Certification Organization accredited by DGN through EMA (Entidad Mexicana =
de
Acreditaci&oacute;n &#8211; Mexican Accreditation Agency)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Quality System Certification Organi=
zation:
Organization accredited by DGN through EMA to certify Quality Assurance
Systems.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>MRAs (mutual recognition agreements=
)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There is a significant number of MR=
As
(mutual recognition agreements) between Mexican and U.S. organizations.
However, at present, none of these agreements exempt U.S. products from
complying with all applicable Mexican technical regulations and product
certification requirements. Key examples of these include:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>FMVSS - DGN</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Federal Motor Vehicle Safety Stand=
ard -
Mexican Standards Bureau)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on new pneum=
atic
tires for other than passenger cars</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>UL - CANIETI</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Underwriters Laboratories<span
style=3D'mso-spacerun:yes'>&nbsp; </span>- Mexican Chamber of the Electroni=
c,
Telecommunications, and Information Industry)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on electronic
appliances</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on copying, =
fax, and
other office machines</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on data proc=
essing
and networking equipment</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>UL - NYCE</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Underwriters Laboratories<span
style=3D'mso-spacerun:yes'>&nbsp; </span>- Normalizaci&oacute;n y
Certificaci&oacute;n Electr&oacute;nica)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on data proc=
essing
and networking equipment</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on electric =
appliances</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on electroni=
c office
equipment</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on data proc=
essing
equipment</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Verification unit for electronic pr=
oducts</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>UL - ANCE</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Underwriters Laboratories<span
style=3D'mso-spacerun:yes'>&nbsp; </span>- Asociaci&oacute;n de
Normalizaci&oacute;n y Certificaci&oacute;n)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on electric
appliances</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on electroni=
c office
equipment</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on data proc=
essing
equipment</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on electric =
ballasts</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of testing on lamps whe=
ther or
not for indoor use</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NIST - CENAM</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(National Institute of Standards and
Technology - Mexican Metrology Center)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recognition of measuring capacities
including those related to national patterns, calibration certification and
reference material</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>More detailed information regarding=
 the
conformity assessment, product certification procedures and MRAs (mutual
recognition agreements in Mexico are available upon request from the Standa=
rds
Attach&eacute; at CS Mexico City. See Contacts &#8211; at the end of this
section).</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dstandardsaccreditation></a><span lang=3DEN-US><span style=3D'=
mso-tab-count:
1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </spa=
n>Accreditation<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp; </span><a
href=3D"#twentyfive"><span style=3D'font-weight:normal'>Return to top</span=
></a></span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><span style=3D'mso-tab-count:1'>&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 1999, the Mexican government aut=
horized
the first private organization to accredit conformity assessment bodies
(calibration laboratories, certification bodies, test laboratories, and
verification/inspection units).<span style=3D'mso-spacerun:yes'>&nbsp;
</span>This private non-profit institution is the EMA (Entidad Mexicana de
Acreditaci&oacute;n - Mexican Accreditation Entity).</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Calibration Laboratories:<o:p></=
o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Calibration laboratories are respon=
sible
for transferring the precision of reference standards to the measurement in=
struments
used in the commercial and industrial sectors.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The calibration laboratories can be
sponsored by public or private organizations, including universities,
professional associations and private companies.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Individuals interested in performi=
ng
calibration activities can obtain certification after meeting the certifica=
tion
requirements set by law.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Committees, made up of technicians =
and
specialists in metrology, evaluate applications for certification as
calibration laboratories.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The=
se
committees make recommendations to the DGN for final decisions on
certification.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The committees=
 also
establish the technical specifications for the evaluation of calibration
laboratories, set the precision requirements for the calibration chains and=
 set
the methods for comparison of standards.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Certification Bodies:<o:p></o:p>=
</span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The EMA has accredited several
organizations for certifying compliance in different specific fields.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>These organizations include:</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>ANCE &#8211; Asociaci&oacute;n de
Normalizaci&oacute;n y Certificaci&oacute;n (product certification body for=
 the
electric sector NOMs)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CALMECAC - Calidad Mexicana Certifi=
cada,
A.C. (Certified Mexican Quality).<span style=3D'mso-spacerun:yes'>&nbsp; </=
span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CNCP - Centro Nacional Para la Cali=
dad del
Pl&aacute;stico (Mexican Center for the Quality of Plastic).<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CRT - Consejo Regulador Del Tequila
(Tequila Regulation Council).<span style=3D'mso-spacerun:yes'>&nbsp; </span=
></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>IMNC - Instituto Mexicano De
Normalizaci&oacute;n y Certificaci&oacute;n, A.C. (Mexican Institute of
Standardization and Certification).<span style=3D'mso-spacerun:yes'>&nbsp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>INNTEX - Instituto Nacional De
Normalizaci&oacute;n Textil, A.C. (Mexican Institute of Textile
Standardization).<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NORMEX - Sociedad Mexicana de
Normalizaci&oacute;n y Certificaci&oacute;n, S.C. (Mexican Society of
Standardization and Certification).<span style=3D'mso-spacerun:yes'>&nbsp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NYCE - Normalizaci&oacute;n y
Certificaci&oacute;n Electr&oacute;nica (Electronic Standardization and
Certification).<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>ONNCCE - Organismo de Normalizaci&o=
acute;n
y Certificaci&oacute;n de la Construcci&oacute;n y Edificaci&oacute;n (Buil=
ding
and Construction Standardization and Certification Body)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The DGN procedures currently in eff=
ect are
those published on June 14, 1994.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>However, the procedures reflect current practices, except where note=
d as
&quot;not implemented.&quot;<span style=3D'mso-spacerun:yes'>&nbsp; </span>=
A list
of products by tariff number that must comply with an NOM was published on
December 25, 1995, and updated on June 28, 1996, in the Diario Oficial.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>To date, Mexico has not recognized=
 a
single conformity body in the United States.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This failure remains a topic of
discussion between the U.S. and Mexican Governments. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Test Laboratories:<o:p></o:p></s=
pan></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Test laboratories are responsible f=
or
certifying that products meet Mexican standards and are normally commercial
entities that make a profit from the testing of samples.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The DGN through EMA is responsible=
 for
granting authorizations to test laboratories after receiving the
recommendations of the Test Laboratory Evaluating Committees (Comit&eacute;=
s de
Evaluaci&oacute;n de Laboratorios de Pruebas).<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Each committee oversees a group of
evaluators who visit the test laboratories, review their organization,
capabilities, staffs, etc.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Te=
st
laboratories must fully comply with standard NMX-CC-13-1992 and Standard
NMX-CC-14-1992, which set the procedures for approval of test
laboratories.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Once the evalua=
tors
have made their review, they submit a report to the committee.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>Then, the committee writes i=
ts
recommendations to the DGN, which, in turn, informs the laboratory of the
results.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Those applicants not
receiving authorization are permitted to make the necessary modifications to
their facilities in order to comply with standards NMX-CC-13-1992 and
NMX-CC-14-1992.<span style=3D'mso-spacerun:yes'>&nbsp; </span>After the com=
mittee
verifies that the laboratory meets the requirements, a second report is
prepared for the DGN. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Authorizations as Test Laboratories=
 are
valid for two years and can be renewed upon written request. Test laborator=
ies
are required to maintain their technical capabilities and to make any
modifications that the committee may set.<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span>Test laboratories must notify the DGN of any change in equipment,
location, and administration.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Laboratories have the option to withdraw their certification.</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Verification Units:<o:p></o:p></=
span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Verification or inspection units ch=
eck and
provide a report or proof of compliance corroborating either visually or by
sampling, measuring, testing in laboratories, or examining documents.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Labeling NOMs, for example, do not
require products to obtain a certificate of compliance; however, verificati=
on
units can determine whether or not a technical regulation has been correctly
applied.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>On June 18, 2001, the Mexican stand=
ard
NMX-EC-17020-IMNC-2000 (equivalent to ISO/IEC 17020:1998) entered into forc=
e in
order to make the accreditation process of verification units consistent wi=
th
the international standards.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Therefore, as of January 2002, the procedure to evaluate and accredit
verification units became effective.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dstandardspublicationoftechnicalregulatio></a><span lang=3DEN-=
US><span
style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span>Publication
of Technical Regulations<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span><a
href=3D"#twentyfive"><span style=3D'font-weight:normal'>Return to top</span=
></a></span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h5><span lang=3DEN-US style=3D'font-weight:normal'>National Gazette:<o:p><=
/o:p></span></h5>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican national gazette is the=
 Diario
Oficial de la Federaci&oacute;n (DOF).</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Publication of Proposed Technical
Regulations:<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In accordance with the Regulation o=
f the
Federal Law of Metrology and Standardization (Reglamento de la Ley Federal
sobre Metrolog&iacute;a y Normalizaci&oacute;n, LFMN), the National Program=
 of
Standardization (Programa Nacional de Normalizaci&oacute;n, PNN) is the
official document used to plan, inform and coordinate the standardization
activities, both public and private, carried out by the Mexican government.=
<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The PNN is made up of a list of to=
pics
that will be developed into Official Mexican Standards (NOMs), technical
regulations, Mexican Standards (NMX&#8217;s), and Reference Standards
(NRF&#8217;s)--as well as approximate a working calendar for each respective
topic.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The program is equally
composed of information from the 22 National Consulting Standardization
Committees (Comit&eacute;s Consultivos Nacionales de Normalizaci&oacute;n)
which are responsible for the creation of NOMs; the 35 Technical Committees=
 of
National Standardization (Comit&eacute;s T&eacute;cnicos de
Normalizaci&oacute;n Nacional) and 7 National Standardization Bodies
(Organismos Nacionales de Normalizaci&oacute;n), both of which are responsi=
ble
for the creation of NMX; and 2 Standardization Committees (Comit&eacute;s de
Normalizaci&oacute;n), responsible for the creation of
NRF&#8217;s&#8212;standards created by governmental entities for the
government&#8217;s procurement.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The PNN is annually integrated by t=
he
Technical Secretariat of the National Standardization Commission, revised by
the Technical Council of the aforementioned entity, and approved by the
National Standardization Commission (CNN, Comisi&oacute;n Nacional de
Normalizaci&oacute;n) in its first meeting of every year.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The LFMN and its Regulation establi=
sh a
time frame for each step of the NOM-making process (development, draft
publication in the Official Gazette (DOF), and publication of modified and
definitive technical regulations and standards) and within the PNN framewor=
k,
the accomplishment of these tasks is limited to the span of a year.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The actual NOM-making period, howe=
ver,
is contingent upon various factors, including the complexity of the topic a=
nd
the uncertain period between each step (i.e. publishing period in the Offic=
ial
Gazette (DOF)&#8212;draft, response, comments, and final technical regulati=
on
and standard).<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>Therefor=
e,
evaluations conducted on the PNN indicate, more often than not, that the
standardization process requires more than a year in order to adequately co=
mply
with its objectives.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span><=
/p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. entities can participate in the
process in several ways.<span style=3D'mso-spacerun:yes'>&nbsp; </span>They=
 can:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l16 level1 lfo28;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Review the PNN with the
objective of learning about the topics to be standardized.</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l16 level1 lfo28;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Request to be included in=
 the
applicable working group directly from the appropriate office (requires
physical presence).</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l16 level1 lfo28;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Present commentaries duri=
ng the
60-day public consultation period.</span></p>

<p class=3DMsoNormal style=3D'margin-left:18.0pt;text-indent:-18.0pt;mso-li=
st:l16 level1 lfo28;
tab-stops:list 18.0pt'><![if !supportLists]><span lang=3DEN-US style=3D'fon=
t-family:
Symbol;mso-fareast-font-family:Symbol;mso-bidi-font-family:Symbol'><span
style=3D'mso-list:Ignore'>&middot;<span style=3D'font:7.0pt "Times New Roma=
n"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></span><![endif]><span lang=3DEN-US>Solicit the making,
modification, or cancellation of technical regulations and standards (NOM a=
nd
NMX) to the appropriate government office or to a National Standardization
Body.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3><a name=3Dstandardslabelingandmarking></a><span lang=3DEN-US><span
style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span>Labeling
and Marking<span style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp; </span><a
href=3D"#twentyfive"><span style=3D'font-weight:normal'>Return to top</span=
></a></span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>All products intended for retail sa=
le in
Mexico must bear a label in Spanish prior to their importation to Mexico.<s=
pan
style=3D'mso-spacerun:yes'>&nbsp; </span>Products that must comply with
commercial and commercial/sanitary information NOMs must follow the guideli=
nes
as specified in the applicable NOM.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Most NOMs require commercial information to be affixed, adhered, sew=
n,
or tagged onto the product, with at least the following information in Span=
ish:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l21 level1 lfo29;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Name or business name and address of the importer,</span>=
</li>
 <li class=3DMsoNormal style=3D'mso-list:l21 level1 lfo29;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Name or business name of the exporter,</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l21 level1 lfo29;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Trademark or commercial name brand of the product,</span>=
</li>
 <li class=3DMsoNormal style=3D'mso-list:l21 level1 lfo29;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Net contents (as specified in NOM-030-SCFI-2006 DOF Novem=
ber 4,
     2006),</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l21 level1 lfo29;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Use, handling, and care instructions for the product as
     required,</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l21 level1 lfo29;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Warnings or precautions on hazardous products.</span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>This information must be presented =
attached
to the product, packaging or container depending on the product
characteristics.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This informa=
tion
must be on products as prepared for retail sale.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Listing this information on contai=
ner in
which a good is packed for shipment will not satisfy the labeling requireme=
nt.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOMs do not explicitly state that c=
ountry
of origin is required on the label prior to importation.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>However, Mexican fiscal regulation=
s do
require country of origin designation, and the U.S. Department of Commerce
recommends that exporters include this information, in Spanish, on the labe=
ls
they are preparing for goods destined for retail sale in the Mexican
market.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Along this line, incl=
uding
the importer's taxpayer number (commonly known as RFC) is recommended.</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The commercial and commercial-sanit=
ary NOMs
currently in force are:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-003-SSA1-1993, Environmental he=
alth -
Sanitary requirements with which paints, inks, varnishes, lacquers, and ena=
mels
must comply, published in the DOF on August 12, 1994.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-004SCFI-2006, Commercial Inform=
ation -
Labeling of textile products, garments and accessories, published in the Di=
ario
Oficial de la Federaci&oacute;n (DOF) onJune 21, 2006.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-015-SCFI-1998, Commercial Infor=
mation -
Labeling of toys, published in the DOF on March 5, 1999.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-020-SCFI-1997, Commercial Infor=
mation -
Labeling of leather and leather-like goods, shoes and accessories published=
 in
the DOF on April 27, 1998.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-024-SCFI-1998, Commercial Infor=
mation
for packaging, instructions, and warranties of electric and electronic prod=
ucts
and appliances, published in the DOF on January 15, 1999.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-050-SCFI-2004, Commercial infor=
mation-
General labeling of products, published in the DOF on June 1, 2004.</span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-051-SCFI-1994, General labeling=
 specifications
for pre packed food products and non-alcoholic beverages, published in the =
DOF
on January 24, 1996.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-055-SCFI-1994, Commercial Infor=
mation -
Fire retardants or inhibitors - published in the DOF on December 8, 1994.</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-084-SCFI-1994, Commercial Infor=
mation -
Commercial and sanitary information specifications for pre packed tuna and
bonito food products, published in the DOF on September 22, 1995.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-116-SCFI-1997, Automotive indus=
try -
Commercial information of lubricant oils for gasoline or diesel engines,
published in the DOF on May 4, 1998</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-120-SCFI-1996, Commercial Infor=
mation -
Labeling of agricultural products - Grape, published in the DOF on November=
 22,
1996.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-128-SCFI-1998, Commercial Infor=
mation -
Labeling of agricultural products - Avocado, published in the DOF on August=
 31,
1998.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-129-SCFI-1998, Commercial Infor=
mation -
Labeling of agricultural products - Mango, published in the DOF on August 3=
1,
1998.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-139-SCFI-1999, Commercial Infor=
mation -
Labeling of vanilla extract, derivatives and substitutes, published in the =
DOF
on March 22, 2000.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-141-SSA1-1995, Goods and servic=
es -
Labeling of pre packed perfumery and beauty products, published in the DOF =
on
July 18, 1997.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NOM-142-SSA1-1995, Goods and servic=
es. Alcoholic
beverages. Sanitary specifications. Sanitary and commercial labeling publis=
hed
in the DOF on July 9, 1997.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h3 style=3D'text-indent:36.0pt'><a name=3Dcontactsstandards></a><span lang=
=3DEN-US>Contacts<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#twentyfive"><span style=3D'font-weight:normal'>Return to top</span=
></a></span></h3>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The following is key contact inform=
ation
for the most relevant organizations in both the public and private
sectors.<span style=3D'mso-spacerun:yes'>&nbsp; </span>For additional
organizations, please contact the post.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Mexican Public Sector</span></b>=
<span
lang=3DEN-US>: </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SE-Secretaria de Econom&iacute;a (M=
inistry
of Economy)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>A.<span style=3D'mso-spacerun:yes'>=
&nbsp;
</span>DGN-Direcci&oacute;n General de Normas</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(General Bureau of Standards)</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>AV. Puente de Tecamachalco No. 6</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Tecamachalco</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Naucalpan, Edo. De M&eacute;xico</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US>53950 M&eacute;xico </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Dr. Jose Rodrigo Roque Diaz, Direct=
or
General</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5729-9300 Ext. 432=
00</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-52-55) 5729-9484</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Rodolfo Consuegra Gamon, Director of
Standardization</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5729-9300 Ext. 432=
22</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-52-55) 5520-9715</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Luis Fernando Vazquez, Conformity
Assessment Director</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5729-9300 Exts. 43=
213</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-52-55) 5520-9715</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Carlos Berzunza Sanchez, Director of
International Standardization</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5729-9300 Ext 4321=
6</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-52-55) 5520-9715</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Danielle Schont Avenel, Promotion D=
irector
(Inquiry Point)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5729-9300 Ext. 432=
43</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-52-55) 5520-9715</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>B.<span style=3D'mso-spacerun:yes'>=
&nbsp;
</span>Undersecretariat of International Trade Negotiations</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Alfonso Reyes No. 30, Piso 18</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Hip&oacute;dromo Condesa</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>06140 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Kenneth Smith Ramos, Director Gener=
al for
International Trade Negotiations International Trade Negotiations</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5729-9146/ 47</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-52-55) 5729-9352</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Juan Carlos Baker, Director for NAF=
TA,
Technical Regulations and Standards</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel (011-52-55) 5729-9122</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-52-55) 5729-9352</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SEMARNAT- Secretaria de Medio Ambie=
nte y
Recursos Naturales</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Ing. Sandra Denisse Herrera Flores<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Subecretaria de Fomento y Normativi=
dad
Ambiental</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Deputy Secretary for Development a=
nd
Environmental Standards)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Blvd.<span style=3D'mso-spacerun:ye=
s'>&nbsp;
</span>Adolfo Ruiz Cortinez 4209</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Piso 5, Ala A</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Fracc. Jardines de la Montana<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US>14210 Mexico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-5255) 56-280613</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-5255)56-280656</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:Sandra.Herrera@semarnat.gob.mx">Sandra.Herrera@semarnat.gob.=
mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL: <a href=3D"http://www.semarnat=
.gob.mx/">www.semarnat.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SCT &#8211; Secretaria de Comunicac=
iones y
Transportes</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Secretariat of Communications and
Transport)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Lic. Manuel Arregui Rodriguez<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Under Secretary of Transportation</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Centro Nacional SCT</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Av. Universidad y Xola s/n</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Bldg.C, floor 1 - Ala Oriente</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Narvarte</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>03028 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011-52-55) 5519-4468 / 5530-7=
390</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5519-4871</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a href=3D"mailto:mrodarr@s=
ct.gob.mx">mrodarr@sct.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL: <a href=3D"http://www.sct.gob.=
mx/">http://www.sct.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Mexican Private Sector:<o:p></o:=
p></span></b></p>

<p class=3DMsoNormal><b><span lang=3DEN-US><o:p>&nbsp;</o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US>ANCE &#8211; Asociaci&oacute;n de
Normalizaci&oacute;n y Certificaci&oacute;n del Sector Electrico, A.C.</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>(National Association for the Stand=
ards
&amp; Certification of the Electrical Sector)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Ing. Martin Flores Ruiz</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Director of Operations</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Av. Lazaro Cardenas No. 869,</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Fracc. 3, esq. con Jupiter,</span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Nueva Industrial Vallejo,</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>C.P. 07700, M&eacute;xico, D.F.</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5747-4550 x 4557</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax (011-52-55) 5747-4560</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a href=3D"mailto:ance@ance=
.org.mx">ance@ance.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL: <a href=3D"http://www.ance.org=
.mx/">http://www.ance.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: electrical and gas<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NYCE &#8211; Normalizaci&oacute;n y
Certificaci&oacute;n Electr&oacute;nica, A.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Electronic Standards &amp; Certifi=
cation)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Ing. Claudio Bortoluz Orlandi</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>President</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Av. Lomas de Sotelo No. 1097</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Lomas de Sotelo </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>11200 M&eacute;xico, D.F. </span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5395-0810 / 0860 /=
 0893 /
0983 / 0993</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax<span style=3D'mso-spacerun:yes'=
>&nbsp;
</span>(011-52-55) 5395-0700</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a href=3D"mailto:nyce@nyce=
.org.mx">nyce@nyce.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL: <a href=3D"http://www.nyce.org=
.mx/">http://www.nyce.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: electronics, and ru=
bber
(tires)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>INMC &#8211; Instituto Mexicano de
Normalizaci&oacute;n y Certificaci&oacute;n, A.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Mexican Standards &amp; Certificat=
ion
Institute)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Dra. Mercedes Irueste Alejandre</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>General Director</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Manuel Ma. Contreras No. 133 Piso 6=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Cuauht&eacute;moc</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>06500 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5535-5872 / 5566-4=
750</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax<span style=3D'mso-spacerun:yes'=
>&nbsp;
</span>(011-52-55) 5705-3686</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:direccion@imnc.org.mx">direccion@imnc.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a href=3D"mailto:imnc@imnc=
.org.mx">imnc@imnc.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL. <a href=3D"http://www.imnc.org=
.mx/">http://www.imnc.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: general and quality=
 systems</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NORMEX &#8211; Sociedad Mexicana de
Normalizaci&oacute;n y Certificaci&oacute;n, S.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Mexican Standards &amp; Certificat=
ion
Society)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Dr. Jaime Gonzalez Basurto</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>General Director</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Cir. Geogratos 20</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Sat. OTE</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>53101 Naucalpan de Juarez, Edo. de
M&eacute;xico </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5390-4152 (12 Line=
s)
Office 5374-1402</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax<span style=3D'mso-spacerun:yes'=
>&nbsp;
</span>(011-52-55) 5374-2037</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:normex@normex.com.mx">normex@normex.com.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL: <a href=3D"http://www.normex.c=
om.mx/">http://www.normex.com.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: foods, beverages,
packaging, packages, and quality systems</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>ONNCCE &#8211; Organismo Nacional de
Normalizaci&oacute;n y Certificaci&oacute;n de la Construcci&oacute;n y
Edificaci&oacute;n, S.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(National Body for the Standardizat=
ion and
Certification of Constructions and Buildings)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Arq. Franco Mauricio Bucio Mujica</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Technical Director</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Constituci&oacute;n No. 50</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Escand&oacute;n</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>11800 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel. (011-52-55) 5273-3399 / 1991</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax. (011-52-55) 5273-3431</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:onncce@mail.onncce.org.mx">onncce@mail.onncce.org.mx</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL. <a href=3D"http://www.onncce.o=
rg.mx/">http://www.onncce.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: construction</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Post Standards Contacts</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy - U.S. Commercial Serv=
ice</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Louis Santamaria, Commercial Office=
r /
Standards Attach&eacute; for Canada, Mexico, Central America, Caribbean</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>Liverpool 31, Col. Juarez</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>06600 Mexico, D.F., Mexico</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel:<span style=3D'mso-spacerun:yes=
'>&nbsp;
</span>(011) 52-55 - 5140-2603 + Fax: (011) 52-55 - 5566-1115</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:Louis.Santamaria@mail.doc.gov">Louis.Santamaria@mail.doc.gov=
</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL: <a href=3D"http://www.buyusa.g=
ov/mexico">http://www.BuyUSA.gov/mexico</a>
and <a href=3D"http://www.export.gov/">http://www.export.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy - U.S. Commercial Serv=
ice</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Jesus S. Gonzalez, Commercial Speci=
alist</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Liverpool 31, Col. Juarez</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>06600 Mexico, D.F., Mexico</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011) 52-55 5140-2627 </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011) 52-55 5535-1139</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail:<span
style=3D'mso-spacerun:yes'>&nbsp; </span><a
href=3D"mailto:Jesus.Gonzalez@mail.doc.gov">Jesus.Gonzalez@mail.doc.gov</a>=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>URL: <a href=3D"http://www.buyusa.g=
ov/mexico">http://www.BuyUSA.gov/mexico</a>
and <a href=3D"http://www.export.gov/">http://www.export.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy &#8211; U.S. Departmen=
t of
Agriculture</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mr. Erich Kuss, Agricultural Attach=
&eacute;</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Reforma 305</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>06500 Mexico, D.F., Mexico</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: (011) 52-55 5080-2514</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a href=3D"mailto:Erich.Kus=
s@usda.gov">Erich.Kuss@usda.gov</a></span></p>

<h2><a name=3Dtradeagreements></a><span lang=3DEN>Trade Agreements<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span><a
href=3D"#ch5"><span style=3D'font-weight:normal'>Return to top</span></a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>The most outstanding feature of the
U.S.-Mexico bilateral relationship in the past decade has been the North
American Free Trade Agreement (NAFTA), which created a free trade zone for
Mexico, the United States, and Canada.<span style=3D'mso-spacerun:yes'>&nbs=
p;
</span>Since the enactment of NAFTA in January 1994, Mexico&#8217;s imports
from the United States have grown exponentially, totaling over $120 billion=
 in
2005. The U.S. share of Mexico&#8217;s trade has likewise increased with NA=
FTA,
accounting for nearly 75 percent of Mexico&#8217;s total trade.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. exports to Mexico are greater=
 than
U.S. exports to the rest of Latin America combined. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NAFTA continues to boost trade betw=
een the
three member countries and improve Mexico&#8217;s overall economic
standing.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Since the enactment=
 of
NAFTA in January 1994, Mexico&#8217;s exports have increased by over 220
percent, breaking a new record for total exports each year, except 2001 (a
recession year).<span style=3D'mso-spacerun:yes'>&nbsp; </span>During the s=
ame period,
Mexico&#8217;s imports have grown by nearly 165 percent.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The U.S. share of Mexico&#8217;s t=
rade
has likewise increased with NAFTA.<span style=3D'mso-spacerun:yes'>&nbsp; <=
/span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is the country with the larg=
est
network of free trade agreements (FTA&#8217;s) in the world.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Including the most recent trade
agreement negotiated with Japan, Mexico has FTA&#8217;s with 43 countries
(officially), including the European Union, European Free Trade Area, Israe=
l,
and 10 countries in Latin America.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The agreement with the European Union was modeled after NAFTA and pr=
ovides
EU goods with rough NAFTA parity from 2003 onwards.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico is holding free trade discu=
ssions
with additional Latin American and trading partners including Brazil,
Argentina, and Panama.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The
significance of this for U.S. exporters is that many of our strongest
international trade competitors enjoy duty free access to the Mexican market
equivalent to that provided by NAFTA &#8211; or if they do not today, they
might in the near future. Mexico&#8217;s membership in the WTO, the APEC, t=
he
OECD, the Free Trade Area of the Americas (FTAA) negotiations, and its purs=
uit
of bilateral investment treaties give further testimony to Mexico&#8217;s
commitment to economic liberalization.</span></p>

<h2><a name=3Dtwentysix></a><span lang=3DEN>Web Resources<span style=3D'mso=
-tab-count:
7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch5">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>The following is key contact inform=
ation for
the most relevant organizations&#8217; websites in both the public and priv=
ate
sectors.<span style=3D'mso-spacerun:yes'>&nbsp; </span>For additional
organizations, please contact CS Mexico.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Mexican Public Sector: <o:p></o:=
p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SE-Secretaria de Economia (Ministry=
 of
Economy)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>A.<span style=3D'mso-spacerun:yes'>=
&nbsp;
</span>DGN-Direccion General de Normas</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8211;Importation requirements by =
HTS
codes: <a href=3D"http://www.economia-snci.gob.mx/">http://www.economia-snc=
i.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8211;Text of NOMs, list of test
laboratories, certification bodies and verification units:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.economia.gob.=
mx/">http://www.economia.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>B.<span style=3D'mso-spacerun:yes'>=
&nbsp;
</span>Under secretariat of International Trade Negotiations</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SAGARPA<span
style=3D'mso-spacerun:yes'>&nbsp; </span>(Agriculture): <a
href=3D"http://www.sagarpa.gob.mx/">http://www.sagarpa.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SCT &#8211; Secretaria de Comunicac=
iones y
Transportes: http://www.sct.gob.mx</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8211;NOMs, regulations, and requi=
rements
for telecomm equipment: <a href=3D"http://www.cofetel.gob.mx/">http://www.c=
ofetel.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SECTUR<span style=3D'mso-spacerun:y=
es'>&nbsp;
</span>(Tourism): <a href=3D"http://www.sectur.gob.mx/">http://www.sectur.g=
ob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SEDESOL<span
style=3D'mso-spacerun:yes'>&nbsp; </span>(Social Development): <a
href=3D"http://www.sedesol.gob.mx/">http://www.sedesol.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SEMARNAT &#8211; Secretaria de Medio
Ambiente, Recursos Naturales: <a href=3D"http://www.semarnat.gob.mx/">http:=
//www.semarnat.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SENER (Energy) also SEDE: <a
href=3D"http://www.sener.gob.mx/">http://www.sener.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SSA (Health)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>&#8211;NOMs, regulations and more o=
f the
Ministry of Health: <a href=3D"http://www.ssa.gob.mx/">http://www.ssa.gob.m=
x</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>STPS<span style=3D'mso-spacerun:yes=
'>&nbsp;
</span>(Labor): <a href=3D"http://www.stps.gob.mx/">http://www.stps.gob.mx<=
/a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Mexican Private Sector:<o:p></o:=
p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>ANCE &#8211; Asociaci&oacute;n de
Normalizaci&oacute;n y Certificaci&oacute;n del Sector Electrico, A.C.</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>(National Association for the Stand=
ards
&amp; Certification of the Electrical Sector)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: electrical and gas:=
 <a
href=3D"http://www.ance.org.mx/">http://www.ance.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NYCE &#8211; Normalizaci&oacute;n y
Certificaci&oacute;n Electr&oacute;nica, A.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Electronic Standards &amp; Certifi=
cation)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: electronics, and ru=
bber
(tires): <a href=3D"http://www.nyce.org.mx/">http://www.nyce.org.mx</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>INMC &#8211; Instituto Mexicano de
Normalizaci&oacute;n y Certificaci&oacute;n, A.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Mexican Standards &amp; Certificat=
ion
Institute)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: general and quality
systems: <a href=3D"http://www.imnc.org.mx/">http://www.imnc.org.mx</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NORMEX &#8211; Sociedad Mexicana de
Normalizaci&oacute;n y Certificaci&oacute;n, S.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Mexican Standards &amp; Certificat=
ion
Society)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: foods, beverages,
packaging, packages, and quality systems <a href=3D"http://www.normex.com.m=
x/">http://www.normex.com.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>ONNCCE &#8211; Organismo Nacional de
Normalizaci&oacute;n y Certificaci&oacute;n de la Construcci&oacute;n y Edi=
ficaci&oacute;n,
S.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(National Body for the Standardizat=
ion and
Certification of Constructions and Buildings)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Standards area: construction: <a
href=3D"http://www.onncce.org.mx/">http://www.onncce.org.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>U.S. Standards Bodies with
Representation in Mexico:<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>ASTM&#8212;American Society for Tes=
ting and
Materials: <a href=3D"http://www.astm.org/">http://www.astm.org</a></span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Intertek Testing Services de Mexico=
, S.A.
de C.V.: <a href=3D"http://www.intertek.com/">http://www.intertek.com</a></=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NEMA&#8212; Electrical Equipment St=
andards:
<a href=3D"http://www.nema.org/">http://www.nema.org</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>NFPA&#8212;National Fire Protection
Association: <a href=3D"http://www.nfpa.org/">http://www.nfpa.org</a></span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>UL&#8212; Underwriters Laboratories=
 Inc.: <a
href=3D"http://www.ul.com/">http://www.ul.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h6><span lang=3DEN-US>Post Standards Contacts:</span></h6>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy - U.S. Commercial Serv=
ice</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.buyusa.gov/me=
xico">http://www.BuyUSA.gov/mexico</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.export.gov/">=
http://www.export.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><a href=3D=
"#toc"><span
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'>Return to table of contents</span><=
/a></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;mso-fareast-languag=
e:
EN-US;mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:a=
lways'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch6></a><span lang=
=3DEN-US
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'><a href=3D"#toc">Return to table of
contents</a><o:p></o:p></span></p>

<h1><span lang=3DEN-US>Chapter 6: Investment Climate</span></h1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#twentyseven">Openness to Foreign Investment</=
a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#thirtytwo">Conversion and Transfer Policies</=
a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#thirtythree">Expropriation and Compensation</=
a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#thirtyfour">Dispute Settlement</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#performancereqs">Performance Requirements and
     Incentives</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#thirtynine">Right to Private Ownership and
     Establishment</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#forty">Protection of Property Rights</a></spa=
n></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortyone">Transparency of Regulatory System</=
a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortytwo">Efficient Capital Markets and Portf=
olio
     Investment</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortythree">Political Violence</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortyfour">Corruption</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortyfive">Bilateral Investment Agreements</a=
></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortysix">OPIC and Other Investment Insurance
     Programs</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortyseven">Labor</a><u><o:p></o:p></u></span=
></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortyeight">Foreign-Trade Zones/Free Ports</a=
></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fdi">Foreign Direct Investment Statistics</a>=
</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l2 level1 lfo3;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fortynine">Web Resources</a></span></li>
</ul>

<h2><a name=3Dtwentyseven></a><span lang=3DEN>Openness to Foreign Investmen=
t<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><a name=3Dtwentyeight></a><span lang=3DEN-US>Mexico is=
 open to
foreign direct investment (FDI) in most economic sectors and has consistent=
ly
been one of the largest recipients of FDI among emerging markets. In recent
years, however, Mexico has become less competitive relative to other emergi=
ng
economies, particularly China, but also India and countries in Eastern Euro=
pe,
as it has failed to address serious crime and safety issues or pass much ne=
eded
fiscal, labor and energy sector reforms. Recent reports from AT Kearney,
Transparency International, the World Economic Forum and the Organization f=
or
Economic Cooperation and Development (OECD) have detailed the perceived dec=
line
in Mexico&#8217;s attractiveness as an investment destination. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Foreign investment in Mexico has la=
rgely
been concentrated in the northern states close to the U.S. border where most
maquiladoras are located, and in the Federal District of Mexico City. The
Yucatan peninsula, historically an area for tourism investment, has seen
industry in other sectors grow due in part to the ability to quickly send g=
oods
from its ports to the United States. Financial services, automotive and
electronic sectors have received the largest amounts of FDI. Historically, =
the
United States has been the largest source of FDI in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>As of September, U.S. investors had
provided 61.5 percent of 2006 FDI. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Government of Mexico has had so=
me success
in simplifying the process of investing in Mexico. The Secretariat of Econo=
my
(SECON) maintains a Spanish-language website (www.economia.gob.mx) offering=
 an
array of information, forms, links and transactions. Among other options,
interested parties can download import/export permit applications, make on-=
line
tax payments, and chat with on-line advisors who can answer specific invest=
ment
and trade related questions. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The SECON website also contains a l=
ink to
the Rapid Business Start-Up System (SARE), set up through an executive decr=
ee
by President Fox in January 2002. SARE reduces the time and number of
government formalities required to open a low-risk business. State governme=
nts,
notably Nuevo Leon, have also passed small business facilitation measures to
make it easier to open businesses. Despite progress however, according to a
World Bank study it takes on average 27 days to complete all paperwork requ=
ired
to start a business in Mexico; compared to an average OECD figure of 17 day=
s.
The Embassy advises potential investors to contact SECON for detailed
information on investing in Mexico. The address and telephone number for SE=
CON
is: </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Secretaria de Economia, Alfonso Rey=
es No.
30, Col. Hipodromo Condesa C.P. 06179, Mexico, D.F. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Tel: 52-55-5729-9100 </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The 1993 Foreign Investment Law is =
the
basic statute governing foreign investment in Mexico. The law is consistent
with the foreign investment chapter of NAFTA (the North American Free Trade
Agreement). It provides national (i.e. non-discriminatory) treatment for mo=
st
foreign investment, eliminates performance requirements for most foreign
investment projects, and liberalizes criteria for automatic approval of for=
eign
investment. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Foreign Investment Law identifi=
es 704
activities, 656 of which are open for 100 percent FDI stakes. There are 18
activities in which foreigners may only invest 49 percent; 13 of which requ=
ire
Foreign Investment National Commission approval for a 100 percent stake; 5
reserved for Mexican nationals; and 10 reserved for the Mexican state. Belo=
w is
a summary of activities subject to investment restrictions. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D1 cellspacing=3D0 cellpadding=3D0 wi=
dth=3D590
 style=3D'width:442.8pt;border-collapse:collapse;border:none;mso-border-alt=
:solid windowtext .5pt;
 mso-yfti-tbllook:480;mso-padding-alt:0cm 5.4pt 0cm 5.4pt;mso-border-inside=
h:
 .5pt solid windowtext;mso-border-insidev:.5pt solid windowtext'>
 <tr>
  <td width=3D590 valign=3Dtop style=3D'width:442.8pt;border:solid windowte=
xt 1.0pt;
  border-bottom:none;mso-border-top-alt:solid windowtext .5pt;mso-border-le=
ft-alt:
  solid windowtext .5pt;mso-border-right-alt:solid windowtext .5pt;padding:
  0cm 5.4pt 0cm 5.4pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  <p class=3DMsoNormal><span lang=3DEN-US>TABLE I </span></p>
  </td>
 </tr>
 <tr style=3D'height:152.0pt'>
  <td width=3D590 valign=3Dtop style=3D'width:442.8pt;border-top:none;borde=
r-left:
  solid windowtext 1.0pt;border-bottom:none;border-right:solid windowtext 1=
.0pt;
  mso-border-left-alt:solid windowtext .5pt;mso-border-right-alt:solid wind=
owtext .5pt;
  padding:0cm 5.4pt 0cm 5.4pt;height:152.0pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  <p class=3DMsoNormal><span lang=3DEN-US>SECTION 1: SECTORS RESERVED FOR T=
HE STATE
  IN WHOLE OR IN PART :</span></p>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  <p class=3DMsoNormal style=3D'margin-left:18.0pt;tab-stops:18.0pt 36.0pt'=
><span
  lang=3DEN-US>A)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Petroleum a=
nd other
  hydrocarbons; <br>
  B)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Basic petrochemicals; <b=
r>
  C)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Telegraphic and radio te=
legraphic
  services; <br>
  D)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Radioactive materials; <=
br>
  E)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Electric power generatio=
n,
  transmission, and distribution; <br>
  F)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Nuclear energy; <br>
  G)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Coinage and printing of =
money;
  <br>
  H)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Postal service; <br>
  I)<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>Airports; <br>
  J)<span style=3D'mso-spacerun:yes'>&nbsp; </span>Control, supervision and
  surveillance of ports and heliports. </span></p>
  <p class=3DMsoNormal style=3D'margin-left:18.0pt;tab-stops:18.0pt 36.0pt'=
><span
  lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes;height:112.0pt'>
  <td width=3D590 valign=3Dtop style=3D'width:442.8pt;border:solid windowte=
xt 1.0pt;
  border-top:none;mso-border-left-alt:solid windowtext .5pt;mso-border-bott=
om-alt:
  solid windowtext .5pt;mso-border-right-alt:solid windowtext .5pt;padding:
  0cm 5.4pt 0cm 5.4pt;height:112.0pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  <p class=3DMsoNormal><span lang=3DEN-US>SECTION 2: SECTORS RESERVED FOR M=
EXICAN
  NATIONALS :</span></p>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  <p class=3DMsoNormal style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-=
list:
  l6 level1 lfo30;tab-stops:list 36.0pt'><![if !supportLists]><span lang=3D=
EN-US
  style=3D'mso-fareast-font-family:Arial;mso-bidi-font-family:Arial'><span
  style=3D'mso-list:Ignore'>A)<span style=3D'font:7.0pt "Times New Roman"'>=
&nbsp;&nbsp;
  </span></span></span><![endif]><span lang=3DEN-US>Retail sales of gasolin=
e and
  liquid petroleum gas; </span></p>
  <p class=3DMsoNormal style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-=
list:
  l6 level1 lfo30;tab-stops:list 36.0pt'><![if !supportLists]><span lang=3D=
EN-US
  style=3D'mso-fareast-font-family:Arial;mso-bidi-font-family:Arial'><span
  style=3D'mso-list:Ignore'>B)<span style=3D'font:7.0pt "Times New Roman"'>=
&nbsp;&nbsp;
  </span></span></span><![endif]><span lang=3DEN-US>Non-cable radio and
  television services;</span></p>
  <p class=3DMsoNormal style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-=
list:
  l6 level1 lfo30;tab-stops:list 36.0pt'><![if !supportLists]><span lang=3D=
EN-US
  style=3D'mso-fareast-font-family:Arial;mso-bidi-font-family:Arial'><span
  style=3D'mso-list:Ignore'>C)<span style=3D'font:7.0pt "Times New Roman"'>=
&nbsp;&nbsp;
  </span></span></span><![endif]><span lang=3DEN-US>Credit Unions, Savings =
and
  Loan Institutions, and Development Banks; </span></p>
  <p class=3DMsoNormal style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-=
list:
  l6 level1 lfo30;tab-stops:list 36.0pt'><![if !supportLists]><span lang=3D=
EN-US
  style=3D'mso-fareast-font-family:Arial;mso-bidi-font-family:Arial'><span
  style=3D'mso-list:Ignore'>D)<span style=3D'font:7.0pt "Times New Roman"'>=
&nbsp;&nbsp;
  </span></span></span><![endif]><span lang=3DEN-US>Certain professional and
  technical services; </span></p>
  <p class=3DMsoNormal style=3D'margin-left:36.0pt;text-indent:-18.0pt;mso-=
list:
  l6 level1 lfo30;tab-stops:list 36.0pt'><![if !supportLists]><span lang=3D=
EN-US
  style=3D'mso-fareast-font-family:Arial;mso-bidi-font-family:Arial'><span
  style=3D'mso-list:Ignore'>E)<span style=3D'font:7.0pt "Times New Roman"'>=
&nbsp;&nbsp;
  </span></span></span><![endif]><span lang=3DEN-US>Domestic transportation=
 for
  passengers, tourism and freight, except for messenger or package delivery
  services. </span></p>
  <p class=3DMsoNormal style=3D'margin-left:18.0pt'><span lang=3DEN-US><o:p=
>&nbsp;</o:p></span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. and Canadian investors general=
ly
receive national and most-favored-nation treatment in setting up operations=
 or acquiring
firms. Exceptions exist for investments for which the Government of Mexico
recorded its intent in NAFTA to restrict certain industries to Mexican
nationals. U.S. and Canadian companies have the right under NAFTA to
international arbitration and the right to transfer funds without restricti=
ons.
NAFTA also eliminated some barriers to investment in Mexico, such as trade
balancing and domestic content requirements. Local governments must also ac=
cord
national treatment to investors from NAFTA countries. Mexico is also a part=
y to
several OECD agreements covering foreign investment, notably the Code of
Liberalization of Capital Movements and the National Treatment Instrument. =
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Approximately 95 percent of all for=
eign
investment transactions do not require government approval. Foreign investm=
ents
requiring applications and not exceeding USD 165 million are automatically
approved, unless the proposed investment is in a sector subject to restrict=
ions
by the Mexican constitution and Foreign Investment Law that reserve certain
sectors for the state and Mexican nationals (see Table 1). The National For=
eign
Investment Commission determines whether investments in restricted sectors =
may
go forward and has 45 working days to make a decision. Criteria for approva=
l include
employment and training considerations, technological contributions, and
contributions to productivity and competitiveness. The Commission may reject
applications to acquire Mexican companies for national security reasons. The
Secretariat of Foreign Relations (SRE) must issue a permit for foreigners to
establish or change the nature of Mexican companies. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h5><span lang=3DEN-US>Energy </span></h5>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican constitution reserves o=
wnership
of the petroleum and other hydrocarbon reserves located within Mexico. Oil =
and
gas exploration and production efforts are under the sole purview of Pemex,
Mexico&#8217;s petroleum parastatal. The constitution also provides that mo=
st
electricity service may only be supplied by two state-owned companies, the
Federal Electricity Commission (CFE) and Central Power and Light (LYFC). Th=
ere
has been some opening to private capital. Private electric co-generation and
self-supply are now allowed. Private investors may build independent power
projects but all of their output must be sold to the Federal Electricity Co=
mmission
in wholesale transactions. Private construction of generation for export is
permitted. In 1995, amendments to the Petroleum Law opened transportation,
storage, marketing and distribution of natural gas imports and issued open
access regulations for Pemex's natural gas transportation network. Retail
distribution of Mexico's natural gas is open to private investment, as is t=
he
secondary petrochemical industry. Since the government&#8217;s announcement=
 in
August 2001 that national and foreign private firms will be able to import
liquefied petroleum gas duty-free, one LNG terminal has begun operation in
Tamaulipas state, a second is under construction in Baja California, and CF=
E is
bidding a third on Mexico&#8217;s Pacific Coast.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Multiple Service Contracts (MSCs), =
designed
to comply with the country's constitution, mark Mexico's most ambitious eff=
ort
to attract private companies to stimulate natural gas production by develop=
ing
non-associated natural gas fields. Under an MSC contract, private companies
will be responsible for 100 percent of the financing of a contract and will=
 be
paid for the work performed and services rendered. However, the natural gas
produced in a specific field remains the property of Pemex. Examples of work
that contractors can perform include seismic processing and interpretation,
geological modeling, fields engineering, production engineering, drilling,
facility design and construction, facility and well maintenance, and natural
gas transportation services. Some Mexican politicians still oppose MSCs as a
violation of the Mexican constitution's ban on concessions. Some contracts =
have
failed to attract any bids, demonstrating the limited success of MSCs. </sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>Minor changes to the regime through=
 which
Pemex remits funds to the Federal Government passed in November 2005 and
further limited changes are contemplated in the current legislative session=
 to
reform specific aspects of Pemex&#8217;s commercial operations.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h5><span lang=3DEN-US>Telecommunications</span></h5>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico allows up to 49 percent FDI =
in
companies that provide telecommunications networks and services. This inclu=
des
the Cable TV (CATV) industry, with one exception: companies can issue Neutr=
al
or &quot;N&quot; stocks up to 99 percent, which can be owned by a foreign
company. In fact, one CATV company operates under this ownership scheme. Th=
ere
is no limit on FDI in companies providing cellular services.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>However, Telmex continues to reign=
 as
the dominant telecom power and wields significant influence over key regula=
tory
and government decision makers. Mexico's dominant landline and wireless
carriers are traded on the New York Stock Exchange. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Several large U.S. and international
telecom companies are active in Mexico, partnering with Mexican companies or
holding minority shares.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Foll=
owing
a 2004 WTO ruling, international resellers are authorized to operate in Mex=
ico
and so some companies are also looking to sell wholesale minutes to
resellers.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>Telcel
(technically independent, but majority owned by Telmex owner&#8217;s Grupo
Carso) still retains a majority share (about 70 percent) of the cellular
market. However, Spain&#8217;s Telefonica Movistar, among others, continues=
 to
grow and challenge the status quo. They have deployed extensive mobile
infrastructure to increase coverage around the country.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Telmex continues and will continue =
to
dominate the market in Long Distance (local and international), Internet ac=
cess
through DSL, and bundle services. A new Convergence Accord, published in
October, allows Telmex to offer broadcasting or TV services.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The Federal Telecommunications
Commission has not found any legal reason that Telmex would be required to =
pay
a fee to the government for the privilege, but the Secretariat of Economy is
reviewing the issue.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The acco=
rd has
elicited strong concerns from the CATV industry, which fears that it will p=
ush
CATV operators to consolidate.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>However, under the accord, CATV operators (including TV duopolist
Televisa&#8217;s Cablevision) will also be allowed to begin providing telep=
hone
services, which might increase competition in the telephony market. </span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>As in telecommunications, there are
concerns that the two dominant television companies &#8211; Televisa and TV
Azteca, who share duopoly status in the sector &#8211; continue to exercise
influence over Mexican judicial, legislative, policy, and regulatory bodies=
 to
prevent competition. The Radio and Television Law passed in March 2006 has =
been
criticized as catering to the interests of dominant industry players by
imposing permanent disadvantages on new entrants as compared to the current
dominant duopoly.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. firms remain unable to penetra=
te the
Mexican television broadcast market, despite the fact that both Televisa an=
d TV
Azteca benefit from access to the U.S. market. TV Azteca has used the Mexic=
an
legal system to harass a U.S. firm trying to enter this sector. This harass=
ment
included TV Azteca personnel directing a raid, with the support of Mexico C=
ity
auxiliary police, on production facilities for the purpose of stopping
production of a show in Mexico for U.S. Spanish-speaking audiences and ther=
eby
obtaining relief that Azteca could not legitimately obtain in the United
States. Mexico&#8217;s television ad market is estimated to be worth in exc=
ess
of 2.5 USD billion annually.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h5><span lang=3DEN-US>Real Estate </span></h5>

<p class=3DMsoNormal><span lang=3DEN-US>Investment restrictions still prohi=
bit
foreigners from acquiring title to residential real estate in so-called
&quot;restricted zones&quot; within 50 kilometers (approximately 30 miles) =
of
the nation's coast and 100 kilometers (approximately 60 miles) of the borde=
rs.
In all, the restricted zones total about 40 percent of Mexico&#8217;s
territory. Nevertheless, foreigners may acquire the effective use of
residential property in the restricted zones through the establishment of a
50-year extendible trust (called a fideicomiso) arranged through a Mexican
financial institution that acts as trustee. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Under a fideicomiso the foreign inv=
estor
obtains all rights of use of the property, including the right to develop, =
sell
and transfer the property. Real estate investors should, however, be carefu=
l in
performing due diligence to ensure that there are no other claimants to the=
 property
being purchased. Fideicomiso arrangements have led to legal challenges in s=
ome
cases. Title insurance has recently become available in Mexico and a few ma=
jor
U.S. title insurers have begun operations here. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h5><span lang=3DEN-US>Transport</span></h5>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican government allows up to=
 49
percent foreign ownership of 50-year concessions to operate parts of the
railroad system, renewable for a second 50-year period. The Mexican Foreign
Investment Commission and the Mexican Federal Competition Commission (CFC) =
must
approve ownership above 49 percent.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>In a positive sign for competition, the CFC recently struck down a
proposed merger between two of the three major railroad companies.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The decision may still be appealed=
.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Consistent with NAFTA, foreign inv=
estors
from the U.S. and Canada are now permitted to own up to 100 percent of local
trucking and bus companies, however, several companies have encountered long
wait times and legal tie-ups when trying to obtain permits. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>CINTRA, the government holding comp=
any for
the Mexican airline groups, Mexicana and Aeromexico, sold Grupo Mexicana to
Grupo Posadas in December 2005.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Rumors of plans to sell Grupo Aeromexico still abound, although the
timing of the proposed sale is still uncertain. These sales, coupled with t=
he
emergence of new low-cost start-ups are likely to change the dynamics of
Mexican aviation in the short to medium term. Despite blossoming competitio=
n,
foreign ownership of Mexican airlines is capped at 25 percent. Foreign
ownership in airports is limited to 49 percent.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Express delivery service companies
continue to complain that Mexican legislation unfairly favors Mexican compa=
nies
by restricting the size of trucks international carriers are allowed to
use.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<h2><a name=3Dthirtytwo></a><span lang=3DEN>Conversion and Transfer Policie=
s<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has open conversion and tran=
sfer
policies as a result of its membership in NAFTA and the OECD. In general,
capital and investment transactions, remittance of profits, dividends,
royalties, technical service fees, and travel expenses are handled at
market-determined exchange rates. Peso/dollar foreign exchange is available=
 on
same-day, 24- and 48-hour settlement bases. Most large foreign exchange
transactions are settled in 48 hours. In June 2003, the U.S. Federal Reserve
Bank and the Bank of Mexico announced the establishment of an automated
clearinghouse for cross-border financial transactions. The International
Electronic Funds Transfer System (TEFI) began operating in 2004 and commiss=
ions
on transfers through the system have dropped rapidly.</span></p>

<h2><a name=3Dthirtythree></a><span lang=3DEN>Expropriation and Compensatio=
n<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Under NAFTA, Mexico may not expropr=
iate
property, except for a public purpose and on a non-discriminatory basis.
Expropriations are governed by international law, and require rapid fair ma=
rket
value compensation, including accrued interest. Investors have the right to
international arbitration for violations of this or any other rights includ=
ed
in the investment chapter of NAFTA. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There have been twelve arbitration =
cases,
six of which are still pending, filed against Mexico by U.S. and Canadian
investors who allege expropriation, and other violations of Mexico&#8217;s
NAFTA obligations. Details of the cases can be found at the Department of S=
tate
Website, Office of the Legal Advisor (<a href=3D"http://www.state.gov/s/l">=
www.state.gov/s/l</a>).</span></p>

<h2><a name=3Dthirtyfour></a><span lang=3DEN>Dispute Settlement<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Chapter Eleven of NAFTA contains pr=
ovisions
designed to protect cross-border investors and facilitate the settlement of
investment disputes. For example, each NAFTA Party must accord investors fr=
om
the other NAFTA Parties national treatment and may not expropriate investme=
nts
of those investors except in accordance with international law. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Chapter Eleven permits an investor =
of one
NAFTA Party to seek money damages for measures of one of the other NAFTA
Parties that allegedly violate those and other provisions of Chapter Eleven.
Investors may initiate arbitration against the NAFTA Party under the
Arbitration Rules of the United Nations Commission on International Trade L=
aw
(&quot;UNCITRAL Rules&quot;) or the Arbitration (Additional Facility) Rules=
 of
the International Center for Settlement of Investment Disputes (&quot;ICSID
Additional Facility Rules&quot;). Alternatively, a NAFTA investor may choos=
e to
use the registering country's court system. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican government and courts r=
ecognize
and enforce arbitral awards. The Embassy has heard of no actions taken in t=
he
Mexican courts for an alleged Chapter 11 violation on behalf of U.S. or
Canadian firms. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There have been numerous cases in w=
hich
foreign investors, particularly in real estate transactions, have spent yea=
rs
dealing with Mexican courts trying to resolve their disputes. Often real es=
tate
disputes occur in popular tourist areas such as the Yucatan. American inves=
tors
should understand that under Mexican law many commercial disputes that woul=
d be
treated as civil cases in the U.S. could also be treated as criminal
proceedings in Mexico. Based upon the evidence presented a judge may decide=
 to
issue arrest warrants. In such cases Mexican law also provides for a judici=
al
official to issue an &quot;amparo&quot; (injunction) to shield defendants f=
rom
arrest. U.S. investors involved in commercial disputes should therefore obt=
ain
competent Mexican legal counsel, and inform the U.S. Embassy if arrest warr=
ants
are issued.</span></p>

<h2><a name=3Dthirtyfive></a><a name=3Dperformancereqs></a><span lang=3DEN>=
Performance
Requirements and Incentives<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><a name=3Dthirtysix></a><span lang=3DEN-US>The 1993 Fo=
reign
Investment Law eliminated export requirements (except for maquiladora
industries), capital controls, and domestic content percentages, which are
prohibited under NAFTA. Foreign investors already in Mexico at the time the=
 law
became effective could apply for cancellation of prior commitments. Foreign
investors who failed to apply for the revocation of existing performance
requirements remained subject to them. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican federal government has
eliminated direct tax incentives, with the exception of accelerated
depreciation. A comprehensive fiscal reform package including changes to
corporate, individual, and other taxes has been proposed. Some changes to t=
ax
law under this framework were approved with the 2005 Revenue Bill, reducing
income tax rates on a gradual basis. Needed comprehensive fiscal reform has
stalled although the current administration has indicated it will pursue the
matter in the coming years.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Investors should follow this development closely as whatever reforms
that ultimately emerge could have implications for investors.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Most taxes in Mexico are federal;
therefore, states have limited opportunity to offer tax incentives. However,
Mexican states have begun competing aggressively with each other for
investments, and most have development programs for attracting industry. Th=
ese
include reduced price (or even free) real estate, employee training program=
s,
and reductions of the 2 percent state payroll tax, as well as real estate, =
land
transfer, and deed registration taxes. Four northern states &#8211; Nuevo L=
eon,
Coahuila, Chihuahua and Tamaulipas &#8211; have signed an agreement with the
state of Texas to facilitate regional economic development and integration.
Investors should consult the Finance, Economy, and Environment Secretariats=
, as
well as state development agencies, for more information on fiscal incentiv=
es.
Tax attorneys and industrial real estate firms can also be good sources of
information. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Consulates have reported that =
the
states in their consular districts have had to modify their incentive packa=
ges
due to government decentralization. Many states have also developed unique
industrial development policies. Sonora, for example, is working to expand =
the
free entry area for tourists (south from the border to the port of Guaymas.)
Sonora is one state that has implemented long-term agriculture and
infrastructure development plans. The government of Yucatan provides
information and support to potential investors and business entrepreneurs
through several programs that target different industries such as technolog=
y,
agroindustry and energy exploration. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There is a government-owned develop=
ment
bank, Nacional Financiera, S.A. (<a href=3D"http://www.nafin.com/">www.nafi=
n.com</a>),
which provides loans to companies in priority development areas and industr=
ies.
It is active in promoting joint Mexican-foreign ventures for the production=
 of
capital goods. Nacional Financiera offers preferential, fixed-rated financi=
ng
for the following types of activities: small and medium businesses;
environmental improvements; studies and consulting assistance; technological
development; infrastructure; modernization; and capital contribution.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>The Mexican Bank for Foreign
Trade, Bancomext, offers a variety of export financing and promotion progra=
ms (<a
href=3D"http://www.bancomext.com/">www.bancomext.com</a>). </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has two programs to stimulate
manufactured exports - maquiladora and PITEX (Program for Temporary Imports=
 to
produce Exports) &#8211; that largely operate in the same manner. The first=
 is
focused on companies that specialize in in-bond manufacturing and export, w=
hile
the second is for companies that may have significant domestic sales.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In November 2006, the maquiladora =
and
PITEX programs were combined into the renamed IMMEX (Industria Manufacturer=
a,
Maquiladora y Servicios de Exportacion) program.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The IMMEX program adds services, s=
uch as
business process outsourcing, to the maquila scheme and also simplifies and
streamlines the processes under the two previous schemes.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>The new program will continu=
e to
exempt companies from import duties and applicable taxes (e.g. VAT) on inpu=
ts
and components incorporated into exported manufactured goods. In addition,
capital goods and the machinery used in the production process are tax exem=
pt,
but are currently subject to import duties. Companies interested in investi=
ng
in industrial activity in Mexico need to follow the new IMMEX guidelines
closely, preferably in close consultation with locally based legal
advisors.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Please refer to the
Secretariat of Economy&#8217;s IMMEX program website at: <a
href=3D"http://www.economia.gob.mx/?P=3D2297">http://www.economia.gob.mx/?P=
=3D2297</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In order to maintain competitivenes=
s of
maquiladora and PITEX companies and comply with NAFTA provisions, since 2001
Mexico has applied &quot;Sectoral Promotion Programs&quot; (PROSEC). Under
these programs, most favored nation import duties on listed inputs and
components used to produce specific products are eliminated, or reduced to a
competitive level. These programs comply with NAFTA provisions because impo=
rt
duty reduction is available to all producers, whether the final product is =
sold
domestically or is exported to a NAFTA country.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Currently there are 22 PROSECs,
including electronics and home appliances, automotive and auto-parts, texti=
le
and apparel, footwear, and others. The lists of inputs and components
incorporated under each PROSEC are not exhaustive, and the Mexican governme=
nt
regularly consults with industries to include more goods.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In the last three years the Secreta=
riat of
Economy conducted, in partnership with the private sector, 12 studies, call=
ed
&quot;Programs for Sectoral Competitiveness&quot;, of the country&#8217;s m=
ost
important sectors according to their levels of exports, employment and
FDI.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Studies covering the
electronics, automotive, textile, maquiladora, leather and footwear, and
software sectors are currently available at the website of the Secretary of=
 Economy
(<a href=3D"http://www.economia.gob.mx/index.jsp?P=3D944">http://www.econom=
ia.gob.mx/index.jsp?P=3D944</a>).</span></p>

<h2><a name=3Dthirtynine></a><span lang=3DEN>Right to Private Ownership and
Establishment<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Foreign and domestic private entiti=
es are
permitted to establish and own business enterprises and engage in all forms=
 of
remunerative activity in Mexico, except those enumerated in Section 1 Table=
 1.
Private enterprises are able to freely establish, acquire and dispose of
interests in business enterprises. The two most common types of business
entities are corporations (Sociedad Anonima) and limited partnerships (Soci=
edad
de Responsibilidad Limitada). Under these legal entities a foreign company =
may
operate an independent company, a branch, affiliate, or subsidiary company =
in
Mexico. The rules and regulations for starting an enterprise differ for each
structure.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D0 cellpadding=3D0 style=3D'mso-cells=
pacing:1.5pt'>
 <tr>
  <td width=3D295 style=3D'width:221.25pt;border-top:none;border-left:none;
  border-bottom:solid windowtext 1.0pt;border-right:solid windowtext 1.0pt;
  mso-border-bottom-alt:solid windowtext .5pt;mso-border-right-alt:solid wi=
ndowtext .5pt;
  padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DEN-US>Corporation<o:p></o:p></span></b></p>
  <p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DEN-US>(Sociedad
  Anonima)</span></b></p>
  </td>
  <td width=3D295 style=3D'width:221.25pt;border:none;border-bottom:solid w=
indowtext 1.0pt;
  mso-border-bottom-alt:solid windowtext .5pt;padding:.75pt .75pt .75pt .75=
pt'>
  <p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DES-MX
  style=3D'mso-ansi-language:ES-MX'>Limited Liability Company<o:p></o:p></s=
pan></b></p>
  <p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><span lang=
=3DES-MX
  style=3D'mso-ansi-language:ES-MX'>(Sociedad de Responsibilidad Limitada)<=
/span></b><span
  lang=3DES-MX style=3D'mso-ansi-language:ES-MX'><o:p></o:p></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;border:none;border-r=
ight:solid windowtext 1.0pt;
  mso-border-right-alt:solid windowtext .5pt;padding:.75pt .75pt .75pt .75p=
t'>
  <p class=3DMsoNormal><span lang=3DEN-US>Can be up to 100 percent foreign-=
owned.</span></p>
  </td>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Can be up to 100 percent foreign-=
owned.</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;border:none;border-r=
ight:solid windowtext 1.0pt;
  mso-border-right-alt:solid windowtext .5pt;padding:.75pt .75pt .75pt .75p=
t'>
  <p class=3DMsoNormal><span lang=3DEN-US>Must have a minimum of 50,000 Mex=
ican
  pesos in capital stock to start.</span></p>
  </td>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Must have a minimum of 3,000 Mexi=
can
  pesos in capital stock to start.</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;border:none;border-r=
ight:solid windowtext 1.0pt;
  mso-border-right-alt:solid windowtext .5pt;padding:.75pt .75pt .75pt .75p=
t'>
  <p class=3DMsoNormal><span lang=3DEN-US>Must have minimum of 2 shareholde=
rs, with
  no maximum. Board of Directors can run the administration of the company.=
</span></p>
  </td>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Must have a minimum of 2 partners=
 to
  incorporate a corporation with limited liability. The partners must manage
  the company.</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;border:none;border-r=
ight:solid windowtext 1.0pt;
  mso-border-right-alt:solid windowtext .5pt;padding:.75pt .75pt .75pt .75p=
t'>
  <p class=3DMsoNormal><span lang=3DEN-US>The enterprise has an indefinite =
life
  span.</span></p>
  </td>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Exists only while there is a busi=
ness
  purpose and partners remain the same.</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;border:none;border-r=
ight:solid windowtext 1.0pt;
  mso-border-right-alt:solid windowtext .5pt;padding:.75pt .75pt .75pt .75p=
t'>
  <p class=3DMsoNormal><span lang=3DEN-US>Free transferability of stock own=
ership
  is permitted.</span></p>
  </td>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Restricted transferability of par=
tnership
  shares. Any changes in the partnership composition may cause the partners=
hip
  to be liquidated.</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;border:none;border-r=
ight:solid windowtext 1.0pt;
  mso-border-right-alt:solid windowtext .5pt;padding:.75pt .75pt .75pt .75p=
t'>
  <p class=3DMsoNormal><span lang=3DEN-US>Operational losses incurred by the
  Mexican entity on subsidiary may not be used by the U.S. parent company.<=
/span></p>
  </td>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>If structured properly, it may of=
fer tax
  advantages by allowing operational losses incurred by the Mexican entity =
to
  be used by the U.S. parent company.</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;border:none;border-r=
ight:solid windowtext 1.0pt;
  mso-border-right-alt:solid windowtext .5pt;padding:.75pt .75pt .75pt .75p=
t'>
  <p class=3DMsoNormal><span lang=3DEN-US>Limited liability to shareholders=
.</span></p>
  </td>
  <td width=3D295 valign=3Dtop style=3D'width:221.25pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Limited liability is afforded the
  partners.</span></p>
  </td>
 </tr>
</table>

<h2><a name=3Dforty></a><span lang=3DEN>Protection of Property Rights<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></spa=
n><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Two different laws provide the core=
 legal
basis for protection of intellectual property rights (IPR) in Mexico -- the
Industrial Property Law (Ley de Propiedad Industrial) and the Federal Copyr=
ight
Law (Ley Federal del Derecho de Autor).<span style=3D'mso-spacerun:yes'>&nb=
sp;
</span>Multiple federal agencies are responsible for various aspects of IPR
protection in Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Off=
ice of
the Attorney General (Procuradur&iacute;a General de la Republica, or PGR) =
has
a specialized unit that pursues criminal IPR investigations.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexican Institute of Industrial
Property (Instituto Mexicano de la Propiedad Industrial, or IMPI) administe=
rs
Mexico&#8217;s trademark and patent registries and is responsible for handl=
ing
administrative cases of IPR infringement.<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span>The National Institute of Author Rights (Instituto Nacional del Dere=
cho
de Autor) administers Mexico&#8217;s copyright register and also provides l=
egal
advice and mediation services to copyright owners who believe their rights =
have
been infringed.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexican C=
ustoms
Service (Aduana M&eacute;xico) plays a key role in ensuring that illegal go=
ods
do not cross Mexico&#8217;s borders.<span style=3D'mso-spacerun:yes'>&nbsp;=
&nbsp;&nbsp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Despite strengthened enforcement ef=
forts by
Mexico's federal authorities over the past several years, weak penalties and
other obstacles to effective IPR protection have failed to deter the rampant
piracy and counterfeiting found throughout the country.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The U.S. Government continues to w=
ork
with its Mexican counterparts to improve the business climate for owners of
intellectual property.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Please=
 refer
to the Embassy&#8217;s IPR Toolkit for more information: <a
href=3D"http://mexico.usembassy.gov/mexico/IPR.html">http://mexico.usembass=
y.gov/mexico/IPR.html</a>.
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is a signatory of at least f=
ifteen
international treaties, including the Paris Convention for the Protection of
Industrial Property, the NAFTA, and the WTO Agreement on Trade-related Aspe=
cts
of Intellectual Property Rights.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Though Mexico signed the Patent Cooperation Treaty in Geneva, Switze=
rland
in 1994, which allows for simplified patent registration procedure when
applying for patents in more than one country at the same time, it is neces=
sary
to register any patent or trademark in Mexico in order to claim an exclusive
right to any given product.<span style=3D'mso-spacerun:yes'>&nbsp; </span>A=
 prior
registration in the United States does not guarantee its exclusivity and pr=
oper
use in Mexico, but serves merely as support for the authenticity of any cla=
im
you might make, should you take legal action in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>An English-language overview of Mex=
ico's
IPR regime can be found on the WIPO website at: <a
href=3D"http://www.wipo.int/about-ip/en/ipworldwide/pdf/mx.pdf">http://www.=
wipo.int/about-ip/en/ipworldwide/pdf/mx.pdf</a>.
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Although a firm or individual may a=
pply
directly, most foreign firms hire local law firms specializing in intellect=
ual
property.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The U.S. Embassy&#8=
217;s
Commercial Section maintains a list of such law firms in Mexico at: <a
href=3D"http://www.buyusa.gov/mexico/en/business_service_providers.html">ht=
tp://www.buyusa.gov/mexico/en/business_service_providers.html</a>.</span></=
p>

<h2><a name=3Dfortyone></a><span lang=3DEN>Transparency of Regulatory Syste=
m<span
style=3D'mso-tab-count:4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></=
span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>The Federal Commission on Regulatory
Improvement (COFEMER) under the management of the Secretariat of Economy is=
 the
agency responsible for reducing the regulatory burden on business. The Mexi=
can
government has made progress in the last few years.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>On a quarterly basis, these agenci=
es
must report to the Presidency on progress achieved toward Presidential goals
for reducing the regulatory burden. In December 2006, President Calderon
replaced the Regulatory Moratorium Agreement, issued by the previous
administration to ensure agencies streamline their regulatory promulgation
processes, with the Quality Regulatory Agreement.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>The new agreement intends to=
 allow
the creation of new regulations only when agencies prove that they are need=
ed
because of an emergency, because of the need to comply with international
commitments, or because of obligations established by law.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The federal law on administrative
procedures has been a significant investment policy accomplishment. The law
requires all regulatory agencies to prepare an impact statement for new
regulations, which must include detailed information on the problem being
addressed, the proposed solutions, the alternatives considered, and the
quantitative and qualitative costs and benefits and any changes in the amou=
nt
of paperwork businesses would face if a proposed regulation is to be
implemented. Despite these measures, many difficulties remain. Foreign firms
continue to list bureaucracy, slow government decision-making, lack of
transparency, a heavy tax burden, and a rigid labor code among the principal
negative factors inhibiting investment in Mexico. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Secretariat of Public Administr=
ation
has made considerable strides in improving transparency in government,
including government contracting and involvement of the private sector in
enhancing transparency and fighting corruption. The Mexican government has
established several Internet sites to increase transparency of government
processes and establish guidelines for the conduct of government officials.
&quot;Normateca&quot; provides information on government regulations;
&quot;Compranet&quot; allows for on-line federal government procurement;
&quot;Tramitanet&quot; permits electronic processing of transactions within=
 the
bureaucracy thereby reducing the chances for bribes; and &quot;Declaranet&q=
uot;
allows for on-line filing of income taxes for federal employees.</span></p>

<h2><a name=3Dfortytwo></a><span lang=3DEN>Efficient Capital Markets and Po=
rtfolio
Investment<span style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican banking sector has stre=
ngthened
considerably since the 1994 peso crisis left it virtually insolvent. Since =
the
crisis, Mexico has introduced reforms to buttress the banking system and to
consolidate financial stability.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>These reforms include creating a more favorable economic and regulat=
ory
environment to foster banking sector growth by reforming bankruptcy and len=
ding
laws, moving pension fund administration to the private sector, and raising=
 the
maximum foreign bank participation allowance.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The bankruptcy and lending reforms
passed by Congress in 2000 and 2003 effectively made it easier for creditor=
s to
collect debts in cases of insolvency by creating Mexico's first effective l=
egal
framework for the granting of collateral.<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span>Pension reform allows employees to choose their own pension plan.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>Allowing banks or their holding
companies to manage these funds provides additional capital to the banking
sector, while the increased competition focuses fund managers on investment
returns. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The financial profile of the bankin=
g sector
has improved due to the reduction in the problem assets brought about by
write-offs, problem loan sales, and the conclusion of most debt-relief
programs.<span style=3D'mso-spacerun:yes'>&nbsp; </span>These developments,
combined with more stringent capital requirements, have contributed to an
improvement in the level and composition of capital across the banking syst=
em,
particularly among the larger institutions. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Foreign bank participation, at over=
 80
percent of the banking system, is having a positive effect on Mexico's bank=
ing
sector.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The most apparent imp=
act is
the large size of equity investments, which have been used to clean the
acquired institutions' balance sheets. Additionally, higher foreign
participation should improve the technology and risk management techniques
(i.e. standards in auditing, accounting and disclosure) of the banking
system.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Examples of changes
implemented by foreign bank owners include improvements in credit approval =
processes,
loan documentation, and credit-related management information systems.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>With the support of strong interna=
tional
shareholders, these banks should also benefit from greater access to fundin=
g. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Bank lending, especially consumer l=
ending
and mortgages, grew rapidly in 2005 and 2006, fueled by lower interest rates
and historically low inflation.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Small and medium-sized businesses still complain of a lack of access=
 to
credit, but government-owned development banks have expanded their lending =
to
this sector.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Despite the expa=
nsion,
such lending remains low as a percentage of GDP.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Private banks argue that due dilig=
ence
in lending to such business is difficult given the large amount of revenue =
kept
off the books to avoid increased tax liability.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Commercial loans to established com=
panies
with well-documented accounts are available in Mexico, but many large compa=
nies
have resorted to utilizing retained earnings to fund growth.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Supplier credit is the main source=
 of
financing for many businesses.<span style=3D'mso-spacerun:yes'>&nbsp; </spa=
n>The
largest companies are able to issue debt for their financing needs, tapping
into a growing pool of pension funds looking for investment options.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Non-bank financing is generally
available, however, only to large companies with strong credit ratings and
important commercial ties with their suppliers - i.e., companies that could
easily procure bank financing. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Secretariat of Finance and Publ=
ic
Credit sets regulatory policy and oversees the National Securities and Bank=
ing
Commission (CNBV), which is the primary banking regulator.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico&#8217;s central bank, the B=
ank of
Mexico (BOM), also has a regulatory role in addition to setting monetary
policy.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Institute for the
Protection of Bank Savings (IPAB) handles deposit insurance and is charged =
with
finishing the work of the former insurance and bank rescue fund, FOBAPROA,
which took over large portfolios of bad loans from the 1995 banking crisis.=
 </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Recent reforms creating better regu=
lation
and supervision of financial intermediaries and fostering greater competiti=
on
have helped strengthen the financial sector and capital markets.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>These reforms, coupled with sound
macroeconomic fundamentals have created a positive environment for the
financial sector and capital markets, which have responded accordingly. </s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The implementation of NAFTA opened =
the
Mexican financial services market to U.S. and Canadian firms. Banking
institutions from the U.S. and Canada have a strong market presence, holding
approximately 40 percent of banking assets (as of June 2006). Under NAFTA's
national treatment guarantee, U.S. securities firms and investment funds,
acting through local subsidiaries, have the right to engage in the full ran=
ge
of activities permitted in Mexico. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Foreign entities may freely invest =
in
government securities. The Foreign Investment Law establishes, as a general
rule, that foreign investors may hold 100 percent of the capital stock of a=
ny
Mexican corporation or partnership, except in those few areas expressly sub=
ject
to limitations under that law (Table I). Regarding restricted activities,
foreign investors may also purchase non-voting shares through mutual funds,
trusts, offshore funds, and American Depository Receipts. They also have the
right to buy directly limited or non-voting shares as well as free subscrip=
tion
shares, or &quot;B&quot; shares, which carry voting rights. Foreigners may
purchase an interest in &quot;A&quot; shares, which are normally reserved f=
or
Mexican citizens, through a neutral fund operated by a Mexican Development
Bank. Finally, state and local governments, and other entities such as water
district authorities, now issue peso-denominated bonds to finance
infrastructure projects. These securities are rated by international credit
rating agencies. This market is growing rapidly and represents an emerging
opportunity for U.S. investors.</span></p>

<h2><a name=3Dfortythree></a><span lang=3DEN>Political Violence<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><span
style=3D'mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Potential investors should not find
political violence a source of major concern.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>It generally takes the form of sma=
ll
localized conflicts and inter-communal disputes and has occurred mostly in
limited regions of Mexico&#8217;s southern states.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Since the initial January 1994 upr=
ising
of the Zapatista National Liberation Army (EZLN) in the state of Chiapas,
government forces and the EZLN have clashed only once, although Chiapas has
also experienced unrelated local violence. The Popular Revolutionary Army (=
EPR)
and the Revolutionary Army of the People's Insurgency (ERPI) emerged in June
1996 and June 1998, respectively. They have carried out a number of small
attacks, principally confined to the state of Guerrero. On November 6, 2006,
three bombs exploded in Mexico City, one of which damaged a branch of Scotia
Bank.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>The perpetrators =
and
the motive of the bombings are still unknown although political factors are
believed to be to blame; no injuries were reported, although property damage
was reported at several of the targets.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The last half of 2006 saw intense p=
rotests
in the state of Oaxaca demanding, principally, the state governor&#8217;s
resignation.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The capital city=
 of
Oaxaca was under siege by demonstrators for more than five months.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Businesses &#8211; particularly th=
ose in
the tourist sector -- reported millions of dollars in losses and many Weste=
rn
countries, including the United States, issued travel warnings advising the=
ir citizens
to avoid the area.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>At l=
east
11 civilian deaths, including that of an American journalist, occurred as a
direct result of the violence in Oaxaca and hundreds more were injured and/=
or
arrested.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>State police =
forces
were accused of denying due process to protestors and using excessive force=
 to
break-up the demonstrations.<span style=3D'mso-spacerun:yes'>&nbsp; </span>=
In
response to the escalating violence, President Fox, and later President
Calderon, sent the Federal Preventive Police to restore order.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>With the presence of federal troop=
s, the
city has been fairly calm with only sporadic public marches.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The situation, however, remains de=
licate
as the main demand of the protestors, the governor&#8217;s resignation, rem=
ains
unfulfilled.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Narcotics trafficking-related viole=
nce is
prevalent along the northern border region of Mexico and has shown signs of
spreading to other areas -- including the states of Guerrero and Michoacan =
--
as the federal government has attempted to crack down on the trade.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The Government of Mexico, reported=
 mixed
results in reducing crime in the border region as a result of its
&quot;Operation Secure Mexico&quot; program.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>During the first month of his
tenure, President Felipe Calderon initiated &#8220;Operation Together
Michoacan&#8221; and &#8220;Operation Tijuana&#8221; sending 7,000 troops to
combat drug related gangs in the Michoacan state and additional troops to B=
aja
California.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>He is plann=
ing on
sending troop to additional states in the future.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The consulate in Tijuana has notice=
d that
security concerns have increasingly been an issue for companies looking to
invest in the Baja peninsula. The National Chamber of Electronics in Baja
California has called for a State plan addressing security issues.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Peaceful mass demonstrations are c=
ommon
in the larger metropolitan areas such as Mexico City, Guadalajara, and
Monterrey.</span></p>

<h2><a name=3Dfortyfour></a><span lang=3DEN>Corruption<span style=3D'mso-ta=
b-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Corruption has been pervasive in al=
most all
levels of Mexican government and society. President Calderon has stated that
his government intends to continue the fight against corruption and governm=
ent
agencies at the federal, state and municipal levels are engaged in
anti-corruption efforts. The Secretariat of Public Administration has the l=
ead
on coordinating government anti-corruption policy. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Other government entities, such as =
the
Supreme Audit Office of the Federation (equivalent of the GAO), have been
playing a role in promoting sound financial management and accountable and
transparent government with limited success as most Mexican external audit
institutions (mostly at the state level) lack the operational and budgetary
independence to protect their actions from the political interests of the
legislators they serve. Technical assistance is being provided to them by U=
SAID
to promote the use of modern auditing practices. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico ratified the OECD convention=
 on
combating bribery in May 1999. The Mexican Congress passed legislation
implementing the convention that same month. The legislation includes
provisions making it a criminal offense to bribe foreign officials. A bribe=
 to
a foreign official cannot be deducted from Mexican taxes. Mexico is also a
party to the OAS Convention against Corruption and is one of 13 countries t=
hat
have signed and ratified the United Nations Convention against Corruption. =
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The government has enacted strict l=
aws
attacking corruption and bribery, with average penalties of five to ten yea=
rs
in prison. A Federal Law for Transparency and Access to Public Government
Information Act, the country&#8217;s first freedom of information act, went
into effect in June 2003 with the aim of increasing government accountabili=
ty.
With USAID assistance, 20 of Mexico&#8217;s 31 states have replicated feder=
al
efforts by passing similar freedom of information legislation, the vast
majority of which meets international standards in this field. Three years
after its passage, transparency in public administration at the federal lev=
el
has noticeably improved, but access to information at the state and local l=
evel
has been slow. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is ranked 70th in internatio=
nal NGO
Transparency International&#8217;s Corruption Perception Index for 2006, on=
 par
with China, India, and Brazil.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp;
</span>Local civil society organizations focused on fighting corruption are
still developing in Mexico. The USAID-funded Project Atlatl has worked to
coordinate and promote anti-corruption activities with Mexican civil societ=
y (<a
href=3D"http://www.atlatl.com.mx/">www.atlatl.com.mx</a>) and other key pla=
yers
in the anticorruption arena, such as federal and state audit institutions. =
The
Mexican branch of Transparency International also operates in Mexico. The b=
est
source of Mexican government information on anti-corruption initiatives is =
the
Secretariat of Public Administration (<a href=3D"http://www.sfp.gob.mx/">ww=
w.sfp.gob.mx</a>).</span></p>

<h2><a name=3Dfortyfive></a><span lang=3DEN>Bilateral Investment Agreements=
<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>NAFTA governs U.S. and Canadian inv=
estment
in Mexico. In addition to NAFTA, most of Mexico's ten other free trade
agreements (FTAs) cover investment protection, with a notable exception bei=
ng
the Mexico-European Union FTA. The network of Mexico&#8217;s FTAs containing
investment clauses encompasses the countries of Bolivia, Chile, Costa Rica,
Colombia, El Salvador, Guatemala, Honduras, Japan, Nicaragua, and Venezuela=
. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has enacted formal bilateral
investment protection agreements with 21 countries: 13 European Union Count=
ries
(Austria, Belgium, Luxemburg, Czech Republic, Denmark, Finland, France,
Germany, Greece, Italy, Netherlands, Portugal, Spain, Sweden), as well as
Australia, Argentina, Cuba, Iceland, Panama, South Korea, Switzerland, and
Uruguay. Agreements with Australia, Iceland and Panama were signed in 2005,=
 but
the Senate still has to ratify them. Mexico continues to negotiate bilateral
investment treaties with China and India. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The United States and Mexico have a
bilateral tax treaty to avoid double taxation and prevent tax evasion.
Important provisions of the treaty establish ceilings for Mexican withholdi=
ng
taxes on interest payments and U.S. withholding taxes on dividend payments.=
 </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico and the United States also h=
ave a
tax information exchange agreement to assist the two countries in enforcing
their tax laws. The Financial Information Exchange Agreement (FIEA) was ena=
cted
in 1995, pursuant to the Mutual Legal Assistance Treaty. The agreements cov=
er
information that may affect the determination, assessment, and collection of
taxes, and investigation and prosecution of tax crimes. The FIEA permits the
exchange of information with respect to large value or suspicious currency
transactions to combat illegal activities, particularly money laundering.
Mexico is a member of the financial action task force (FATF) of the OECD and
has made progress in strengthening its financial system through specific
anti-money-laundering legislation enacted in 2000 and 2004.</span></p>

<h2><a name=3Dfortysix></a><span lang=3DEN>OPIC and Other Investment Insura=
nce
Programs<span style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>In June 2003, Mexico and the U.S. O=
verseas
Private Investment Corporation</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(OPIC) signed an agreement that wil=
l enable
OPIC to offer all its programs and services in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexican Senate approved full O=
PIC
operations in August of 2004.<span style=3D'mso-spacerun:yes'>&nbsp; </span=
>Since
then, OPIC has aggressively pursued potential investment projects in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>OPIC increased its su=
pport
for U.S. investment in Mexico more than tenfold when it approved 570 million
USD in financing for new projects in February of 2005.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>OPIC-supported funds are among the =
largest
providers of private equity capital to emerging markets.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Since 1987, OPIC has committed (as=
 of FY
2005) over 2.6 billion USD in funding to 32 private equity funds.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The OPIC funds currently investing=
 in
Mexico include Darby-BBVA Latin America Private Equity Fund, LP with a prim=
ary
focus on equity investments in media and communications, transportation,
consumer goods, housing, energy, and non-bank financial services and Latin
Power III, L.P. focusing on equity investments in independent power projects
(&#8220;IPPs&#8221;) in Latin America and the Caribbean with a focus on
renewable energy and Mexico.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Details of OPIC programs and recent
investment project announcements can be found at their website: <a
href=3D"http://www.opic.gov/">www.opic.gov</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico is not a member of the World=
 Bank's
Multilateral Investment Guarantee Agency (MIGA), and has no plans to join.
According to the World Bank, the Secretariat of the Economy provides the
relevant services that MIGA would offer in Mexico.</span></p>

<h2><a name=3Dfortyseven></a><span lang=3DEN>Labor<span style=3D'mso-tab-co=
unt:9'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></s=
pan><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico's Federal Labor Law, enacted=
 in 1931
and revised in 1970, is based on article 123 of the Mexican constitution. U=
nder
the law, Mexican workers enjoy the rights to associate, collectively bargai=
n,
and strike.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The law sets a st=
andard
six-day workweek with one paid day off. For overtime, workers must be paid
twice their normal rate and three times the hourly rate for overtime exceed=
ing
nine hours per week. Employees are entitled to most holidays, paid vacation
(after one year of service), vacation bonuses, and an annual bonus equivale=
nt
to at least two weeks pay. Companies are also responsible for these additio=
nal
costs.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>These costs usua=
lly
add about 30 to 35 percent to the average employees&#8217; salary. Employers
must also contribute a tax-deductible two percent of each employee's salary
into an individual retirement account. Most employers are required to
distribute ten percent of their pre-tax profits for profit sharing.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The recently installed Labor Secre=
tary
has named labor reform as one of the top issues he will address during the =
next
administration.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There is a large surplus of labor i=
n the
formal economy, largely composed of low-skilled or unskilled workers. On the
other hand, there is a shortage of technically skilled workers and engineer=
s.
Labor-management relations are uneven, depending upon the unions holding
contracts and the industry concerned. Mexican manufacturing operations are
experiencing stiff wage competition from Central America, China, India, and
elsewhere in low technology work, such as textile and garment manufacture.<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For the past few years, strikes hav=
e been
limited and usually settled quickly.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Strikes that are more difficult will usually draw government mediato=
rs
to help the settlement process.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Independent unions have been playing an increasingly significant rol=
e,
particularly since the formation of the new Labor Federation (National Unio=
n of
Workers) in November 1997.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbs=
p;
</span>Information on unions registered with federal labor authorities is
supposed to be available to the public via Internet (<a
href=3D"http://www.stps.gob.mx/">www.stps.gob.mx</a>), but this database is
incomplete.</span></p>

<h2><a name=3Dfortyeight></a><span lang=3DEN>Foreign-Trade Zones/Free Ports=
<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>In addition to the IMMEX programs t=
hat
operate as quasi-free trade zones, in 2002 Mexico approved the operation of
more traditional free trade zones (FTZ). Unlike the previous &quot;bonded&q=
uot;
areas that only allowed for warehousing of product for short periods, the n=
ew
FTZ regime allows for manufacturing, repair, distribution, and sale of
merchandise. There is no export requirement for companies operating within =
the
zone to avail themselves of tax benefits. Regulatory guidance for the new
regime is still being amended; therefore investors should consult a tax law=
yer
for detailed information. Most major ports in Mexico have bonded areas
(&quot;recinto fiscalizados&quot;) or customs agents (&quot;recintos
fiscal&quot;) within them. There are currently two approved FTZ&#8217;s, bo=
th
operating in San Luis Potosi. The first major plant in the FTZ is currently
under construction. Several states have filed to convert their bonded areas
into Free Trade Zones.</span></p>

<h2><a name=3Dfdi></a><span lang=3DEN>Foreign Direct Investment Statistics<=
span
style=3D'mso-tab-count:4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </s=
pan></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<table class=3DMsoNormalTable border=3D0 cellpadding=3D0 style=3D'mso-cells=
pacing:1.5pt'>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D127 valign=3Dtop style=3D'width:95.2pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D449 colspan=3D5 valign=3Dtop style=3D'width:336.8pt;padding:.=
75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Foreign Direct Investment in Mexi=
co</span></p>
  <p class=3DMsoNormal><span lang=3DEN-US>(USD Million)</span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D127 valign=3Dtop style=3D'width:95.2pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D89 valign=3Dtop style=3D'width:67.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2002</span></u></p>
  </td>
  <td width=3D89 valign=3Dtop style=3D'width:67.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2003</span></u></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2004</span></u></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2005</span></u></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2006*</span></u></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D127 valign=3Dtop style=3D'width:95.2pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D89 valign=3Dtop style=3D'width:67.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D89 valign=3Dtop style=3D'width:67.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D127 valign=3Dtop style=3D'width:95.2pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total FDI Inflow:</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>19,344</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>15,348</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>22,283</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>18,934</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>14,112</span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D127 valign=3Dtop style=3D'width:95.2pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>-New Investments</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>11,385</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>6,012</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>13,328</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>9,463</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,106</span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D127 valign=3Dtop style=3D'width:95.2pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>-Earnings Reinvestment</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,440</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,067</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,330</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,460</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,048</span></p>
  </td>
 </tr>
 <tr style=3D'page-break-inside:avoid'>
  <td width=3D127 valign=3Dtop style=3D'width:95.2pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>-Inter-company Investment</span><=
/p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,476</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,308</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>4,150</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,190</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,688</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes;page-break-inside:avoid'>
  <td width=3D127 valign=3Dtop style=3D'width:95.2pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>-Maquiladora Investment in fixed =
assets</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,044</span></p>
  </td>
  <td width=3D89 style=3D'width:67.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,961</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,475</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,821</span></p>
  </td>
  <td width=3D87 style=3D'width:65.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,274</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D0 cellpadding=3D0 style=3D'mso-cells=
pacing:1.5pt'>
 <tr>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D431 colspan=3D5 valign=3Dtop style=3D'width:323.2pt;padding:.=
75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Foreign Direct Investment Realize=
d in
  Mexico By Industry Sector Destination (USD Million)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.4pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2002</span></u></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2003</span></u></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2004</span></u></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2005</span></u></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2006*</span></u></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Inflow Total</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.4pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>19,344</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>15,348</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>22,283</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>18,934</span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>10,864</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Agriculture</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.4pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>93</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>11</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>16</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3</span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Extractive</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.4pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>248</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>78</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>146</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>24</span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>70</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Manufacturing</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.4pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>8,647</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>6,685</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12,694</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>11,363</span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>7,092</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 style=3D'width:108.8pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Electricity and Water</span></p>
  </td>
  <td width=3D78 style=3D'width:58.4pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>398</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>323</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>202</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>192</span></p>
  </td>
  <td width=3D87 style=3D'width:65.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>(97)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Construction</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.4pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>348</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>83</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>385</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>277</span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>125</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Retail</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.4pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,778</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,394</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,183</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,648</span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>208</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 style=3D'width:108.8pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Transport and Communication</span=
></p>
  </td>
  <td width=3D78 style=3D'width:58.4pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>832</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,631</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,254</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,173</span></p>
  </td>
  <td width=3D87 style=3D'width:65.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>368</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D145 style=3D'width:108.8pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Financial Services</span></p>
  </td>
  <td width=3D78 style=3D'width:58.4pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,765</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,306</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5,489</span></p>
  </td>
  <td width=3D86 style=3D'width:64.6pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>944</span></p>
  </td>
  <td width=3D87 style=3D'width:65.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>956</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D145 valign=3Dtop style=3D'width:108.8pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Others</span></p>
  </td>
  <td width=3D78 valign=3Dtop style=3D'width:58.4pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,237</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,838</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>913</span></p>
  </td>
  <td width=3D86 valign=3Dtop style=3D'width:64.6pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,311</span></p>
  </td>
  <td width=3D87 valign=3Dtop style=3D'width:65.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,141</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D0 cellpadding=3D0 style=3D'mso-cells=
pacing:1.5pt'>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D458 colspan=3D6 valign=3Dtop style=3D'width:343.35pt;padding:=
.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Foreign Direct Investment Inflows
  Realized By Country/Economy of Origin (USD Million)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2002</span></u></p>
  </td>
  <td width=3D71 valign=3Dbottom style=3D'width:53.15pt;padding:.75pt .75pt=
 .75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2003</span></u></p>
  </td>
  <td width=3D73 valign=3Dbottom style=3D'width:54.55pt;padding:.75pt .75pt=
 .75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2004</span></u></p>
  </td>
  <td width=3D73 valign=3Dbottom style=3D'width:54.55pt;padding:.75pt .75pt=
 .75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2005</span></u></p>
  </td>
  <td width=3D71 valign=3Dbottom style=3D'width:53.0pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2006*</span></u></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5 year <u>Totals</u></span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Total Inflow</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>19,344</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>15,348</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>22,283</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>18,934</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>10,864</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>86,773</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>United States</span></p>
  </td>
  <td width=3D80 style=3D'width:60.3pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12,970</span></p>
  </td>
  <td width=3D71 style=3D'width:53.15pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>9,630</span></p>
  </td>
  <td width=3D73 style=3D'width:54.55pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>8,188</span></p>
  </td>
  <td width=3D73 style=3D'width:54.55pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>9,685</span></p>
  </td>
  <td width=3D71 style=3D'width:53.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>6,683</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>47,156</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Spain</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>735</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,776</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>7,418</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,396</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>609</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>11,934</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Holland</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,475</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>553</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,322</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,213</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>973</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>8,536</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>United Kingdom</span></p>
  </td>
  <td width=3D80 style=3D'width:60.3pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,249</span></p>
  </td>
  <td width=3D71 style=3D'width:53.15pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,056</span></p>
  </td>
  <td width=3D73 style=3D'width:54.55pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>138</span></p>
  </td>
  <td width=3D73 style=3D'width:54.55pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>967</span></p>
  </td>
  <td width=3D71 style=3D'width:53.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>613</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>4,023</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Canada</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>221</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>255</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>499</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>256</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>319</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,550</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Switzerland</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>462</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>312</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,100</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>169</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>340</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,383</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Germany</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>596</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>463</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>399</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>347</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>67</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,872</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Japan</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>166</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>122</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>363</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>88</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>56</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>795</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Denmark</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>208</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>54</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>116</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>89</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>145</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>612</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Singapore</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>59</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>(6)</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>30</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>22</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>117</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>South Korea</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>32</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>37</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>35</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>49</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>20</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>173</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Taiwan</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>17</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>10</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>8</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>7</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>9</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>51</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>China</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>(2)</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>26</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>12</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>5</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>44</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D118 valign=3Dtop style=3D'width:88.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>France</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.3pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>350</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.15pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>530</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>145</span></p>
  </td>
  <td width=3D73 valign=3Dtop style=3D'width:54.55pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>403</span></p>
  </td>
  <td width=3D71 valign=3Dtop style=3D'width:53.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>157</span></p>
  </td>
  <td width=3D80 valign=3Dbottom style=3D'width:60.3pt;padding:.75pt .75pt =
.75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>1,585</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Notes FDI Investment Charts: 1) Sou=
rces:
Inflow - Secretariat of Economy, Director General of Foreign Investment 2)
Period: 2006 data January through September 3) Data: Millions of U.S. Dolla=
rs
(USD), unless noted. 4) The Secretariat of Economy has recalculated values =
for
past years. All values for past years are the most up to date data provided
from the Secretariat of Economy. 5) The total FDI inflow for 2006 by sector=
 and
country is less than the total FDI in Mexico because it does not include an
estimate that has been reported in the total FDI. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D0 cellpadding=3D0 width=3D519 style=
=3D'width:389.25pt;
 mso-cellspacing:1.5pt'>
 <tr>
  <td width=3D105 valign=3Dtop style=3D'width:78.95pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D408 colspan=3D5 valign=3Dtop style=3D'width:305.8pt;padding:.=
75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>FDI INFLOW AS PERCENT GDP</span><=
/p>
  </td>
 </tr>
 <tr>
  <td width=3D105 valign=3Dtop style=3D'width:78.95pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2002</span></u></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2003</span></u></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2004</span></u></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2005</span></u></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2006*</span></u></p>
  </td>
 </tr>
 <tr>
  <td width=3D105 valign=3Dtop style=3D'width:78.95pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>GDP</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>648,629</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>638,797</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>683,069</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>768,437</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>599,381</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D105 valign=3Dtop style=3D'width:78.95pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>FDI Inflow</span></p>
  </td>
  <td width=3D80 style=3D'width:60.0pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>19,344</span></p>
  </td>
  <td width=3D80 style=3D'width:59.95pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>15,348</span></p>
  </td>
  <td width=3D80 style=3D'width:59.95pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>22,283</span></p>
  </td>
  <td width=3D80 style=3D'width:59.95pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>18,934</span></p>
  </td>
  <td width=3D80 style=3D'width:59.95pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>14,112</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D105 valign=3Dtop style=3D'width:78.95pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><span
  style=3D'mso-spacerun:yes'>&nbsp;</span>percent GDP</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:60.0pt;padding:.75pt .75pt .75=
pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2.4</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3.3</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2.5</span></p>
  </td>
  <td width=3D80 valign=3Dtop style=3D'width:59.95pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2.4</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><br>
Notes on &quot;FDI as Percent GDP&quot; chart: 1) GDP figures are taken from
United Nations website. All Mexican sources give GDP in pesos only. Figures=
 in
millions of dollars 2) 2006 GDP is 3 quarter estimate using a 4 percent gro=
wth
rate.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D0 cellpadding=3D0 style=3D'mso-cells=
pacing:1.5pt'>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.5pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D458 colspan=3D4 valign=3Dtop style=3D'width:343.5pt;padding:.=
75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>U.S. FDI Flow and Stock in Mexico=
 (USD
  Millions)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.5pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D113 valign=3Dtop style=3D'width:84.75pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2002</span></u></p>
  </td>
  <td width=3D113 valign=3Dtop style=3D'width:84.75pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2003</span></u></p>
  </td>
  <td width=3D113 valign=3Dtop style=3D'width:84.75pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2004</span></u></p>
  </td>
  <td width=3D113 valign=3Dtop style=3D'width:84.75pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2005</span></u></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.5pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>U.S. FDI flow in Mexico</span></p>
  </td>
  <td width=3D113 style=3D'width:84.75pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>7,656</span></p>
  </td>
  <td width=3D113 style=3D'width:84.75pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>3,664</span></p>
  </td>
  <td width=3D113 style=3D'width:84.75pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>6,361</span></p>
  </td>
  <td width=3D113 style=3D'width:84.75pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>6,771</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D118 valign=3Dtop style=3D'width:88.5pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>U.S. FDI Stock in Mexico</span></=
p>
  </td>
  <td width=3D113 style=3D'width:84.75pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>56,303</span></p>
  </td>
  <td width=3D113 style=3D'width:84.75pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>56,851</span></p>
  </td>
  <td width=3D113 style=3D'width:84.75pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>63,502</span></p>
  </td>
  <td width=3D113 style=3D'width:84.75pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>71,423</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><br>
Notes U.S. FDI Flow and stock in Mexico chart: 1) Source: U.S. Department of
Commerce Bureau of Economic Analysis </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<table class=3DMsoNormalTable border=3D0 cellpadding=3D0 style=3D'mso-cells=
pacing:1.5pt'>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.85pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D458 colspan=3D4 valign=3Dtop style=3D'width:343.15pt;padding:=
.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Mexico FDI Flow and Stock in U.S.=
 (USD
  Millions)</span></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.85pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>
  </td>
  <td width=3D113 valign=3Dtop style=3D'width:84.7pt;padding:.75pt .75pt .7=
5pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2002</span></u></p>
  </td>
  <td width=3D113 valign=3Dtop style=3D'width:84.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2003</span></u></p>
  </td>
  <td width=3D113 valign=3Dtop style=3D'width:84.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2004</span></u></p>
  </td>
  <td width=3D113 valign=3Dtop style=3D'width:84.65pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><u><span lang=3DEN-US>2005</span></u></p>
  </td>
 </tr>
 <tr>
  <td width=3D118 valign=3Dtop style=3D'width:88.85pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Mexico FDI flow in U.S.</span></p>
  </td>
  <td width=3D113 style=3D'width:84.7pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,349</span></p>
  </td>
  <td width=3D113 style=3D'width:84.65pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>2,173</span></p>
  </td>
  <td width=3D113 style=3D'width:84.65pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>(363)</span></p>
  </td>
  <td width=3D113 style=3D'width:84.65pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>349</span></p>
  </td>
 </tr>
 <tr style=3D'mso-yfti-lastrow:yes'>
  <td width=3D118 valign=3Dtop style=3D'width:88.85pt;padding:.75pt .75pt .=
75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>Mexico FDI Stock in U.S.</span></=
p>
  </td>
  <td width=3D113 style=3D'width:84.7pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>7,829</span></p>
  </td>
  <td width=3D113 style=3D'width:84.65pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>9,022</span></p>
  </td>
  <td width=3D113 style=3D'width:84.65pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>8,167</span></p>
  </td>
  <td width=3D113 style=3D'width:84.65pt;padding:.75pt .75pt .75pt .75pt'>
  <p class=3DMsoNormal><span lang=3DEN-US>8,653</span></p>
  </td>
 </tr>
</table>

<p class=3DMsoNormal><span lang=3DEN-US><br>
Notes U.S. FDI Flow and stock in Mexico chart: 1) Source: U.S. Department of
Commerce Bureau of Economic Analysis </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In 2006 there were several large fo=
reign
investments in Mexico by U.S. and other nations&#8217; companies, including=
: <br>
<br>
1) Isolux Corsan (Spanish) invested USD 355 million to construct a highway =
from
Saltillo-Monterrey.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>2) Daimler Chrysler invested 1 bill=
ion USD
to modernize its plant in Toluca.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>3) Ford invested 2 billion USD for
equipment acquisition at its Hermosillo plant.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>4) BBVA invested 110 million USD in=
 Mexico
for technological platform increases</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>5) Arcelor Mittal Steel invested 300
million USD in its Mexican operations.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>6) Jatco (Japan) invested 200 milli=
on USD
to increase production at its Aguascaliente plant</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>7) Mitsubishi Heavy Industries (Jap=
an)
announced a 600 million USD investment to construct an electricity generati=
on
plan in Guerrero state. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dfortynine></a><span lang=3DEN>Web Resources<span style=3D'mso=
-tab-count:
7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch6">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Secretariat of the Economy: <a
href=3D"http://www.economia.gob.mx/">http://www.economia.gob.mx</a> </span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Department of State, Office of Legal
Advisor: <a href=3D"http://www.state.gov/s/l/">http://www.state.gov/s/l/</a=
> </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Development Bank: <a
href=3D"http://www.nafin.gob.mx/">http://www.nafin.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Foreign Trade Bank: <a
href=3D"http://www.bancomext.gob.mx/">http://www.bancomext.gob.mx</a> </spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Civil Society: <a
href=3D"http://www.atlatl.com.mx/">http://www.atlatl.com.mx</a> </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Overseas Private Investment Corpora=
tion: <a
href=3D"http://www.opic.gov/">http://www.opic.gov</a> </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Secretariat of Labor and Social Sec=
urity: <a
href=3D"http://www.stps.gob.mx/">http://www.stps.gob.mx</a> </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>United States Department of Commerc=
e Bureau
of Economic Analysis: </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.bea.doc.gov/"=
>http://www.bea.doc.gov/</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><a href=3D=
"#toc"><span
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'>Return to table of contents</span><=
/a></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;mso-fareast-languag=
e:
EN-US;mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:a=
lways'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch7></a><span lang=
=3DEN-US
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'><a href=3D"#toc">Return to table of
contents</a><o:p></o:p></span></p>

<h1><span lang=3DEN-US>Chapter 7: Trade and Project Financing</span></h1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l4 level1 lfo4;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fifty">How Do I Get Paid (Methods of Payment)=
</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l4 level1 lfo4;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fiftyone">How Does the Banking System Operate=
</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l4 level1 lfo4;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fiftythree">Foreign-Exchange Controls</a></sp=
an></li>
 <li class=3DMsoNormal style=3D'mso-list:l4 level1 lfo4;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fiftyfour">U.S. Banks and Local Correspondent=
 Banks</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l4 level1 lfo4;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fiftyseven">Project Financing</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l4 level1 lfo4;tab-stops:list 36.0=
pt'><span
     lang=3DEN-US><a href=3D"#fiftynine">Web Resources</a></span></li>
</ul>

<h2><a name=3Dfifty></a><span lang=3DEN>How Do I Get Paid (Methods of Payme=
nt)<span
style=3D'mso-tab-count:4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch7">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. exporters should be aware that=
 Mexican
lending rates are higher than in the U.S., and range from 9 to 14% per year=
 (as
of June 2005).<span style=3D'mso-spacerun:yes'>&nbsp; </span>U.S. exporters=
 can
lose or lessen sales to Mexican buyers by demanding payment either by Confi=
rmed
Letter of Credit or Cash In Advance.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>While it is prudent for U.S. exporters to insist on secure payment
terms, it pays for them to consider the broad variety of payment terms
available to them in order to become as competitive as possible.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The guide in the link below identif=
ies the
main financing and payment mechanisms available to support U.S. exporters
selling to Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>It is an
introduction and the reader is encouraged to use it as a starting point in
order to become more familiar with the subject. In many instances, the use =
of
expert help is recommended.<span style=3D'mso-spacerun:yes'>&nbsp; </span>T=
o that
end, the following mechanisms will be examined in this report:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l13 level1 lfo31;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Cash In Advance; </span></li>
 <li class=3DMsoNormal style=3D'mso-list:l13 level1 lfo31;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Confirmed Letter of Credit; </span></li>
 <li class=3DMsoNormal style=3D'mso-list:l13 level1 lfo31;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Open Account Terms; </span></li>
 <li class=3DMsoNormal style=3D'mso-list:l13 level1 lfo31;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Open Account Terms with Export Credit Insurance; </span><=
/li>
 <li class=3DMsoNormal style=3D'mso-list:l13 level1 lfo31;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Documents Against Payment (D/P) &amp; Documents Against
     Acceptance (D/A); </span></li>
 <li class=3DMsoNormal style=3D'mso-list:l13 level1 lfo31;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Export Finance by US Commercial Bank (US$ denominated); <=
/span></li>
 <li class=3DMsoNormal style=3D'mso-list:l13 level1 lfo31;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Import Finance by Mexican Bank (P$ denominated); </span><=
/li>
 <li class=3DMsoNormal style=3D'mso-list:l13 level1 lfo31;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Lines of Credit Available from Mexican Development Banks.=
</span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Please see the attached link to
&#8220;Getting Paid by Your Mexican Buyer:<span style=3D'mso-spacerun:yes'>=
&nbsp;
</span>Payment Terms and Financing Options to Maximize Sales While Protecti=
ng
Against Nonpayment:&#8221; <a
href=3D"http://www.buyusainfo.net/docs/x_4118633.pdf">http://www.buyusainfo=
.net/docs/x_4118633.pdf</a>.</span></p>

<h2><a name=3Dfiftyone></a><span lang=3DEN>How Does the Banking System Oper=
ate<span
style=3D'mso-tab-count:4'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch7">Return to top</a></=
span></h2>

<p class=3DMsoNormal><a name=3Dfiftytwo></a><b><span lang=3DEN-US>Commercia=
l Banks:<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico's commercial banks offer a f=
ull
spectrum of services within one institution.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>These services range from offering
deposit accounts, consumer and commercial lending, corporate finance, and t=
he
operation of trusts and mutual funds, to foreign exchange and money market
trading.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </s=
pan></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico's commercial banking sector =
has been
opened to foreign competition.<span style=3D'mso-spacerun:yes'>&nbsp; </spa=
n>The
North American Free Trade Agreement (NAFTA) permits U.S. and Canadian banks=
 or
any other foreign bank with a subsidiary in the United States or Canada to
establish wholly owned subsidiaries in Mexico.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Foreign banks are now allowed to op=
erate in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>They are allowed to
undertake financial inter-mediation or to solicit customers for their parent
bank.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Almost all the major ba=
nks,
with the exception of Banorte, are under the control of foreign banks. </sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Given the 1994 peso crisis and the
subsequent bank bailout, banks in Mexico have since been very cautious in t=
heir
lending, preferring to provide loans only to their most sound customers.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>However, now that the Mexican econ=
omy
has shown signs of growth, the banks are beginning to implement programs for
lending to a wider range of companies, although at relatively high rates.<s=
pan
style=3D'mso-spacerun:yes'>&nbsp; </span>In general, small and medium enter=
prises
(SMEs) have trouble accessing credit.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The Mexican Government has enacted several incentives to encourage m=
ore
lending to SMEs, and banks have followed suit with new lending policies for
SMEs, but it remains to be seen whether the largest segment of the Mexican =
economy
will be able to benefit from these policies.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Secretariat of Finance, the Nat=
ional
Banking and Securities Commission, and the Bank of Mexico are the principal
regulators of the banking system.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The Secretariat of Finance is concerned with institutional issues su=
ch
as licensing and sets credit and fiscal policies.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The Bank of Mexico (the Central Ba=
nk)
implements these policies and also operates inter-bank check clearing and
compensation systems.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Ins=
titute
for the Protection of Bank Savings (IPAB, replacing the former institution
FOBAPROA) acts as a deposit insurance institution.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The National Banking and Securities
Commission, a semi-autonomous government agency, is responsible for supervi=
sion
and vigilance.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexican Ba=
nking
Association (ABM) represents the interests of Mexico's banks.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Development Banks:<o:p></o:p></s=
pan></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The mission of development banks is=
 to fill
financing shortfalls in the commercial banking sector.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico has eight government-owned
development banks that provide services to specific areas of the economy.<s=
pan
style=3D'mso-spacerun:yes'>&nbsp; </span>The dominant institutions are Naci=
onal
Financiera (Nafinsa) and the Foreign Trade Bank (Bancomext).<span
style=3D'mso-spacerun:yes'>&nbsp; </span>These institutions have become pri=
marily
second-tier banks that lend through commercial banks and other financial
intermediaries such as credit unions, savings and loans, and leasing and
factoring companies.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Nafinsa's
primary program funds micro, small and medium-sized businesses.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Nafinsa also undertakes strategic =
equity
investments and contributes equity to joint ventures.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Bancomext provides financing to Me=
xican
exports and to small and medium-sized companies.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>It also offers working capital, pr=
oject
lending, and training to firms in several specific sectors that require
support, such as textiles and footwear.<span style=3D'mso-spacerun:yes'>&nb=
sp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The other Mexican development banks=
 are
BANOBRAS (Public Works Infrastructure Bank) and FINANCIERA RURAL (Rural
Agriculture Bank).<span style=3D'mso-spacerun:yes'>&nbsp; </span>The U.S. E=
xim
Bank has a program through Nafinsa to provide small and medium size Mexican
companies with financing to import U.S. manufacturing inputs.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<h2><a name=3Dfiftythree></a><span lang=3DEN>Foreign-Exchange Controls<span
style=3D'mso-tab-count:5'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch7">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>There are no controls on the transf=
er of
dollars into and out of Mexico.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>This means that profits can be repatriated freely.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp; </span></span></p>

<h2><a name=3Dfiftyfour></a><span lang=3DEN>U.S. Banks and Local Correspond=
ent
Banks <span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></spa=
n><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch7">Return to top</a></=
span></h2>

<p class=3DMsoNormal><a name=3Dfiftyfive></a><span lang=3DEN-US>There are m=
any
U.S.-based banks active in the Mexican market, particularly U.S. brokers and
banks working with Exim programs.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>This is a representative list of the U.S. banks with an office in
Mexico:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>American Express Bank (M&eacute;xic=
o),S.A.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>C.P. Manuel Armendariz</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>General Director</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Av. Patriotismo No. 635, Piso 4</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Ciudad de los Deportes</span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>03710 M&eacute;xico, D.F. </span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 5326-2907 / 01</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5326-2908</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:manuel.m.armedariz@aexp.com">manuel.m.armedariz@aexp.com</a>=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Bank of America Mexico<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Lic. Orlando Loera</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>President</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Lic Herbert Perez</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>General Director</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Av. Paseo de la Reforma 265, Piso 2=
2</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>PH 1,2,3</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Cuauht&eacute;moc</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>06550 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone (011-52-55) 5230-6300, 5230-6=
375</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax:(011-52-55) 5230-6399 </span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>e-mail: <a
href=3D"mailto:orlando.loera@bankofamerica.com">orlando.loera@bankofamerica=
.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.bankofamerica=
.com/">http://www.bankofamerica.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span style=3D'mso-tab-count:1'>&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>National Bank for Cooperatives (CoB=
ank,
ACB)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mr. Francisco Zamores</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Representative</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Paseo de la Reforma No. 2620 Ofna 3=
03 </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Lomas Altas</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>11950 M&eacute;xico, D.F.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 2591-8445</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5591-8450 ask for =
tone</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a href=3D"mailto:fzamores@=
cobank.com">fzamores@cobank.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.cobank.com/">=
http://www.cobank.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>JP Morgan Grupo Financiero S.A. de =
C.V. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Sr. Eduardo Cepeda</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>President<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Paseo de las Palmas No. 405 &#8211;=
 Piso 16</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Lomas de Chapultepec</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>11000 Mexico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 5540-9333</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5540-9548/4440-959=
4</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:eduardo.f.cepeda@jpmorgan.com">eduardo.f.cepeda@jpmorgan.com=
</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.jpmorganchase=
.com/">www.jpmorganchase.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>UPS Capital Business Credit</span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Ing. Jorge Navarro Moreno</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Representative </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>World Trade Center</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Montecito No. 38, Piso 30, Ofna 34<=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Napoles</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>03810 Mexico D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 5488 2276</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5488 2776</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:jnavarro@upscapital.com.mx">jnavarro@upscapital.com.mx</a></=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Additionally, Citigroup has a major=
ity
share in Banamex:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Banco Nacional de M&eacute;xico, S.=
 A.
(Banamex)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mr. Julio A. de Quesada </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Corporate Director</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Banca Corporativa y de Inversi&oac=
ute;n de
Banamex)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Actuario Roberto Medellin No. 800, =
Torre
Sur, Piso 5</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Santa Fe</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>01210 Mexico D. F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 2226-7240/7109</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 2226 7671</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:julio-q.de-quesada@banamex.com">julio-q.de-quesada@banamex.c=
om</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"mailto:erfuentesr@baname=
x.com">erfuentesr@banamex.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.banamex.com.m=
x/">www.banamex.com.mx</a></span></p>

<h2><a name=3Dfiftyseven></a><span lang=3DEN>Project Financing<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch7">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Project financing requires that the=
 only
source of collateral, investment return, and loan repayment be revenues der=
ived
from services and/or products resulting from the investment.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The project must be literally
self-financing, without reliance on guarantees or other undertakings from
owners or third parties.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Exam=
ples
of this type of financing are typically seen in utility industries such as
electrical power, water supplies, drainage, and certain environmental proje=
cts.
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Banks, investor groups, large insti=
tutional
investors such as insurance companies, public offerings of bonds, and other
capital market instruments often provide financing. Such financing is in its
infancy in Mexico as the Government of Mexico (GOM) has previously been the
owner of these types of projects.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>The financing required by the GOM has been handled either through la=
rge
international loan syndication direct to the federal government or its oper=
ating
entities or through multilateral credits.<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has entered a new era in gra=
nting
concessions for seaports, airports, railroads, satellite communications, po=
wer
generation plants, and natural gas distribution systems. The winning Mexican
and foreign firms of these activities must arrange the pure project financi=
ng
required. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Financing for Projects:<o:p></o:=
p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In general, Mexican and foreign fir=
ms that
win bids and tenders need to finance major purchases of both equipment and
services.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>U.S. Exim Bank:<o:p></o:p></span=
></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Export-Import Bank of the Unite=
d States
(Exim Bank), an independent agency of the federal government, offers various
short, medium and long-term export finance and insurance programs.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Of specific interest to U.S. expor=
ters
are the guarantees for medium-term loans to purchasers of capital
equipment.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Most loans are act=
ually
made by American banks with Exim Bank&#8217;s guarantee.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Exim Bank is very active in Mexico=
 and
Mexico consistently ranks as Exim Bank&#8217;s top market.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Much of Exim Bank&#8217;s activity =
is under
so-called bundling facilities.<span style=3D'mso-spacerun:yes'>&nbsp; </spa=
n>A
bundling facility is a large medium-term loan made to a Mexican bank by an
American bank with the guarantee of Exim Bank.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The Mexican bank then makes loans =
for
the purchase of American capital goods to Mexican companies.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>It undertakes the credit assessmen=
t and
risk since it effectively counter guarantees the loans it makes. There also=
 are
a number of U.S.-based banks that extend Exim Bank credits in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The major Mexican commercial banks=
 have
signed agreements with Exim Bank to grant lines of credit to Mexican firms =
that
purchase U.S.-made products.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp;
</span>In the past year, Exim Bank has signed several Master Guarantee
Agreements with major Mexican banks, such as Santander Serfin, BBVA-Bancome=
r,
Banamex and others.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Such cred=
its
generally are available only to Mexican blue chip companies and to their
suppliers with firm contracts.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Small and medium size Mexican firms may be able to indirectly access
Exim Bank credit through the programs of the Mexican small business develop=
ment
bank, Nacional Financiera, or Nafinsa. In December of 2003, Exim Bank and
Nafinsa signed an agreement to provide a mechanism for small and medium-siz=
ed
companies for loans with a minimum of $100,000.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Overseas Private Investment Corp=
oration:<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Overseas Private Investment Cor=
poration
(OPIC) was granted permission to offer its full range of programs services =
in
Mexico by the Mexican Congress in August of 2004.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Since then, OPIC has aggressively
promoted its programs and services to Mexico and approved over $575 million
worth of projects in 2005.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbs=
p;
</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>U.S. Trade and Development Agenc=
y:<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The U.S. Trade and Development Agen=
cy
(USTDA) provides funding for feasibility studies and other forms of technic=
al
assistance to help promote U.S. exports.<span style=3D'mso-spacerun:yes'>&n=
bsp;
</span>By assisting U.S. firms to become involved in the early stages of
infrastructure project development, USTDA leverages U.S. exports during the
implementation stages. USTDA works closely with the various development ban=
ks,
including the World Bank and the Inter-American Development Bank, to help U=
.S.
firms take advantage of those banks&#8217; projects.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Additionally, in the case of a
competitive bid for a large infrastructure project, USTDA can offer a de
minimus training grant, or another form of technical assistance, to help the
U.S. company or consortium make their bid more attractive.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>USTDA has an active program in Mex=
ico,
funding projects in a wide range of sectors.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>U.S. Small Business Administrati=
on:<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The U.S. Small Business Administrat=
ion
(SBA) provides financial and business development assistance to encourage a=
nd
help small businesses in developing export markets.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The SBA assists businesses in obta=
ining
the capital needed to explore, establish, or expand international markets.<=
span
style=3D'mso-spacerun:yes'>&nbsp; </span>SBA&#8217;s export loans are avail=
able
under SBA&#8217;s guaranty program. Prospective applicants should tell their
lenders to seek SBA participation, if the lender is unable or unwilling to =
make
the loan directly.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>SBA also offers an Export Revolving=
 Line of
Credit (ERLC) program that is designed to help small businesses obtain
short-term financing to sell their products and services abroad.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>The program guarantees repayment t=
o a
lender in the event an exporter defaults.<span style=3D'mso-spacerun:yes'>&=
nbsp;
</span>By reducing a lender&#8217;s risk, the ERLC provides an incentive for
lenders to finance small business exporters&#8217; working capital needs.<s=
pan
style=3D'mso-spacerun:yes'>&nbsp; </span>The ERLC provides only the lender =
from
default by the exporter; it does not cover the exporter should a foreign bu=
yer
default on payment.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Lenders a=
nd
exporters must determine whether foreign receivables need credit risk
protection.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Borrowers can use different SBA loan
programs and types of loan guarantees simultaneously, as long as the total
SBA-guaranteed portion does not exceed the agency&#8217;s $750,000 statutory
loan guaranty limit to any one borrower.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Inter-American Development Bank:=
<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Inter-American Development Bank=
 (IDB)
finances public sector projects in Mexico and the other 25 borrowing countr=
ies
in Latin America and the Caribbean. U.S. companies are eligible to compete =
for
contract awards from public sector executing agencies. The IDB has focused =
its
lending programs on infrastructure needs in Mexico, while the World Bank has
favored human resource development and structural reform initiatives.</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In contrast to trade finance instit=
utions,
U.S. companies do not apply directly to the IDB to finance U.S. exports of
goods and services. United States companies interested in competing for pub=
lic
sector projects financed by the IDB may maximize their chances of winning by
contracting a local partner in Mexico. United States companies may call on
various IDB resources including monthly business briefings at the Washington
D.C. headquarters, subscription to the IDB project pipeline, or registratio=
n as
a project consultant.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The U.S. Commercial Service maintai=
ns an office
in the IDB to assist U.S. companies in taking advantage of IDB funded proje=
cts:
<a href=3D"http://www.buyusa.gov/idb/">http://www.buyusa.gov/idb/</a>.</spa=
n></p>

<h2><a name=3Dfiftynine></a><span lang=3DEN>Web Resources<span style=3D'mso=
-tab-count:
7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch7">Return to top</a></=
span></h2>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Expor=
t-Import
Bank of the United States: <a href=3D"http://www.exim.gov/">http://www.exim=
.gov</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span>Country Limitation Schedule: <a
href=3D"http://www.exim.gov/tools/country/country_limits.html">http://www.e=
xim.gov/tools/country/country_limits.html</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>OPIC:=
 <a
href=3D"http://www.opic.gov/">http://www.opic.gov</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Trade=
 and
Development Agency: <a href=3D"http://www.tda.gov/">http://www.tda.gov/</a>=
</span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>SBA's=
 Office of
International Trade: <a href=3D"http://www.sba.gov/oit/">http://www.sba.gov=
/oit/</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>USDA =
Commodity
Credit Corporation: <a href=3D"http://www.fsa.usda.gov/ccc/default.htm">htt=
p://www.fsa.usda.gov/ccc/default.htm</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>U.S. =
Agency for
International Development: <a href=3D"http://www.usaid.gov/">http://www.usa=
id.gov</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Inter=
-American
Development Bank: <a href=3D"http://www.iadb.org/">http://www.iadb.org</a><=
/span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an
Ministry of Finance: <a href=3D"http://www.hacienda.gob.mx/">http://www.hac=
ienda.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an Foreign
Trade Bank: <a href=3D"http://www.bancomext.com/">http://www.bancomext.com<=
/a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an
Development Bank: <a href=3D"http://www.nafin.gob.mx/">http://www.nafin.gob=
.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an
Infrastructure Development Bank: <a href=3D"http://www.banobras.gob.mx/">ht=
tp://www.banobras.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Bank =
of Mexico:
<a href=3D"http://www.bancodemexico.gob.mx/">http://www.bancodemexico.gob.m=
x</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an Banking
and Securities Commission: <a href=3D"http://www.ipab.gob.mx/">http://www.i=
pab.gob.mx</a></span></p>

<p class=3DMsoNormal style=3D'margin-bottom:6.0pt'><span lang=3DEN-US>Mexic=
an Banking
Institute: <a href=3D"http://www.abm.org.mx/">http://www.abm.org.mx</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc">Return to table of=
 contents</a></span></p>

</div>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:auto;
mso-break-type:section-break'>
</span>

<div class=3DSection10>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><o:p>&nbsp=
;</o:p></span></p>

</div>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman";mso-ansi-language:EN-US;mso-fareast-language:EN-US;
mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:auto;
mso-break-type:section-break'>
</span>

<div class=3DSection11><span lang=3DEN-US style=3D'font-size:11.0pt;mso-bid=
i-font-size:
12.0pt;font-family:"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;
mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:always'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch8></a><span lang=
=3DEN-US
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'><a href=3D"#toc">Return to table of
contents</a><o:p></o:p></span></p>

<h1><span lang=3DEN-US>Chapter 8: Business Travel</span></h1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#businesscustoms">Business Customs</a></span><=
/li>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#traveladvisory">Travel Advisory</a></span></l=
i>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#entryrequirements">Visa Requirements</a></spa=
n></li>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#telecommunications">Telecommunications</a></s=
pan></li>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#transportation">Transportation</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#language">Language</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#health">Health</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#localtime">Local Time, Business Hours and Hol=
idays</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#sixtyone">Temporary Entry of Materials and Pe=
rsonal
     Belongings</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l19 level1 lfo5;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#sixtytwo">Web Resources</a></span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dsixty></a><a name=3Dbusinesscustoms></a><span lang=3DEN>Busin=
ess
Customs<span style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Business and social customs vary wi=
dely in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>It is best to be obse=
rvant
and flexible, and to take cues from the Mexicans around you.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Business cards are used extensively=
. Come
with a large supply. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexicans make extensive use of prof=
essional
titles (doctor, profesor, licenciado, ingeniero).<span
style=3D'mso-spacerun:yes'>&nbsp; </span>It is courteous to address them by=
 their
titles.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Along with this forma=
lity
is an emphasis on appearances -- avoid casual dress.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>When meeting in a group, it is cust=
omary to
shake hands with all upon arrival and departure.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Special respect may be given to ol=
der
members.<span style=3D'mso-spacerun:yes'>&nbsp; </span>A single air-kiss on=
 the
cheek is expected for all women present, although not necessary in the first
meeting. </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Participation in social activities =
is very
important to succeed in the Mexican business world.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Bear in mind that no business may =
be
discussed until after the meal or even until the second or third meal.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexicans are accustomed to smoke a=
nd
drink freely at business meals.<span style=3D'mso-spacerun:yes'>&nbsp; </sp=
an></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Patience is key to doing business in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Business meetings in =
Mexico
will often take longer than they would in the United States.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Etiquette often includes small talk
before business.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>Inquir=
ies
about a business counterpart&#8217;s hometown, family, etc. will be
well-received.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Ask about your
counterpart&#8217;s hometown, university, personal interests including spor=
ts,
and family.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican social etiquette makes it d=
ifficult
to say no.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Therefore, yes doe=
s not
always mean yes.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In conversat=
ion,
Mexicans emphasize tactful and indirect phrasing, and may be more effusive =
than
Americans with praise and emotional expressions.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Do not be overly aggressive while
negotiating; it is considered rude.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The concept of time is flexible in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Guests to social even=
ts
(except in the case of cities in the North) can arrive an hour late.<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span>However, punctuality is obse=
rved
for most Government appointments.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Although the presence of businesswo=
men is
increasing, business in Mexico remains male-oriented.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>However, this need not be consider=
ed an
obstacle to the participation of U.S. businesswomen in Mexico.</span></p>

<h2><a name=3Dtraveladvisory></a><span lang=3DEN>Travel Advisory<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>For detailed information about trav=
el
advisory information from the State Department, please click on:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"http://travel.state.gov/travel/cis_pa_tw/cis/cis_970.html">http://t=
ravel.state.gov/travel/cis_pa_tw/cis/cis_970.html</a></span></p>

<h2><a name=3Dentryrequirements></a><span lang=3DEN>Visa Requirements<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>There is a single visa form for tou=
rist and
business visitors, valid for 30 days upon entry with no fee.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>This form is normally distributed =
on all
arriving aircraft.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Business
visitors must be careful not to enter as a tourist if their reason for visi=
ting
includes any of the following activities:</span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l15 level1 lfo32;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Business meetings</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l15 level1 lfo32;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Trade events </span></li>
 <li class=3DMsoNormal style=3D'mso-list:l15 level1 lfo32;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Consulting</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l15 level1 lfo32;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Technical support<span style=3D'mso-spacerun:yes'>&nbsp; =
</span></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l15 level1 lfo32;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Marketing</span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Contracts and other business agreem=
ents
entered into while an American visitor to Mexico is traveling on tourist ra=
ther
than business status are not legal.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>There have been rare instances of immigration authorities detaining
visitors doing business while on tourist status, resulting in fines up to
$2,000.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Immigration officials=
 also
have the authority to bar such travelers from obtaining visas in the
future.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Immigration status can be adjusted =
fairly
easily while in country for tourists who later find they want to do
business.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In Mexico City, visa
status can be converted at the following immigration office, located not far
from several major business hotels:</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Delegaci&oacute;n Regional</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Instituto Nacional de Migracion (IN=
M)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Lic. Mario Velazquez Santiago </spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>Avenida Ejercito Nacional No.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>862</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Los Morales, Polanco</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>11570 Mexico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: 2581-0100 x 32005</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>If a U.S. businessperson wants to r=
eside in
Mexico and work on a more permanent basis, it is necessary to obtain an FM-3
immigration form.<span style=3D'mso-spacerun:yes'>&nbsp; </span>This form m=
ay be
obtained with validity up to one year, renewable up to a total of five
years.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The cost is about US$1=
65 at
the current exchange rate.<span style=3D'mso-spacerun:yes'>&nbsp; </span></=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>To obtain the FM-3 the traveler must
present any of the following documents: </span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l33 level1 lfo33;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Valid passport, or</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l33 level1 lfo33;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US>Proof that the traveler is engaged in international busin=
ess
     and that he will receive his income from the U.S. company (e.g. a lett=
er
     from the U.S. employer).<span style=3D'mso-spacerun:yes'>&nbsp; </span=
>A
     verbal declaration may be acceptable.</span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico has 45 consular offices in t=
he
U.S.<span style=3D'mso-spacerun:yes'>&nbsp; </span>For further information,
please contact a Mexican Embassy or Consulate, or visit the Mexican Embassy=
 web
site at <a href=3D"http://www.embassyofmexico.org/">www.embassyofmexico.org=
</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexican immigration authority h=
as
reinstated a visitor&#8217;s fee that was dropped over 30 years ago. The
Mexican Congress authorized the fee to be collected from foreign visitors w=
ith
the stated goal of computerizing visitor entry and expanding tourist
services.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The fee is set at $=
195
Mexican pesos, currently about $18 U.S. dollars.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Visitors are not required to pay t=
he fee
if they: </span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l5 level1 lfo34;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Are Mexican citizens;</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l5 level1 lfo34;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Are aliens residing in Mexico;</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l5 level1 lfo34;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Are students with a current Mexican student ID;</span></l=
i>
 <li class=3DMsoNormal style=3D'mso-list:l5 level1 lfo34;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Enter by land or sea but stay less than 72 hours;</span><=
/li>
 <li class=3DMsoNormal style=3D'mso-list:l5 level1 lfo34;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Enter Mexico by land, stay more than 72 hours, but do not
     proceed beyond the 26-kilometer checkpoints; or</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l5 level1 lfo34;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Enter Mexico by land, stay more than 72 hours, and do not
     proceed beyond the 26-kilometer checkpoints unless to one of the
     &quot;exempted&quot; areas (see SECTUR website below for a list of
     exempted areas.)<span style=3D'mso-spacerun:yes'>&nbsp; </span></span>=
</li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Visitors ARE required to pay the fe=
e if
they:</span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l9 level1 lfo35;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Arrive by air (it will be included in your airfare);</spa=
n></li>
 <li class=3DMsoNormal style=3D'mso-list:l9 level1 lfo35;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Arrive by sea and stay in any Mexican port longer than 72=
 hours
     (with a maximum of one fee per cruise; it will be included in your cru=
ise
     package); or</span></li>
 <li class=3DMsoNormal style=3D'mso-list:l9 level1 lfo35;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US>Arrive by land, stay longer than 72 hours, and proceed be=
yond
     the checkpoints or the exempted areas.</span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>IMPORTANT NOTE: All foreign visitor=
s should
keep their Visitor Card (Forma Migratoria) bearing the official &quot;FEE
PAID&quot; stamp as it must be surrendered upon departure from the country.=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For further information please cont=
act: the
Mexican Embassy, Consulate or visit the Mexican Ministry of Tourism (SECTUR)
web site at: <a href=3D"http://www.sectur.gob.mx/">http://www.sectur.gob.mx=
/</a>.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Companies that require travel =
of
foreign businesspersons to the United States should allow sufficient time f=
or
visa issuance if required. Visa applicants should go to the following links=
.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>State Department Visa Website: <a
href=3D"http://travel.state.gov/visa/index.html">http://travel.state.gov/vi=
sa/index.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>United States Visas.gov: <a
href=3D"http://www.unitedstatesvisas.gov/">http://www.unitedstatesvisas.gov=
/</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy in Mexico, visa inform=
ation:<a
href=3D"http://mexico.usembassy.gov/mexico/evisas.html">
http://mexico.usembassy.gov/mexico/evisas.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy in Mexico, U.S. citize=
ns: <a
href=3D"http://mexico.usembassy.gov/eacs.html"><span
style=3D'mso-spacerun:yes'>&nbsp;</span>http://mexico.usembassy.gov/mexico/=
citizen_services.html</a></span></p>

<h2><a name=3Dtelecommunications></a><span lang=3DEN>Telecommunications<span
style=3D'mso-tab-count:6'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><b><span lang=3DEN-US>Telephone Services:<o:p></o:p></=
span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Telephone service is usually reliab=
le and
most parts of Mexico have direct dialing to the United States. Telephone
service is heavily taxed in Mexico, and fees are relatively high. MCI, and
AT&amp;T calling cards may be used in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Cellular telephones are available =
and
widely used.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>While traveling throughout Mexico, =
the two
main carriers, Telcel and Telef&oacute;nica M&oacute;viles have national
coverage and international roaming services. Best reception is found in fed=
eral
highways and the top 50 cities in the country, including beach resorts.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Nevertheless, the CDMA operator Iu=
sacell
has countrywide coverage and roaming agreements in the US with Sprint and
Verizon. Unefon has a more limited coverage, but are present in the main ci=
ties
in the country, as well as tourist centers. If you bring your mobile phone,
chances are that you will be able to use it while traveling to Mexico,
regardless of the company and technology (GSM, CDMA, PTT) you use. </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Cell phone dialing procedures:<o=
:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>1. When dialing to a fixed line in =
Mexico
from the United States, please use: 011-52-city code-phone number</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For example when dialing to a Mexic=
o City
fixed line: 011-52-55-1234-5678. Mexico City and Monterrey have 8 digit pho=
ne
numbers.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>2. When dialing to a mobile line in=
 to
Mexico from the United States, please use: 011-52-1-city code-mobile phone
number.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>For example when dialing to a Mexic=
o City
mobile line: 011-52-1-55-1234-5678</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>3. When in Mexico, to call to anoth=
er city
in Mexico (fix line to fix line), please dial: 01-city code-phone number</s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>4. When in Mexico, to call a mobile=
 line of
the same city (fix line to mobile or mobile to mobile), please dial: 044-ci=
ty
code-phone number</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>5. When in Mexico, to call a mobile=
 line of
a different city (fix line to mobile or mobile to mobile), please dial:
045-city code-phone number</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>6. For international long distance,=
 dial 00
+ country code + city code + number (if dialing to the USA 001+area code +
number)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Cost:<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>1. If you receive a call from the U=
nited
States while you are in Mexico you will be charged regular airtime plus roa=
ming
charges. Please contact your services provider for exact costs.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>2. If you are in Mexico and make a =
call to
the United States, you will be charge roaming and long distance. Please con=
tact
your services provider for exact costs.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>3. When calling a mobile phone from=
 the
United States, one might notice higher rates now than since November 4, 200=
6.
This is due to the expansion of the Calling Party Pays (CPP) program, which=
 now
includes national and international calls. Before the new mandate by the
regulator, when a person from a different country called a mobile phone in
Mexico, the cost was shared between the person who originated the call and =
the
one that received it. Now, the person who originates the call pays the full
rate, while the receiver does not pay at all.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Other:<o:p></o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>1. All Mexican wireless operators h=
ave agreements
with various operators in the United States to exchange short message (SMS)=
.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Local Mobile Operators are:<o:p>=
</o:p></span></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Telcel &#8211; GSM / TDMA: <a
href=3D"http://www.telcel.com/">http://www.telcel.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Telef&oacute;nica M&oacute;viStar &=
#8211;
GSM / CDMA: <a href=3D"http://www.telefonicamovistar.com.m/">http://www.tel=
efonicamovistar.com.m</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Iusacell &#8211; CDMA / 3G: <a
href=3D"http://www.iusacell.com.mx/">http://www.iusacell.com.mx</a></span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Unefon &#8211; CDMA: <a
href=3D"http://www.unefon.com.mx/">http://www.unefon.com.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Nextel &#8211; Trunking Services (i=
ncluding
US): <a href=3D"http://www.nextel.com.mx/">http://www.nextel.com.mx</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Comisi&oacute;n Federal de
Telecomunicaciones &#8211; Regulator: http://www.cofetel.gob.mx</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>Internet Services:<o:p></o:p></s=
pan></b></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Most tourist and business hotels ar=
e now
providing Internet services, sometimes wirelessly, in rooms, or at a minimu=
m,
in business centers.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Internet
hotspots are now becoming more common. There are about 400 hotspots in Mexi=
co.
Please refer to <a href=3D"http://www.totalhotspots.com/directory/mx">http:=
//www.totalhotspots.com/directory/mx</a>
to find one in the city you are visiting. As expected, Mexico City has a la=
rge
proportion of them scattered around in coffee houses and restaurants.</span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Because Internet penetration in res=
idential
areas is low, Mexico has a proliferation of cyber cafes that offer Internet
access at low cost.<span style=3D'mso-spacerun:yes'>&nbsp; </span>According=
 to a
study by the Universidad Aut&oacute;noma de M&eacute;xico (UAM) there are m=
ore
than 2,000 Internet Caf&eacute;s in Mexico City alone and travelers should =
be
able to find Internet access in virtually all cities and towns.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><span
style=3D'mso-spacerun:yes'>&nbsp;</span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mail service can be unreliable.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Messengers and private delivery se=
rvices
routinely are used to deliver correspondence both intra- and inter-city.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>You can find UPS, FedEx, and DHL, =
and
local names like Estafeta, Multipack and the public mail service courier,
Mexpost.<b><o:p></o:p></b></span></p>

<h2><a name=3Dtransportation></a><span lang=3DEN>Transportation<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></spa=
n><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico City has frequent direct and
non-stop flights from major U.S. cities.<span style=3D'mso-spacerun:yes'>&n=
bsp;
</span>American carriers to Mexico include: American, Continental, Delta,
America West, US Airways, United and Northwest.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Mexican carriers providing schedul=
ed
service within Mexico include Mexicana, Aeromexico and several feeder
carriers.<span style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The Mexico City Benito Juarez Inter=
national
Airport offers a fixed price (depending on destination) taxi service to any
point in the city.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Tickets are
purchased at a booth just outside the baggage claim area. This taxi service=
 is
regulated and monitored by the government.<span style=3D'mso-spacerun:yes'>=
&nbsp;
</span>For security reasons, it is recommended that travelers do not use any
other private taxi services offered on-site.</span></p>

<h2><a name=3Dlanguage></a><span lang=3DEN>Language<span style=3D'mso-tab-c=
ount:8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Spanish is the official language of
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>While many people in =
the
large cities speak some English, it may be difficult for them to conduct
detailed discussions.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Non-Spa=
nish-
speaking visitors to Mexico may wish to hire an interpreter.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>It is considered courteous for U.S.
business people to speak a few words of Spanish.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Many mid and high-level government
officials and business executives speak English, and many are U.S.-educated=
.</span></p>

<h2><a name=3Dhealth></a><span lang=3DEN>Health<span style=3D'mso-tab-count=
:9'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>A high standard of medical care is
available in the principal cities from private hospitals and doctors.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Many private Mexican doctors have =
U.S.
training and speak English.<span style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </=
span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In Mexico City, U.S. Embassy staff =
who need
urgent medical care generally visit the ABC Hospital (tel: 5230-8000; emerg=
ency
ward 5230-8161-4).<span style=3D'mso-spacerun:yes'>&nbsp; </span>Other good
private hospitals and clinics located around the city include the Angeles G=
roup
(various locations); Medica Sur (south Mexico City), and Clinica Londres
(central). </span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Visitors should follow standard
international dietary precautions in Mexico.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>It is best to drink bottled bevera=
ges
without ice.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Bottled water is
readily available.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Raw salads
should not be consumed, all fruits should be peeled, only pasteurized dairy
products should be consumed, and meat should be ordered well done.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Hotels and business restaurants in
general cater to foreign visitors and fulfill all sanitary requirements.<sp=
an
style=3D'mso-spacerun:yes'>&nbsp; </span>Many American fast food chains have
franchises in Mexico with similar standards as in the United States.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Air pollution in the Valley of Mexi=
co
(Mexico City and adjacent areas) is chronic. Contaminants in excess of U.S.=
 and
Mexican standards pollute the air many days during the year. <span
style=3D'mso-spacerun:yes'>&nbsp;</span>Air pollution is at its peak from
November to April, during the dry season, and may aggravate allergy and
cardiopulmonary problems.<span style=3D'mso-spacerun:yes'>&nbsp; </span>The
relatively high altitude of Mexico City, a long winter dry season, and air
pollution can cause irritation of the respiratory tract, nose and eyes - the
latter especially for those who use contact lens.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Visitors to Mexico City should reme=
mber the
high altitude and be prepared to move slowly, getting sufficient rest, until
they have adjusted.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Upon arri=
val in
Mexico City, increased respiration, rapid heart rate, and mild dizziness may
occur while visitors acclimatize to the higher altitude.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Insomnia, fatigue, circulatory pro=
blems,
symptoms of dehydration, and nausea are common, but pass quickly.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Alcoholic beverages have a stronger
effect. Newcomers may find it beneficial to drink plenty of water.<span
style=3D'mso-spacerun:yes'>&nbsp; </span></span></p>

<h2><a name=3Dlocaltime></a><span lang=3DEN>Local Time, Business Hours, and
Holidays<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Mexico spans several time zones, as=
 does
the United States.<span style=3D'mso-spacerun:yes'>&nbsp; </span>From the
Yucat&aacute;n Peninsula to Tijuana, there is a three-hour time
difference.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Mexico City and C=
entral
Mexico is Central Standard Time (CST).</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>The length of the workday varies de=
pending
on the region of the country and the type of organization.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In Mexico City, companies typicall=
y open
at 9:00 and work until 6:00 or 7:00 P.M., with a long lunch beginning at 2:=
00
P.M. or later.<span style=3D'mso-spacerun:yes'>&nbsp; </span>In the north, =
the
workday may begin and end earlier with lunch at 1:00 P.M.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Federal government offices in Mexi=
co
City traditionally have started work at about 10:00 A.M., with a break at 2=
:00
or 3:00 P.M. for lunch and a return at 5:00 P.M. or 6:00 P.M to work into t=
he
evening until 9:00 P.M. Beginning April 1, 1999, the federal government iss=
ued
new instructions for offices to operate between the hours of 8:00 AM and 6:=
00
PM with flexible arrival and departure times for employees.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>In practice, however, many offices
continue to operate according to the traditional schedule.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Listed below are Mexican holidays f=
or
2007.<span style=3D'mso-spacerun:yes'>&nbsp; </span>On these days, banks wi=
ll not
open and most businesses will be closed.<span style=3D'mso-spacerun:yes'>&n=
bsp;
</span>Be aware of the popular &quot;puentes&quot; or bridges.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>When holidays fall near the weeken=
d,
they are rapidly converted into long weekends and are not a good time to
schedule business trips.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><b><span lang=3DEN-US>2007<o:p></o:p></span></b></p>

<h5><span lang=3DEN-US>Date<span style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </s=
pan>Day
of Week<span style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Holiday</span></h5>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>January 1<span style=3D'mso-tab-cou=
nt:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Monday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp; </span>New
Year&#8217;s Day</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>February 5<span style=3D'mso-tab-co=
unt:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Monday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp; </span>Anniversary
of the Mexican Constitution</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>March 19<span style=3D'mso-tab-coun=
t:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span>Monday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp; </span>Birthday
of Benito Juarez</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>April 5<span style=3D'mso-tab-count=
:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp; </span>Thursday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </s=
pan>Holy
Thursday</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>April 6<span style=3D'mso-tab-count=
:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp=
;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp; </span>Friday<span
style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span>Good
Friday</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>May 1<span style=3D'mso-tab-count:3=
'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p; </span>Tuesday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p; </span>Mexican
Labor Day</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>May 5<span style=3D'mso-tab-count:3=
'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p; </span>Saturday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </s=
pan>Anniversary
of the Battle of Puebla</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>September 16<span style=3D'mso-tab-=
count:
2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
 </span>Sunday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp; </span>Mexican
Independence Day</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>November 2<span style=3D'mso-tab-co=
unt:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&n=
bsp;&nbsp;&nbsp;&nbsp; </span>Friday<span
style=3D'mso-tab-count:3'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp; </span>All
Souls&#8217; Day</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>November 19<span style=3D'mso-tab-c=
ount:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp; </span>Monday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp; </span>Anniversary
of the Mexican Revolution</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>December 25<span style=3D'mso-tab-c=
ount:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp; </span>Tuesday<span
style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p; </span>Christmas
Day</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>In addition to the official holiday=
s, there
are some unofficial holidays that are observed by most businesses in
Mexico.<span style=3D'mso-spacerun:yes'>&nbsp; </span>These include
Mother&#8217;s Day, May 10, and Dia de la Virgen de Guadalupe, Mexico&#8217=
;s
Patron Saint, December 12.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Furthermore, many business contacts may be unavailable during the
Christmas holiday season, which in Mexico begins around December 16 and ext=
ends
to January 6, the Day of the Epiphany (Twelfth Night, Day of the Three
Kings).<span style=3D'mso-spacerun:yes'>&nbsp; </span>This holds true as we=
ll for
the two weeks around Easter.</span></p>

<h2><a name=3Dsixtyone></a><span lang=3DEN>Temporary Entry of Materials and
Personal Belongings<span style=3D'mso-tab-count:2'>&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Temporary imports for manufacturing,
transformation, and repair under the Maquila and Pitex programs are subject=
 to
payment of duties taxes and compensatory fees.<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Other temporary imports from the U=
nited
States, however, do not pay import duties, taxes or compensatory fees, but =
they
must comply with all other obligations set forth in Article 104 of the Mexi=
can
Customs Law.<span style=3D'mso-spacerun:yes'>&nbsp; </span>Please see Chapt=
er 5,
Temporary Entry, for more details.</span></p>

<h2><a name=3Dsixtytwo></a><span lang=3DEN>Web Resources<span style=3D'mso-=
tab-count:
7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch8">Return to top</a></=
span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>State Department Travel Advisory: <a
href=3D"http://travel.state.gov/travel/cis_pa_tw/cis/cis_970.html">http://t=
ravel.state.gov/travel/cis_pa_tw/cis/cis_970.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Embassy in the U.S.: <a
href=3D"http://www.embassyofmexico.org/">http://www.embassyofmexico.org</a>=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mexican Ministry of Tourism (SECTUR=
): <a
href=3D"http://www.sectur.gob.mx/">http://www.sectur.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>State Department Visa Website: <a
href=3D"http://travel.state.gov/visa/index.html">http://travel.state.gov/vi=
sa/index.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>United States Visas.gov: <a
href=3D"http://www.unitedstatesvisas.gov/">http://www.unitedstatesvisas.gov=
/</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy in Mexico, visa inform=
ation: <a
href=3D"http://mexico.usembassy.gov/mexico/evisas.html">http://mexico.usemb=
assy.gov/mexico/evisas.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Embassy in Mexico, U.S. citize=
ns:<span
style=3D'mso-spacerun:yes'>&nbsp; </span><a
href=3D"http://mexico.usembassy.gov/mexico/citizen_services.html">http://me=
xico.usembassy.gov/mexico/citizen_services.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><a href=3D"#toc">Return to table of contents</a><o:p></o=
:p></span></p>

</div>

<b><span lang=3DEN-US style=3D'font-size:16.0pt;mso-bidi-font-size:24.0pt;
font-family:"Arial Unicode MS","sans-serif";mso-font-kerning:18.0pt;mso-ans=
i-language:
EN-US;mso-fareast-language:EN-US;mso-bidi-language:AR-SA'><br clear=3Dall
style=3D'page-break-before:auto;mso-break-type:section-break'>
</span></b>

<div class=3DSection12>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><o:p>&nbsp=
;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;mso-fareast-languag=
e:
EN-US;mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:a=
lways'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US style=3D'f=
ont-family:
"Arial","sans-serif";mso-fareast-font-family:"Times New Roman";mso-bidi-fon=
t-family:
"Times New Roman"'><a href=3D"#toc">Return to table of contents</a><o:p></o=
:p></span></p>

<h1><a name=3Dch9></a><span lang=3DEN-US>Chapter 9: Contacts, Market Resear=
ch, and
Trade Events</span></h1>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l31 level1 lfo7;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#contacts">Contacts</a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l31 level1 lfo7;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#markeetresearch">Market Research</a></span></=
li>
 <li class=3DMsoNormal style=3D'mso-list:l31 level1 lfo7;tab-stops:list 36.=
0pt'><span
     lang=3DEN-US><a href=3D"#tradeevents">Trade Events</a></span></li>
</ul>

<h2><a name=3Dcontacts></a><a name=3Dchguide></a><span lang=3DEN>Contacts<s=
pan
style=3D'mso-tab-count:8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch9">Return to top</a><o=
:p></o:p></span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Ms. Karen Zens</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Minister Counselor for Commercial A=
ffairs </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>United States Trade Center </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Liverpool 31</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Juarez</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>06600 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 5140-2601</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5705-0065</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Mail: P.O. Box 9000</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Brownsville, TX 78520-0900 </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:Karen.zens@mail.doc.gov">Karen.zens@mail.doc.gov</a></span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.buyusa.com/">=
www.buyusa.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.buyusa.gov/me=
xico/">www.buyusa.gov/mexico/</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mr. Vlad Sambaiew</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Minister Counselor for Economic Aff=
airs</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Embassy of the United States of Ame=
rica</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Paseo de la Reforma 305-4</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>06500 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 5080-2999<span
style=3D'mso-spacerun:yes'>&nbsp;&nbsp; </span></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5080-2394</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Mail: P.O. Box 9000</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Brownsville, TX 78520-0900 </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Email:<span style=3D'mso-spacerun:y=
es'>&nbsp;
</span><a href=3D"mailto:SambaiewVP@state.gov">SambaiewVP@state.gov</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.usembassy-mex=
ico.gov/">www.usembassy-mexico.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mrs. Suzanne Heinen</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Minister Counselor for Agricultural=
 Affairs</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Embassy of the United States of Ame=
rica</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Paseo de la Reforma 305 Floor 2</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>06500 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 5080-2847</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5208-2130/2776</sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mail: P.O. Box 9000</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Brownsville, TX 78520-9000</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Email:<span style=3D'mso-spacerun:y=
es'>&nbsp;
</span><a href=3D"mailto:agmexico@usda.gov">agmexico@usda.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.usembassy-mex=
ico.gov/">www.usembassy-mexico.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Agricultural Trade Office</spa=
n></p>

<p class=3DMsoNormal><span lang=3DEN-US>United States Trade Center </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Liverpool 31</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Juarez</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>06600 M&eacute;xico, D.F.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-55) 5140-2675 </span=
></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-55) 5535-8357</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Mail: P.O. Box 9000</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Brownsville, TX 78520-0900 </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Email: <a href=3D"mailto:atomexico@=
usda.gov">atomexico@usda.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.usembassy-mex=
ico.gov/">www.usembassy-mexico.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Agricultural Trade Office, Mon=
terrey</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mr. Daniel Martinez Director</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Blvd. Diaz Ordaz No. 140, 2 Tower, =
7 Floor,
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Santa Maria</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>64650 Monterrey, Nuevo Leon</span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone:<span style=3D'mso-spacerun:y=
es'>&nbsp;
</span>(011-52-81) 8333-5289</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-81) 8333-1248</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Mail: P.O. Box 9002</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Brownsville, TX 78520-9002</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail:<span
style=3D'mso-spacerun:yes'>&nbsp; </span><a href=3D"mailto:atomonterrey@usd=
a.gov">atomonterrey@usda.gov</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Consulate General, Monterrey</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Mr. Dan Crocker </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Principal Commercial Officer</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Avenida Constituci&oacute;n No. 411=
 Pte.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>64000 Monterrey, NL</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-81) 8343-4450/8340-0=
364</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-81) 8342-5172</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Mail: P.O. Box 9002</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Brownsville, TX 78520-9002</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:Daniel.crocker@mail.doc.gov">Daniel.crocker@mail.doc.gov</a>=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.buyusa.com/">=
www.buyusa.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.buyusa.gov/me=
xico">www.buyusa.gov/mexico</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S. Consulate General, Guadalajara=
</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Ms. Lora Baker</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Principal Commercial Officer</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Lopez Cotilla No. 2032, 4th<span
style=3D'mso-spacerun:yes'>&nbsp; </span>Floor </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Col. Arcos Vallarta</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>44130 Guadalajara, Jalisco</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Phone: (011-52-33) 3615-1140</span>=
</p>

<p class=3DMsoNormal><span lang=3DEN-US>Fax: (011-52-33) 3615-7665</span></=
p>

<p class=3DMsoNormal><span lang=3DEN-US>Mail: P.O. Box 9001</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Brownsville, TX 78520-0901 </span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US>E-mail: <a
href=3D"mailto:lora.baker@mail.doc.gov">lora.baker@mail.doc.gov</a></span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.buyusa.com/">=
www.buyusa.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"http://www.buyusa.gov/me=
xico/">www.buyusa.gov/mexico/</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Secretaria de Economia</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Former SECOFI-Secretariat of Comme=
rce and
Industrial Development): <a href=3D"http://www.economia.gob.mx/">http://www=
.economia.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Instituto Mexicano de la Propiedad
Industrial (IMPI)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Mexican Institute of Industrial Pr=
operty
and Technological Development): <a href=3D"http://www.impi.gob.mx/">http://=
www.impi.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Secretaria de Educaci&oacute;n
P&uacute;blica (SEP)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Secretariat of Public Education): =
<a
href=3D"http://www.sep.gob.mx/">http://www.sep.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Secretaria de Energ&iacute;a (SE)</=
span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Secretariat of Energy): <a
href=3D"http://www.energia.gob.mx/">http://www.energia.gob.mx</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Secretaria de Medio Ambiente, Recur=
sos
Naturales </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Secretariat of the Environment,
Natural<span style=3D'mso-spacerun:yes'>&nbsp; </span>Resources): <a
href=3D"http://www.semarnat.gob.mx/">http://www.semarnat.gob.mx</a></span><=
/p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Secretaria de Comunicaciones y Tran=
sportes
(SCT)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Secretariat of Communications and
Transport): <a href=3D"http://www.sct.gob.mx/">http://www.sct.gob.mx</a></s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>American Chamber of Commerce - Mexi=
co,
A.C.: <a href=3D"http://www.amcham.com.mx/">http://www.amcham.com.mx</a></s=
pan></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>U.S.- Mexico Chamber of Commerce: <a
href=3D"http://www.usmcoc.org/">http://www.usmcoc.org</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>C&aacute;mara de Comercio Hispana d=
e los
Estados Unidos</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>United States Hispanic Chamber of C=
ommerce:
<a href=3D"http://www.ushcc.com/">http://www.ushcc.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>C&aacute;mara Nacional de Comercio =
de la
Ciudad de Mexico (CANACO)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(National Chamber of Commerce of Me=
xico
City): <a href=3D"http://www.ccmexico.com.mx/">http://www.ccmexico.com.mx</=
a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Confederaci&oacute;n de C&aacute;ma=
ras
Nacionales de Comercio, Servicios y Turismo<span
style=3D'mso-spacerun:yes'>&nbsp; </span>(CONCANACO- SERVYTUR)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Confederation of National Chambers=
 of
Commerce): <a href=3D"http://www.concanacored.com/">http://www.concanacored=
.com</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>C&aacute;mara Nacional de la Indust=
ria de
la Transformaci&oacute;n</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(National Manufacturing Industry Ch=
amber): <a
href=3D"http://www.canacintra.org.mx/">http://www.canacintra.org.mx</a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Confederaci&oacute;n de C&aacute;ma=
ras
Industriales de los Estados Unidos Mexicanos (CONCAMIN)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(Confederation of Industrial Chambe=
rs of
Mexico): <a href=3D"http://www.concamin.org.mx/">http://www.concamin.org.mx=
</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Asociaci&oacute;n Nacional de Impor=
tadores
y </span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Exportadores de la Republica Mexica=
na, A.C.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>(ANIERM)</span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Association of Importers and Export=
ers of
Mexico: <a href=3D"http://www.anierm.org.mx/">http://www.anierm.org.mx</a><=
/span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>It should be noted that there are h=
undreds
of specialized and regional associations and chambers in Mexico, which could
not be included here.</span></p>

<h2><a name=3Dmarkeetresearch></a><span lang=3DEN>Market Research<span
style=3D'mso-tab-count:7'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&=
nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbs=
p;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><span
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch9">Return to top</a><o=
:p></o:p></span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>To view market research reports pro=
duced by
the U.S. Commercial Service please go to the following website: <a
href=3D"http://www.export.gov/marketresearch.html">http://www.export.gov/ma=
rketresearch.html</a>
and click on Country and Industry Market Reports.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US>Please note that these reports are =
only
available to U.S. citizens and U.S. companies. Registration to the site is
required, but free of charge.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<h2><a name=3Dtradeevents></a><span lang=3DEN>Trade Events<span style=3D'ms=
o-tab-count:
8'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nb=
sp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span></span><sp=
an
lang=3DEN style=3D'font-weight:normal'><a href=3D"#ch9">Return to top</a><o=
:p></o:p></span></h2>

<p class=3DMsoNormal><span lang=3DEN-US>Please click on the link below for
information on upcoming trade events.</span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"http://www.export.gov/tradeevents.html">http://www.export.gov/trade=
events.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a
href=3D"http://www.buyusa.gov/mexico/en/trade_events.html">http://www.buyus=
a.gov/mexico/en/trade_events.html</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc">Return to table of=
 contents</a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><o:p>&nbsp;</o:p></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><o:p>&nbsp=
;</o:p></span></p>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;mso-fareast-languag=
e:
EN-US;mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:a=
lways'>
</span>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><a name=3Dch10></a><span lang=
=3DEN-US
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman"'><a href=3D"#toc">Return to table of
contents</a><o:p></o:p></span></p>

<h1><span lang=3DEN-US>Chapter 10: Guide to Our Services</span></h1>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc"><span style=3D'col=
or:windowtext'>The
U.S. Commercial Service offers customized solutions to help your business e=
nter
and succeed in markets worldwide.<span style=3D'mso-spacerun:yes'>&nbsp;
</span>Our global network of trade specialists will work one-on-one with you
through every step of the exporting process, helping you to:</span></a></sp=
an></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc"><span style=3D'col=
or:windowtext'><o:p>&nbsp;</o:p></span></a></span></p>

<ul style=3D'margin-top:0cm' type=3Ddisc>
 <li class=3DMsoNormal style=3D'mso-list:l24 level1 lfo11;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US><a href=3D"#toc"><span style=3D'color:windowtext'>Target =
the best
     markets with our world-class research</span></a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l24 level1 lfo11;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US><a href=3D"#toc"><span style=3D'color:windowtext'>Promote=
 your
     products and services to qualified buyers</span></a></span></li>
 <li class=3DMsoNormal style=3D'mso-list:l24 level1 lfo11;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US><a href=3D"#toc"><span style=3D'color:windowtext'>Meet th=
e best
     distributors and agents for your products and services</span></a></spa=
n></li>
 <li class=3DMsoNormal style=3D'mso-list:l24 level1 lfo11;tab-stops:list 36=
.0pt'><span
     lang=3DEN-US><a href=3D"#toc"><span style=3D'color:windowtext'>Overcome
     potential challenges or trade barriers</span></a></span></li>
</ul>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc"><span style=3D'col=
or:windowtext'><o:p>&nbsp;</o:p></span></a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc"><span style=3D'col=
or:windowtext'>For
more information on the services the U.S. Commercial Service offers U.S.
businesses, please click on the link below.</span></a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc"><span style=3D'col=
or:windowtext'><o:p>&nbsp;</o:p></span></a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc"><span style=3D'col=
or:windowtext'><span
style=3D'mso-field-code:" HYPERLINK \0022http\:\/\/www\.buyusa\.gov\/mexico=
\/en\/business_opportunities_mexico\.html\0022 "'><span
style=3D'color:blue'>http://www.buyusa.gov/mexico/en/business_opportunities=
_mexico.html</span></span></span></a></span></p>

<p class=3DMsoNormal><span lang=3DEN-US><a href=3D"#toc"><span style=3D'col=
or:windowtext'><o:p>&nbsp;</o:p></span></a></span></p>

<p style=3D'margin:0cm;margin-bottom:.0001pt'><span lang=3DEN-US><a href=3D=
"#toc"><span
style=3D'color:windowtext'><span style=3D'mso-field-code:" HYPERLINK  \\l \=
0022toc\0022 "'><span
style=3D'font-family:"Arial","sans-serif";mso-fareast-font-family:"Times Ne=
w Roman";
mso-bidi-font-family:"Times New Roman";color:blue'>Return to table of conte=
nts</span></span></span></a></span></p>

</div>

<span lang=3DEN-US style=3D'font-size:11.0pt;mso-bidi-font-size:12.0pt;font=
-family:
"Arial Unicode MS","sans-serif";mso-ansi-language:EN-US;mso-fareast-languag=
e:
EN-US;mso-bidi-language:AR-SA'><br clear=3Dall style=3D'page-break-before:a=
uto;
mso-break-type:section-break'>
</span>

<div class=3DSection13>

<h1><a name=3Dch11></a><span lang=3DEN-US><o:p>&nbsp;</o:p></span></h1>

<p class=3DMsoNormal style=3D'background:#E6E6E6'><span lang=3DEN-US
style=3D'font-size:10.0pt;mso-bidi-font-family:Arial'>U.S. exporters seeking
general export information/assistance or country-specific commercial
information should consult with their nearest <b>Export Assistance Center</=
b>
or the <b>U.S. Department of Commerce's Trade Information Center</b> at <b>=
(800)
USA-TRADE</b>, or go to the following website: <a href=3D"http://www.export=
.gov/">http://www.export.gov</a><br>
<br>
To the best of our knowledge, the information contained in this report is
accurate as of the date published. However, <b>The Department of Commerce</=
b>
does not take responsibility for actions readers may take based on the info=
rmation
contained herein. Readers should always conduct their own due diligence bef=
ore
entering into business ventures or other commercial arrangements. <b>The
Department of Commerce</b> can assist companies in these endeavors.</span><=
/p>

</div>

</body>

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