Brazil’s ministry of development, industry and foreign trade, MDIC, announced on Monday it renewed a finalized automotive agreement with Mexico.
According to the Brazilian government, each country may export up to $1.5 billion in autos without paying any import duties.
The $1.5 billion export quota takes effect immediately and is valid for the next 12 months, MDIC said. After this period, the import tax will be 3 percent each year. The deal is valid for a period of four years, MDIC said.
According to media reports, the new quota is less than the $1.6 billion limit established previously, which is valid until March 18 this year.