Salinas Promotes Investment by Japanese : Mexico a Good Investment, Japanese Told

Mexican President Carlos Salinas de Gortari said today that a planned free trade pact with the United States would make his country a more attractive place in which to invest.

“Owing to current conditions and short-term perspectives, investments made in Mexico now will enjoy greater benefits,” Salinas said in an address to a meeting sponsored by Japan’s Prime Minister Toshiki Kaifu.

Salinas, who arrived here Saturday for a five-day visit, agreed with President Bush in Washington last week that both nations will start exploratory talks on signing a free trade pact.

In his speech given to a gathering of Japanese political, government and business leaders, including Kaifu, Salinas said talks on a U.S.-Mexico trade pact are directed toward winning reciprocity for a unilateral opening of Mexico’s markets and ensuring stable and permanent access for Mexican companies to U.S. markets.

“An agreement of this nature will permit the location in Mexico of new production processes providing a high degree of integration of Mexican industry,” he said.

Salinas also said Mexico hopes for closer ties with Japan because it is at the “forefront in technological innovation.”

“Conditions in Mexico are suitable for receiving Japanese capital. We want to receive it, so as to channel it into production investments,” the president said.

He said Mexico, which has actively pushed for deregulation and privatization of public enterprises, will offer greater markets for Japanese and other foreign companies.

“Trading with Mexico is more attractive than in the past. Investing there is a better and safer business than ever before,” he said.

Calling Japan a “gateway” to the most economically and technologically active region of the world, Salinas also said Japan can and should play a more active economic role throughout the world.