Chile has long been attractive to companies that are investing for the first time in Latin America, since they appreciate its political and economic stability and the clarity of its business environment. But, increasingly, investors are taking this learning approach a step further, and they are using Chile not only to gain experience in the region, but also as a base from which to provide other markets.
Chile's Free Trade Agreements have been key in encouraging companies to adopt this approach, thanks to these treaties, companies in Chile now enjoy privileged access - and, in many cases, with zero tariff - to a market of more than one billion consumers around the world.
In response to this opportunity, an increasing number of companies are using their facilities in Chile to export to other markets around the region and in the rest of the world.
Presentation of the SII. "Chile, Country Investment Platform: lowering tax barriers to promote investment to and from Chile".
"Productive Chains", is a new challenge of the commercial policy of Chile, with the purpose of obtaining a better use of the commercial opportunities generated by the network of commercial agreements signed by our country.
These agreements have created important competitive advantages, which allow Chilean exports preferential access to a market of more than 55 countries (85% of world GDP and around 4,000 million inhabitants), which represent about 90% of the destination of our exports.
This is the chain of goods and services with third countries, which, following a minimum process of transformation in Chile, are then exported to the markets in which Chile enjoys the aforementioned benefits. This initiative becomes more relevant in markets such as Asia, where there are high tariffs, charge from which Chile is released thanks to trade agreements, and therefore has an important competitive advantage.
The project suggests that third-country entrepreneurs, which we will call "partners", join Chile, in a process of productive complementation, to export to the markets that we will call "destination", in which Chile enjoys preferential access. The advantages of such a project are diverse, to name a few, the volume of exports of our countries will be increased and the existing commercial relations between our entrepreneurs will be strengthened. In short, it is not about selling products from one country to another, but about addressing the world together.
In this context, a study has been carried out to detect, in the first instance, products with potential for possible productive chains, based on the following countries:
Partners: Argentina, Brazil, Bolivia, Uruguay,
Destinations: China, South Korea, U.S, Mexico.
More information: Document Prepared by the General Directorate of International Economic Relations
Ministry of Foreign Affairs of Chile - Pro Chile - Productive Chains (pdf - 2.2 MB) https://www.prochile.gob.cl/