Peru made a number of tariff elimination commitments under CPTPP and some overlap with its regional trade agreements (RTAs), according to a WTO report.
Peru has a common liberalization schedule for all CPTPP Parties, which provides for a 12-year transition period (Annex 2-D of the Treaty dedicated to Peru, adjusted after the entry into force of the Treaty in that country).
Thus, a «synchronization» mechanism is applied between Peru and the other seven CPTPP Parties.
Upon entry into force of the Treaty, Peru applied the four annual tariff reductions already applied by the other seven CPTPP Parties and benefited from similar reductions in their markets.
The liberalization schedules of Australia, Canada, New Zealand, Singapore and Vietnam are common to all CPTPP Parties, including Peru.
Japan and Mexico apply different liberalization schedules to Peru for a limited number of lines.
The chart shows Peru’s tariff elimination commitments (by tariff line) vis-à-vis the other CPTPP Parties, as well as those Parties’ commitments to Peru under the Treaty.
Peru in CPTPP
Duty-free lines under the Treaty are shown for 2021 and at the end of the transition period, compared to the number of MFN duty-free lines in 2021.
Liberalization under other existing RTAs between the Parties is also included, both in 2021 and at the end of the implementation period of those RTAs, provided the data are available.
When comparing liberalization under CPTPP with that under other overlapping RTAs, in only four cases is liberalization in 2021 greater under CPTPP than under the overlapping RTA (liberalization undertaken by Australia under the Peru-Australia Agreement, trade between Japan and Peru, and liberalization undertaken by Vietnam under the Vietnam-Japan Agreement).
When CPTPP is fully implemented, tariff liberalization under CPTPP will be less than that under seven overlapping RTAs, namely Australia’s imports from Japan, New Zealand, Singapore and Vietnam; Mexico‘s imports from Peru; and Peru’s imports from Mexico and Singapore.
The end of the implementation period between Mexico and Vietnam is delayed by one year due to the non-implementation of the synchronization mechanism.