Baja Biz Sector Urges Action

Commercial sector in Baja California expresses growing concern over slow progress on federal decrees relating to VAT and border customs, urging immediate legislative action for economic stability and competitiveness.

## Commercial Sector Raises Concerns Over Slow Progress on Federal Decrees

The commercial sector in Baja California is expressing increasing concern over the sluggish progress of federal decrees. Jorge Macías Jiménez, a member of the Federation of the Chamber of Commerce of Baja California (Concanaco), highlighted the lack of information and communication regarding crucial federal decrees, particularly those related to the Value Added Tax (VAT), customs tariff laws, and the importation of foreign vehicles.

One of the primary issues causing anxiety is the uncertainty surrounding the proposal to legislate a VAT rate of 8% in border areas. This initiative was a central promise made by the President of Mexico, Andres Manuel Lopez Obrador, last year. The lack of updates or concrete actions from the federal government is leaving the commercial sector in a state of worry, according to Macías Jiménez.

He emphasized that if this proposal is not enacted into law or reintroduced via a new decree, it could lead to increased costs for goods, making them more expensive than those available in the United States. This could significantly impact businesses in the border region.

Moreover, Macías Jiménez pointed out that there are currently substantial tariffs, around 50%, on imported vehicles, making it more expensive to import a vehicle than its market value. The sector is advocating for these tariffs to be re-evaluated and for minor changes to be implemented that would lower the cost of importing vehicles manufactured before 2014.

Macías Jiménez reiterated the president’s promise to legislate the VAT initiative, which was made during a visit to Baja California. He stressed the importance of this legislation to remove any uncertainty about the continuation of the lower VAT rate.

In conclusion, the commercial sector is urging the federal government to provide clear updates and take definitive action to implement these critical decrees, ensuring stability and competitiveness for businesses in Baja California’s border region.

### Secondary Article: Business Community Calls for Immediate Action on Federal Tax Reforms

Further exacerbating the concerns of the commercial sector, recent reports suggest that the business community is calling for urgent action from the federal government on pending tax reforms. A significant focus is on the extension of the reduced VAT rate and customs tariffs which are vital for maintaining economic equilibrium in border areas.

Business leaders argue that the protracted delays in these reforms are stifling growth and creating an unpredictable business environment. They are pushing for immediate legislative action to safeguard the competitiveness of local businesses and to prevent price disparities with the neighboring United States.

Additionally, industry experts are recommending a re-evaluation of the high tariffs on vehicle imports. They believe that reducing these tariffs will benefit consumers and businesses by lowering the overall cost of imported vehicles, thus fostering an environment of economic vitality.

Overall, the commercial sector is emphasizing the need for swift federal action to ensure that the promised reforms are enacted without further delay, thereby securing economic stability and growth for businesses in the region.