G/SCM/Q2/MEX/40  
25 October  2021 
(21-8046) Page: 1/3 
Committee on Subsidies and  
Countervailing Measures  Original:  Spanish  
 
  
SUBSIDIES  
REPLIES TO THE QUESTIONS POSED BY THE UNITED STATES1 
REGARDING THE NEW AND FULL NOTIFICATIONS OF MEXICO2 
The following communication , dated and received on  22 October  2021, is being circulated at the 
request of the delegation of Mexico . 
 
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FILM SECTOR  
Question  4 
The notification lists several film related programs that fall under the Incentive 
Programme for Creators . Can Mexico please provide further information on the 
Programme for Creators, including eligibility criteria, the objective, to whom the 
incentives are being provided and what type of incentives are being provided under the 
program?  
Reply 
The Incentive Program for Film Creators  is an undertaking of the  Mexican Film Institute  aimed at 
promoting  script writing , based on original or spin-off storylines , as well as fiction, documentary and 
animated film projects at the initial  stage  of development . 
Beneficiaries of this Program can be writers , documentalists and professional script writers , as well 
as film school students  and film workshop  participants , production companies , directors and 
producers  who are interested in developing a film project in a professional  and comprehensive way . 
Support  provided through this Program  can take the form of  financial  support , depending on the 
specific procedures, coaching  or profe ssional guidance  or assistance  for script writing , which  falls 
into three different categories : (1) Direct financial support where by the writer works on the script 
on a self -employed basis ; (2) Professional coaching  in script -writing is provided to writers, along 
with financial support  while the new version  is being produced , and is reserved for fiction and 
animated film script write rs; (3) Coaching in storylines , financial support  and professional guidance 
to help the writers transform their storyline into  a script or  documenta ry. 
In cases of project development , at the request of  participants or at the recommendation of 
evaluation officials , the successful candidates can benefit not only from the financial support 
requested, but also from coaching by a profes sional in the specific creative field . 
The maximum amount for Project Development  is $150,000.00 (one hundred  and f ifty thousand  
Mexican pesos) and $110,000 .00 (one  hundred  and ten  thousand  Mexican pesos) for Script Writing.  
 
1 G/SCM/Q2/MEX/34. Please note that replies to questions 1, 2, 3 and 5 have been provided in 
document G/SCM/Q2/MEX/38.  
2 G/SCM/N/343/MEX and G/SCM/N/315/MEX.  G/SCM/Q2/MEX/40  
- 2 - 
  The members of the  Screening Committee  and the Selection Panel  evaluate the projects  against the 
following eligibility criteria : 
• Narrative, aesthe tic and cinematographic value of the project . 
• Provisional dramatic structure  and presentation of characters . 
• Consistency between  the writer's goals and  the project submitted . 
• In the case of documentaries , a working and research method that allows for in -depth 
analysis of the story . 
• A workplan and budget  that demonstrate and clearly justify  the requirements of the project 
development . 
• Viabili ty of the project  and potential to become a cinematographic  work. 
• Relevanc e of the project  to various audiences and niches . 
• With a view to increasing the production of films  for young or very young audiences that 
have a gender perspective, as well as  films depicting  the reality of the country's indigenous 
communities  and communities of African descent , the screening bodies will pay particular 
attention  to the film content which, depending on the quality,  could be deserving of 
support . 
HIGH -TECHNOLOGY SECTOR  
II. General Import Tax for the Border Region and the Northern Border Zone  
Question  6 
The notification states that the objective under this program is to increase companies' 
international competitiveness . Can Mexico please explain whether the incentives received 
under this program are contingent upon export ? If so, please explain how this progr am 
meets Mexico's obligations under the Article 3.1(a) of the SCM Agreement . Can Mexico 
please provide the industries and sectors that benefit from this program?  
Reply 
The Decree establishing  the general import tax for the border region and the northern bo rder region 
(the General Import Tax for the Border Region and the Northern Border Region  Program ) sets 
preferential import taxes  for goods for final consumption to be marketed in the national Border 
Region , not in international markets . 
The purpose of the program is to strengthen consumption on the domestic market in border regions . 
The program grants access to  companies in the business and services sector that are located in the 
border regions  to goods for  final consumption with preferential tariffs so  they can maintain their 
competitiveness vis-à-vis foreign companies outside the country but located in the vicinity of the 
national borders , particularly the northern border region . Imported goods falling under this program  
must be marketed only in the bo rder regions  and cannot move into other areas of the country . 
Only those companies which, as mentioned previously, are located in the Border Region or the 
Northern Border and are in the business and services sector , i.e. " … performing marketing activities , 
providing restaurant, hotel, leisure, cultural, recreational, sporting, educational, research -related, 
medical and social care services, rental services for moveable property and services to businesses, 
in accordance with the Catalogue of Economic Activi ties classification issued by the 
Tax Administration Service in the form of general rules  …". G/SCM/Q2/MEX/40  
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  The Border Program  only applies to  a group of products for  final consumption . The Decree provides 
for 1,744 tariff headings  for goo ds such , as inter alia : foodstuff s (fish, dairy, coffee, tea, food 
preparations , fruit and vegetables , among others ), cosm etics and soap , pape r, furniture , toys, 
clothes  and shoes . 
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