CHINA

Investment in Mexico Considered: Illustrating a new era in Pacific trade, Chinese business representatives flew to Mexico last week for talks on investment projects, a Mexican diplomat in Beijing said. Beijing had previously announced measures to step up its investment in North America out of fears that the North American Free Trade Agreement would give low-cost Mexican products a tariff advantage, preventing Chinese goods from competing. Now analysts appear to believe that the trade agreement offers China an opportunity to set up ventures that can circumvent trade restrictions--such as garment and textile quotas--in its main market, the United States.