What Was One Criticism Regarding The Passage Of The North American Free Trade Agreement (Nafta)

In October 2017, in The Globe and Mail in Toronto, an op-ed questioned the U.S. willingness to renegotiate the agreement or whether it planned to do so, no matter what, and noted that the newly appointed U.S. Ambassador, Kelly Knight Craft, is married to the owner of Alliance Resource Partners, a major U.S. coal company. Canada is implementing a carbon plan, and it is also about selling bomber jets. “Americans used so many poison pills in last week`s conversations in Washington that they should have been charged with murder,” columnist John Ibbitson wrote. [134] A fourth round of talks included a U.S. request for a sunset clause that would terminate the agreement in five years unless the three countries agreed to maintain it, a provision that would allow U.S. Commerce Secretary Wilbur Ross to terminate the agreement if it did not work. Canadian Prime Minister Justin Trudeau met with the House Ways and Means Committee because Congress would have to pass legislation that re-releases the treaty provisions if Trump tries to pull out of the pact.

[136] According to a study published in the Journal of International Economics, nafta reduced pollution in manufacturing in the United States: “On average, nearly two-thirds of reductions in emissions of coarse particulate matter (PM10) and sulphur dioxide (SO2) from U.S. manufacturing between 1994 and 1998 can be attributed to trade liberalization to NAFTA.” [100] On September 30, 2018, the deadline for negotiations between Canada and the United States, an interim agreement was reached between the two countries, thus retaining the trilateral pact when the Trump administration submits the agreement to Congress. [150] The new name of the agreement was the United States-Mexico-Canada Agreement (USMCA) and came into force on July 1, 2020. [151] [152] After the election of President Trump in 2016, support for NAFTA was highly polarized between Republicans and Democrats. Donald Trump has expressed a negative view of NAFTA, calling it “the worst trade deal ever adopted in this country.” [159] Republican support for NAFTA has grown from 43% in 2008 to 34% in 2017. Meanwhile, Democrats` support for NAFTA has grown from 41 percent in 2008 to 71 percent in 2017. [160] Mexican politicians saw nafta as a chance to accelerate and block these hard-pressed reforms in the Mexican economy. In addition to trade liberalization, Mexican leaders have reduced public debt, introduced a balanced budget rule, stabilized inflation and built up the country`s foreign exchange reserves.

Although Mexico was hit hard by the 2008 financial crisis because of its dependence on exports to the U.S. market – the following year, Mexican exports to the United States fell by 17% and its economy fell by more than 6% – its economy rebounded fairly quickly and returned to growth in 2010.