Back in 2015, the future president of the United States, Donald Trump, was announcing his candidacy earlier than everyone else. One of the first election promises was to change or dismiss the North American Free Trade Agreement altogether. To his view, this act represented one of the few errors of the American people. Fast-forward to present day, Trump administration has invited Mexico and Canada to renegotiate NAFTA later this year.
USTR Has to Investigate the Matter in Order to Renegotiate NAFTA
However, this process is more complex than some simple meeting between representatives. Before commencing negotiations, the United States has the obligation to get informed on the matter. First of all, the United States Trade Representative or USTR is going to commence an investigation. The Administration has to take public input and both chambers of Congress into consideration for this research.
Therefore, USRT has already started to ask for comments on negotiating themes for Canada and Mexico regarding general but also product-specific targets. Moreover, the representative is also compiling a list of measures that should act as guiding points in meetings. Some of these are related to trade and customs facilitation, changes in rules of procedure, limitations on trade, and government procurement.
The 25-Year-Old Act Doesn’t Benefit Employees as Well as It Should
Commerce Secretary Wilbur Ross is going to have a leading role in this historic event of changing the 25-year-old trade act. He suggested that America, Canada, and Mexico are to renegotiate NAFTA later this year. However, first things first, Ross is looking for a public participation process to offer feedback on changes to the act.
The main complaints NAFTA drew on itself are targeting the common workers. While this trade act was supposed to come as a beneficial opportunity for all citizens of the three countries, what it actually did was to propel only large companies forward. As a result of its influence, 2 million farm households in Mexico had to leave their land behind and forced to come to U.S. to provide for their families.
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