North American Free Trade Agreement Worksheet Answers

This lesson focuses on the U.S.-Mexico-Canada Agreement (USMCA), which replaces the North American Free Trade Agreement. Students will see video clips of policy makers discussing the impact of NAFTA, the components of the USMCA and the strengths and weaknesses of the new agreement. On the basis of this information, students will develop arguments for or against the adoption of the agreement. Through NAFTA, the three signatories agreed to remove barriers to trade between them. By removing tariffs, NAFTA has increased investment opportunities. Last month, the U.S. Trade Representative, a department specializing in trade negotiations, released an 18-day overview of its negotiating principles. The aim is to reach agreement on a new agreement in six or seven months, a goal considered extremely ambitious for a large multi-billion dollar trade pact in annual trade. It took two years for the original agreement to be reached, and it took the Obama administration five years to negotiate the Trans-Pacific Partnership with 12 nations, a trade deal that the Trump administration rejected in January before it was passed. Fourth, NAFTA has put in place trade dispute resolution procedures. The parties would begin a formal discussion, followed by a discussion at a meeting of the Free Trade Committee, if necessary. If the disagreement has not been resolved, a panel has considered the dispute. The trial helped all parties avoid costly prosecutions in local courts and helped them interpret THE complex NAFTA rules and procedures.

These commercial disputes also applied to investors. Renegotiating or withdrawing from NAFTA was one of Trump`s key campaign promises and helped him win the support of Midwestern manufacturing workers, who accuse the three-country trade deal of shutting down factories and losing jobs. Nafta is also controversial. Policymakers disagree on whether the benefits of the free trade agreement outweigh its drawbacks. Here they are, you can decide for yourself. Check students` responses to the introductory activity and address any misunderstandings. Let students consider it a puzzle activity or individually the video clips below illustrating the strengths and weaknesses of the USMCA. Students should use the Google Doc to note that despite these benefits, the United States, Mexico and Canada renegotiated NAFTA on September 30, 2018. The new agreement is referred to as the agreement between the United States, Mexico-Canada and ratified by the legislative branches of each country. Mexico was the first country to ratify the agreement in 2019.

The U.S. Congress approved the agreement in mid-January and Donald Trump officially signed it on January 29, 2020. Canada ratified it on March 13, 2020. NAFTA has six major advantages. According to a 2017 Congressional Research Service report, trade between Canada, Mexico and the United States has more than tripled since its adoption. The agreement reduced and eliminated tariffs. NAFTA is a trilateral agreement between the United States, Canada and Mexico that allows cross-border shipment of goods across borders as long as the products meet certain conditions. In 1984, Congress passed the Trade and Customs Act, which gave the president quick power to negotiate free trade agreements.

He only allowed Congress to approve or disapprove of Congress, and he could not change the negotiating points. Second, stronger trade has increased economic performance. The U.S. International Trade Commission found that this comprehensive implementation of NAFTA would increase U.S. growth by up to 0.5% per year. But from an economic point of view, NAFTA is a success and, without it, the effects of competition from the expanding economies of the European Union or China would be worse. This is crucial now that both trade zones are above the United States as the world`s largest economies. President Donald Trump called NAFTA a “disaster,” the “worst trade deal in the history of the world” and “terrible.” Unions such as the UAW have been making NAFTA for years for the removal of