Which Of The Following Is True About The North American Free Trade Agreement

NAFTA covers services other than aviation, shipping and basic telecommunications. The agreement also provides for the protection of intellectual property rights in various areas, including patents, trademarks and copyrighted material. NaFTA`s procurement provisions apply not only to goods, but also to service and construction contracts at the federal level. In addition, U.S. investors are guaranteed equal treatment with domestic investors in Mexico and Canada. Methanex Corporation, a Canadian company, filed a $970 million lawsuit against the United States. Methanex claimed that a California ban on methyl tertbutyl ether (MTBE), a substance that had found its way into many of the state`s wells, was affecting the company`s methanol sales. The lawsuit was dismissed and the company was ordered to pay $3 million to the United States. Government in costs, on the basis of the following reasoning: “But under general international law, a non-discriminatory settlement for public purposes, which is issued in accordance with due process and which concerns inter alios a foreign investor or a foreign investment, is not considered expropriated and compensable, unless the regulatory government has the presumed foreign investor then, of investments, specific obligations were given that the government would refrain from regulating. Ion. [51] A “secondary agreement” concluded in August 1993 to enforce existing national labour law, the North American Agreement on Labour Cooperation (NAALC)[39], has been severely restricted. He focused on health and safety standards and child labour law, and excluded collective bargaining issues, and his “so-called [enforcement] teeth” were only accessible at the end of a “long and convoluted” litigation process. [40] Obligations to apply existing labour law also raise questions of democratic practice.

[37] Canada`s pro-CANADA, anti-NAFTA coalition, suggested that minimum standards guarantees would be “meaningless” without “comprehensive democratic reforms in [Mexican] courts, unions and government.” [41] However, a subsequent evaluation suggested that NAALC`s grievance principles and mechanisms “have created a new space for advocates to form coalitions and take concrete steps to articulate challenges to the status quo and promote workers` interests.” [42] The momentum for a North American Free Trade Area began with the United States. President Ronald Reagan, who made this idea part of his campaign when he announced his candidacy for president in November 1979. [15] Canada and the United States signed the Canada-U.S. Free Trade Agreement in 1988, and shortly thereafter, Mexican President Carlos Salinas de Gortari decided to turn to U.S. President George H. W. Bush to propose a similar agreement to make foreign investments after the Latin American debt crisis. [15] When the two leaders began negotiations, the Canadian government of Prime Minister Brian Mulroney was concerned that the benefits That Canada had derived from the Canada-U.S. Free Trade Agreement would be undermined by a bilateral agreement between the United States and Mexico, and asked to become a party to the U.S.-Mexico talks. [16] After the election of President Trump in 2016, support for NAFTA became highly polarized between Republicans and Democrats.

Donald Trump has made negative comments about NAFTA, calling it “the worst trade deal ever approved in this country.” [159] Republican support for NAFTA increased from 43% in 2008 to 34% in 2017. Meanwhile, Democratic support for NAFTA rose from 41 percent in 2008 to 71 percent in 2017. [160] Growth in new orders indicates an increase in demand for manufactured goods, which has led to an expansion of production and a higher employment rate to meet the increase in demand […].