North American Free Trade Agreement


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North American Free Trade Agreement (NAFTA)

A regional trade pact among the United States, Canada, and Mexico.

North America Free Trade Agreement

A controversial free trade agreement between Canada, Mexico, and the United States. Signed in 1993, it was the first free trade agreement between a developing nation (Mexico) and two developed nations. The agreement reduced or eliminated most trade restrictions between the participants. In particular, NAFTA allowed for the more or less free importation and exportation of agricultural products and textiles. Proponents of NAFTA argue that the agreement allowed for cheaper access to goods, especially food, which in turn increased the real incomes in all three countries. Critics contend that the agreement has not substantially reduced poverty in any of the participating countries. Mexican critics complain that NAFTA reduced profits for farmers and agricultural workers unable to compete with American agribusiness.

American organized labor have argued that the agreement has accelerated deindustrialization and caused job losses because it has become cheaper for American companies to move factories to Mexico and hire Mexican workers. NAFTA proponents note that employment in the United States increased between 1993 and 2007, and that factories in the U.S. were closing even before NAFTA was signed.

Canadian opposition to NAFTA has been largely related to environmental concerns, particularly the lack of oversight for the enforcement of its environmental provisions. Because NAFTA allows Canadian water to be bought and sold as a commodity, some environmental groups have been concerned that this would cause the degradation of Canadian wild lands. See also: Maquiladora.

North American Free Trade Agreement (NAFTA)

a regional FREE-TRADE AREA established in 1989 by the USA and Canada. NAFTA set about removing tariffs on most manufactured goods, raw materials and agricultural produce over a 10-year period, as well as restrictions on cross-border investment, banking and financial services. Mexico joined NAFTA in 1993 with the aim of removing tariffs between Mexico and the other two countries by 2009. NAFTA has a similar market size (population 414 million) as that of the EUROPEAN UNION. See TRADE INTEGRATION.
References in periodicals archive ?
The movement of organized labor, environmentalists, and farmers may defeat the North American Free Trade Agreement in Congress.
He opened his speech, entitled "A North American Community," with the following sentence: "The entry into force of the North American Free Trade Agreement (NAFTA) in 1994 represented a breath-taking continental opportunity.
Due to the secretive nature of the negotiations, much of the free-trade discourse in Central America instead revolves around a 10-year case study of Mexico under the North American Free Trade Agreement (NAFTA).
Under a provision of the 1995 North American Free Trade Agreement, Mexican trucks and drivers were to have been allowed full access to the United States by Jan.
corporate controllers were split on the question of whether the General Agreement on Tariffs and Trade (GATT) and the North American Free Trade Agreement (NAFTA) would have an impact on their businesses in the next year, according to a survey conducted by the Institute of Management Accountants.
NYSE: TDY) has issued the following public statement regarding the proposed North American Free Trade Agreement (NAFTA), which will be voted on by the House and Senate in November:
But the specter of colonization at the hands of multinationals, spurred on by the North American Free Trade Agreement, is present throughout Canada Firsts.
Equally as promising are the opportunities in Mexico and Canada that will be created by the North American Free Trade Agreement (NAFTA).
A North American Free Trade Agreement with 362 million consumers and a GNP of $6 trillion is simply an idea whose time has come.
Lacoste is currently a corporate director, actively involved in the biotechnology industry, and is a member of the North American Free Trade Agreement (NAFTA) arbitration panel.
Pursuant to rulings handed down by tribunals established by the World Trade Organization and the North American Free Trade Agreement (NAFTA), several Canadian lumber companies, as well as U.
The United States Coalition for Fair Lumber Imports, comprised of powerful, well-organized American industry officials and the Department of Commerce (DOC) will have exhausted their avenues under the North American Free Trade Agreement (NAFTA) in trying to avoid paying back $4 billion in duty refunds, says Lim.

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