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NAFTA By Brian Tedrow. What It Was About NAFTA means North American Free Trade Agreement. Implementation started on January 1 st, 1994. It removed most.

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Presentation on theme: "NAFTA By Brian Tedrow. What It Was About NAFTA means North American Free Trade Agreement. Implementation started on January 1 st, 1994. It removed most."— Presentation transcript:

1 NAFTA By Brian Tedrow

2 What It Was About NAFTA means North American Free Trade Agreement. Implementation started on January 1 st, 1994. It removed most trade barriers to trade. Investment among the USA, Canada and Mexico. USA and Mexico non-tariff’s were eliminated. Launched to reduce trading costs.

3 Getting It to Work North America became competitive in the global marketplace. Ratified by the legislatures in 1993. House approved it by 234 to 200. Senate 60 to 38 in Nov 20 th. Signed by Bill Clinton on Dec 8 th,1993.

4 Pro’s Free trade increases sales and profits for U.S. businesses. Strengthens the economy. Free trade creates U.S. middle-class jobs. Makes it easier to find middle class jobs. Opportunity for the U.S. to give money the world's poorest countries.

5 Pro’s Removal trade barriers, tariffs, quotas and conditions. Inherently leads to easier and swifter trade of consumer goods. The result is an increased volume of U.S. sales. Use of less expensive materials and labor. Acquired through free trade leads to a lower cost to manufacture goods.

6 Pro’s The result is either increased profit margins. When sales prices are not lowered. Or increased sales caused by lower selling prices. The Peterson Institute for International Economics estimates. Ending all trade barriers would increase the U.S. income. By a whopping $500 billion annually.

7 Con’s Individual wages start to drop. Corporate wages start to soar. Jobs were shipped over seas. Jobs performed at a fraction on the cost. 3 million jobs were lost to other countries.

8 Affects U.S. free trade agreements have also harmed other countries, including: Workers in other countries are being exploited and harmed. The environment in other countries is being defiled. Mexican wages fell sharply. Steep decline in employment.

9 Affects Impact on workers in India, Indonesia, and China has been even more severe. With innumerable instances of starvation wages, child workers. Slave-labor hours and perilous work conditions. About 100,000 Costa Ricans dressed as skeletons and holding banners protested Sunday. Against U.S. trade pact. It would bring in cheap farm goods.

10 How it Started NAFTA began with President Ronald Regan. He campaigned on a North American common market. 1984,Congress passed the Trade and Tariff Act. Negotiations for the Canada-U.S. Free Trade. The agreement was signed in 1988.

11 More Information Mexican tariffs on U.S. imports were 250% higher than U.S. tariffs on Mexican imports. concerns about liberalization of labor and environmental regulations. led to the adoption of two addendums to NAFTA. Mexican President Salinas and President Bush began negotiations for a liberalized trade. 1991, Canada requested a trilateral agreement, which then led to NAFTA.


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