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The North American
The North American
What is NAFTA
What is NAFTA
Background of NAFTA
Background of NAFTA
Background of NAFTA
Background of NAFTA
Background of NAFTA
Background of NAFTA
Background of NAFTA
Background of NAFTA
Reaction After Implementation
Reaction After Implementation
Reaction After Implementation
Reaction After Implementation
Trucking Industry
Trucking Industry
Mid-Continent International Trade Corridor
Mid-Continent International Trade Corridor
NAFTA’s Future
NAFTA’s Future
Conclusion
Conclusion
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The North American

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1The North American. Free Trade 14BENEFITS: More export opportunities. Since
Agreement. Katy Haas Coordinator, Alianzas NAFTA was approved in 1993, U.S.
www.alianzas.us. agricultural exports to Mexico have nearly
2Index. Why Enter a Free Trade doubled. DISADVANTAGES: Face regulations
Agreement? What is NAFTA? Background of that increase the costs of production
NAFTA Reaction after Implementation The while foreign competitors gain from cheap
Mexican Peso Crisis What about America’s production and labor.
Farmers? 15Impact on: Employment. Was U.S.
3Impact on: Employment Immigration workers’ loss Mexican workers’ gain?
Environment Trucking industry Missouri’s Maquiladora - Primarily foreign-owned
role NAFTA’s future Conclusion. “Mexico is assembly plants Jobs lost to Mexico vs.
the most important country to the United Jobs supported by exports to Mexico and
States in the 21st century”. --President Canada.
George W. Bush Sept. 5, 2001. 16Impact on: Immigration. In the 1990s,
4Why Enter a Free Trade Agreement? U.S. population grew 13.2%, with 60%
5Levels of Economic Integration. *If growth of Mexican immigrants. Among
the policies are not just harmonized by Latinos nationwide, 26% are between the
separate governments, but have a unified ages of 25-40. Remittances from Mexicans
government with binding commitments on all working in the U.S.: $6.65 billion (for
members, then you reach political 2001 through 3rd quarter) Increase in
integration and have “full economic Mexican migrants led to increase in Border
integration”. Patrol staff.
6What is NAFTA? Effective as of January 17Impact on: Environment. NAFTA
1, 1994. A trade agreement between CANADA, Environmental Agreements: North American
MEXICO, and the UNITED STATES which Agreement on Environmental Cooperation
provides for the elimination of tariffs on (NAAEC) - commission to enforce
North American goods shipped among the environmental law. Border Environment
three countries. Cooperation Commission and the North
7Background of NAFTA. An Introduction. American Development Bank - commission to
Salinas. Clinton. Zedillo. Marcos. address pollution problems along the
8Expectations and Goals. MEXICO: Lower U.S.-Mexican border.
inflation and foreign debt; create more 18Trucking Industry. The areas of
well-paying jobs for Mexicans, thus concern include: vehicle safety, driver
producing less incentive for Mexicans to training, environmental issues and
work illegally in the U.S.; Mexico would possible illegal drug trafficking. A
become a richer market for American recent investigation determined that the
exporters. UNITED STATES: Would solidify average 18-wheeler in Mexico is 40%
an expanding trade relationship, which overloaded, carrying a gross vehicle
would spur job creation at home and help weight of more than 120,000 pounds. If
to continue the revolutionary shift U.S. truckers operated at a similar
throughout Latin America away from state overcapacity, interstate highways would
controlled markets toward freer markets. have a life span of 14 years, as opposed
Would exert presidential authority, to their 40-year design life.
improve inter-American relations and 19Missouri’s Role.
advance the cause of global trade 20Missouri’s Role (continued). Between
liberalization. 1994 and 1999, Missouri exports to NAFTA
9Reaction After Implementation. How the partners increased 63.4%. Canada and
Countries Were Affected Immediately How Mexico are Missouri’s first- and
They Are Affected Now. second-largest export markets,
10Top U.S. Exports. Imports. and. 1. respectively, accounting for 50.5% of
Motor Vehicles 2. Oil/Natural Gas 3. Motor Missouri’s total exports 1999.
Vehicle Parts 4. Semiconductors 5. 21Mid-Continent International Trade
Electronic Parts. 1. Aircraft 2. Corridor. 1. A trade pattern 2. A system
Electronic Computing Equipment 3. Motor of connecting highways and rail routes 3.
Vehicle Parts 4. Motor Vehicles 5. An opportunity to strengthen economic
Semiconductors 6. Aircraft/Space/Missile development in a region.
Parts 7. Chemicals 8. Plastics 9. Airplane 22Missouri and Employment.
Engines/Parts 10. Refined Petroleum 23The Missouri-Mexico Partnership. The
Products. Missouri Department of Economic
11NAFTA Pros. Goods/Services at lower Development moved its hub to Monterrey
cost Most underdeveloped countries gain Branch office in Guadalajara For the past
the most (i.e. standards of trade 12 years, the Missouri Department of
increased) Tariffs reduced Jobs created Agriculture’s headquarters has been in
Mexico’s economy is growing again. Guadalajara.
12NAFTA Cons. Fuel for peso crisis 24NAFTA’s Future. Where is it going and
Benefits Mexico more than the U.S. U.S. what effects will it have? U.S.-Central
deficit with trading partners Loss of American Free Trade Agreement Free Trade
low-wage American jobs to Mexico Area of the Americas (FTAA).
Environmental problems Traffic congestion 25Conclusion.
and delays along the borders. 262220 Holmes, Third Floor Kansas City,
13The Mexican Peso Crisis. Was NAFTA to MO 64108 (816) 235-5840 (816) 235-1762 FAX
Blame? Wages in United States and Mexico. www.alianzas.us.
14What about America’s Farmers?
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