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FREE TRADE ENVIRONMENT AND DEVELOPMENT COOPERATION BETWEEN THE UNITED STATES CANADA AND MEXICO RESEARCH INTO THE NORTH AMERICAN FREE TRADE AGREEMENT INTRODUCTION In January 1994 the United States Mexico and Canada entered into the North American Free Trade Agreement NAFTA and created the largest free trade sector and the richest market in the world The treaty was said to benefit over 400 million consumers all over the world Chile was even recently added to the treaty in 1995 and will become a full member within the next century1 NAFTA is a regional trade pact that calls for the elimination of all tariffs and trade barriers existing among Canada Mexico and the United States It is unique because the treaty created the largest free trade zone in the world and outlined economic policies as well as address issues like the environment and labor conditions2 NAFTA also includes bilateral provisions intended to resolve sensitive issues between trading partners This regional integration is said to lead to benefits for North America like those members of the European Community because it would create a single market for millions of people producing and consuming goods and services For Mexico the agreement establishes an agenda for continued progress and further economic reforms For Canada the treaty extends the 1989 Canadian-American Free Trade Agreement and promises additional benefits for manufacturers consumers and the agricultural sector For the US though NAFTA is slightly controversial since it allows businesses to go against labor unions and skilled professionals to go against unskilled factory workers This concerns many people because they are threatened on losing their jobs to Mexican laborers if US companies decide to move south The potential loss of American jobs and the lack of environmental protections caused disagreements and reasons to reject the agreement3 It has been five years now since the North American Free Trade Agreement was signed and some say it failed to produce its promised
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