According to a 2012 study on tariff reductions on NAFTA, trade with the United States and Mexico increased by only 11% in Canada, compared to a 41% increase in the United States and 118% in Mexico. [63]:3 In addition, the United States and Mexico benefited more from the rate reduction, with an increase in social benefits of 0.08% and 1.31%, with Canada recording a decrease of 0.06%. [63]:4 A study published in the August 2008 issue of the American Journal of Agricultural Economics found that NAFTA increased U.S. agricultural exports to Mexico and Canada, although most of the increase occurred a decade after its ratification. The study focused on the impact of phase-in periods in regional trade agreements, including NAFTA, on trade flows. Most of the increase in membership agricultural trade, recently entered into the World Trade Organization, is due to very high trade barriers prior to NAFTA or other regional trade agreements. [91] Much of the debate among political experts has focused on how to mitigate the negative effects of agreements such as NAFTA, including whether workers who lose their jobs are compensated or whether they are proposing retraining programs to help them move into new sectors. Experts say programs such as U.S. Trade Adjustment Assistance (AAT), which helps workers pay for education or training to find new jobs, could help rebuke anger over trade liberalization.

The North American Free Trade Agreement (NAFTA); in Spanish: Tratado de Libre Comercio de América del Norte, TLCAN; In French: North American Free Trade Agreement, ALNA) was an agreement signed by Canada, Mexico and the United States, creating a trilateral trade bloc in North America. The agreement came into force on January 1, 1994 and replaced the 1988 Canada-U.S. Free Trade Agreement. [3] The NAFTA trading bloc was one of the largest trading blocs in the world, after the proceeds of the home. On December 10, 2019, the three countries reached a revised USMCA agreement. On January 29, 2020, Deputy Prime Minister and Minister of Intergovernmental Affairs Chrystia Freeland introduced the USMCA C-4 Transposition Act in the House of Commons[93] and passed the first reading without a registered vote. On February 6, the bill passed second reading in the House of Commons by 275 votes to 28, with the Bloc Québécois voting against and all other parties voting in its favour, and it was referred to the Standing Committee on International Trade. [99] [100] [101] On 27 February 2020, the committee voted to send the bill to Parliament for third reading, without amendments. In the 2016 U.S. presidential election, Donald Trump`s campaign included a promise to renegotiate or eliminate NAFTA if the renegotiations fail.

[21] After the election, Trump made a series of changes that influenced trade relations with other countries. The exit from the Paris Agreement, the cessation of participation in the Trans-Pacific Partnership negotiations and the significantly larger increase in tariffs with China were some of the steps he took, which reinforced the fact that he was serious about changing NAFTA. [22] Much of the debate about the virtues and errors of the USMCA resembles the debate on all free trade agreements (FTAs), such as the nature of free trade agreements as public goods, potential violations of national sovereignty and the role of commercial, labour, environmental and consumer interests in the development of the language of trade agreements.