NAFTA is a free trade agreement between the United States, Canada, and Mexico that came into effect in 1994. It aims to reduce trading costs and increase business opportunities between the three countries. The United States is the largest importer and exporter under NAFTA, trading over $1.6 trillion in goods annually with Canada and Mexico. While NAFTA led to economic growth and more jobs in Canada, it also faced criticism for potentially lowering labor costs and protections and exploiting workers through decreased job security and social investments.
3. HISTORY
. Existed in Jan 01 1994,implemented since 01 Jan 2008
Connects 450 million people
Produced 17.5 trillion goods
and services
Purpose was to reduce
trading costs,
increase business
environment.
4. DESCRIPTION
United States is the Largest Importer and Exporter
Trades 1.6 trillion goods with $397 billion exported
and $438 billion imported
Trades services of $99 billion in 2009 where services
showed $63.8 billion exported and $35.5 billion
imported all over U.S
U.S alone stands $28.3 billion
of total trade services.
5. EXPORTS
Canada and New Mexico are the biggest buyers of U.S
stated $248 billion and $163 billion respectively
Machineries,fuel,oil and plastic were the most
exported products with a total of $335.5 billion
includes,
agricultural products
and private commercial
services excluding
military and
government
6. IMPORTS
Canada and New Mexico exported a total of $506
billion in 2010 alone to United States
Apart from oil and machineries, crude oil,gold ($329)
U.S imported agricultural products stating $29.8
billion including,private
commercial services
of $35.5 billion in 2009.
8. IMPACT ON CANADA
DISADVANTAGES
It lacked labour laws and policies
It decreased the labour costs and the production costs
Exploitation in terms of social, economic and physical
Low on job security
Excluded the workers rights,
The maintenance of social
investments.