What is next for
NAFTA?
The North American Free Trade Agreement
(NAFTA) among the US, Canada and Mexico
entered into force on 1 January 1994,
and created one of the world’s largest free
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free trade agreements worldwide, NAFTA
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agreements for countries around the world.
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from the agreement. While no concrete
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to amend NAFTA or to withdraw from the
agreement entirely.
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goods traded within the US, Canada
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and, as scheduled, on 1 January 2008,
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restrictions were eliminated.
Established structure for
amendments
Products manufactured in any NAFTA
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considered “NAFTA originating” and thus
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high degree of integration in the industrial
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manufactured and sold in the US, Canada
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the world.
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and since the election, the incoming
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through the NAFTA Free Trade Commission.
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from each NAFTA country (the US Trade
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International Trade and Mexico’s Secretary
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committees on trade in goods, agricultural
trade and rules of origin, among others).
Throughout the years, the Free Trade
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usually through the Ministry of Economy,
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the Federal Register.
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under NAFTA that has acted as the
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amendments.
Comprehensive negotiations
While the NAFTA Free Trade Commission
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changes or additions to the original text
of the agreement. In fact, the Free Trade
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text of the agreement.
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may, under NAFTA’s Article 2202, agree
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among the US, Canadian and Mexican
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the countries, which may lead to requiring
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amendment to existing legislation (for
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2
Withdrawal
Under Article 2205, any country may withdraw from NAFTA six months after it
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countries withdraws, the agreement would remain in force for the remaining countries.
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related changes to US law that would require further congressional action to change;
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Preparing for change
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For additional information, contact:
Ernst & Young LLP (United States)
Armando Beteta, Dallas
+1 214 969 8596
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Sergio Moreno, Dallas
+1 214 969 9718
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communities.
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ey.com.
About EY’s Global Trade practices
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difference.
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2016 edition of TradeWatch. TradeWatch is a
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BSC no. 1612-2156871
SCORE no. 00085-171US
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