According to a 2018 Sierra Club report, Canada`s commitments collided under NAFTA and the Paris Agreement. The Paris commitments were voluntary and the NAFTA commitments were mandatory. [65] One of the main provisions of NAFTA provided for the status of ”domestic products” for products imported from other NAFTA countries. No national, provincial or local government could impose taxes or customs duties on these goods. In addition, either tariffs were eliminated at the time of the agreement or should be phased out in 5 or 10 equal steps. The only exception at exit was the specified sensitive stations, for which the end-of-life period is 15 years. According to Chad Bown of the Peterson Institute for International Economics, the Trump administration`s list is ”very much in line with the attitude of the president, who loves trade barriers and loves protectionism. This makes NAFTA less of a free trade agreement in many ways. [131] The concerns expressed by the U.S. Trade Representative regarding subsidized state-owned enterprises and currency manipulation do not apply to Canada and Mexico, but are intended to send a message to countries outside North America. [131] Jeffrey Schott of the Peterson Institute for International Economics stated that it would not be possible to quickly conclude renegotiations while all the concerns on the list. [133] He also stated that it was difficult to combat trade deficits. [133] According to a 2012 study, trade with the United States and Mexico increased by only 11% with reduced trade duties on NAFTA in Canada, compared to an increase of 41% for the United States and 118% for Mexico. [63]:3 In addition, the United States and Mexico benefited more from the tariff reduction, with protection increases of 0.08% and 0.08%.
1.31%, with Canada recording a decline of 0.06%. [63]:4 The objective of NAFTA was to remove barriers to trade and investment between the United States, Canada and Mexico. The introduction of NAFTA on January 1, 1994, resulted in the immediate elimination of tariffs on more than half of Mexican exports to the United States and more than a third of the United States. . . .
