You are here

North American Free Trade Agreement (NAFTA)

Canadian Mining is Dispossessing Indigenous Peoples and Campesino Communities in Mexico

By Mexican Network of Mining Affected People - The Bullet, October 16, 2017

On the occasion of Justin Trudeau's state visit to Mexico (12 Oct. 2017), the Mexican Network of Mining Affected People urges Canadian mining company invasion of Mexico to stop and withdraw.

Canadian Prime Minister Justin Trudeau has presented himself on the international stage as a democrat, a supporter of human rights and freedoms, and committed to fulfilling the UN Declaration on the Rights of Indigenous Peoples.[1] Although on this latter point it is important to mention that the government has taken a weak position, limiting its support for the declaration within the scope of the Canadian constitution, which is not minor, particularly if Canada continues to refuse to ratify Convention 169 of the International Labour Organization[2] and fails to respect the self-determination of Indigenous peoples in practice.

Trudeau's visit to our country has been announced as an opportunity to strengthen commercial ties between Mexico and Canada, which is bad news for those peoples and communities who have been seriously affected by Canadian mining activities. Today, Canada has become the biggest source of foreign investment in mining around the world and in Mexico, to such an extent that 65 per cent of foreign mining companies in Mexico are listed in Canada. For Canada, Mexico has become the second most important destination for Canadian mining investment abroad, after the U.S., such that 11.3% of Canadian mining assets are in Mexico.

The power that Canadian mining wields in Latin America has been openly and arbitrarily promoted by Canada's entire diplomatic corp along the lines of its “economic diplomacy” policy through its embassies. Like good colonialists, they continue to propagate racism and hatred toward Indigenous peoples and campesino communities when they encourage mining investment in an area such as Guerrero – where there is tremendous Canadian mining investment – and then issue alerts to Canadian tourists to avoid traveling to the same place, given the violence and risks that people live with there.

The political and financial weight of Canadian mining companies and the government is a reality that has been used to influence the promotion of constitutional reforms, laws and regulations in the extractive sector to help facilitate foreign investment, as well as to weaken and deny redress for harms, tax payments, or any other condition that might affect company profits.

Left And Right Have Nothing In Common On NAFTA

By Stephanie Basile - Popular Resistance, October 11, 2017

Contrary to popular belief.

Washington, DC – Today, the fourth round of renegotiations of the North American Free Trade Agreement (NAFTA) are taking place in Washington, DC. Protests are planned at multiple locations around DC, including a petition delivery of over 360,000 signatures to Congress demanding the elimination of the Investor-State Dispute Settlement (ISDS). United under the threat from continually expanding corporate power, the fight against NAFTA has brought together a cross-section of social movements, including unions, community groups, land reform movements, environmentalists, food safety groups, and internet rights organizations.

NAFTA, in effect since 1994, is an agreement between the US, Canada, and Mexico. There has been much written about the original deal that need not be repeated here, but suffice it to say that local economies have been eviscerated under a deal that expands the rights of corporate profits at the expense of working people in all three countries. Renegotiations of NAFTA began this past August, with each session rotating to take place in each of the three member countries.

Today’s negotiations are largely focused on the Investor-State Dispute Settlement (ISDS), which allows corporations to sue local governments in secret tribunals. What this translates to is taxpayers literally paying corporations for any unrealized profits due to such basic protections as clean water ordinances or other common sense legislation. Over the years, lawsuits brought by corporations against governments have forced taxpayers to pay billions of dollars to these corporations.

While most of these cases have been settled with little public scrutiny, the ISDS has had some notable moments in the spotlight, such as when UPS sued Canada for $156 million due to unfair competition from the Canadian Post Office, or John Oliver’s memorable 2015 segment critiquing the absurdity of the ISDS system.

President Trump’s presidential campaign made much fanfare over his opposition to free trade, and the media largely accepted the premise that his opposition to free trade would logically result in more jobs and better working conditions for US workers. Furthermore, the reporting on free trade often conflated Trump’s position with the leftist position, saying that they are both “anti-globalization.”

Clearly, the language used to discuss trade poorly captures its reality. The terms “free trade” and “globalization” conjure up ideas of multiculturalism and unity across borders. However, those ideas are not reflected in the actual policies that have been pursued by both major political parties over the last 30 years. Innocuous terms like “free trade” and “globalization” have become synonymous with global capitalism, a capitalism that is supported by international structures that work to greatly expand corporate power while limiting the rights of workers, consumers, and residents who are most affected by those very policies.

The debate is often framed as US corporations and US workers vs foreign corporations and foreign workers, giving the idea that a worker somehow has more in common with a corporation of their home country than with a fellow worker of another country. This allows Trump to favor corporations and pretend as though he’s favoring workers. The media seems to mostly accept this framework in its coverage of trade deals. The media also conflates global capitalism with openness and tolerance, as if the arrival of Coca-Cola in your country obviously leads to democracy.

Instead, the leftist position sees workers around the world, both in the US and abroad, sharing the same interests with each other, and being in opposition to corporate interests, whether that corporation is in the US or abroad. The dominant narrative that the far right and far left share similar positions on trade is wrong and it sorely misses the substance of the left’s critique. At its core, a leftist approach to the trade debate centers working and marginalized people in its analysis, regardless of what country they live in. The right’s pursuit to push US corporate interests at the expense of workers and the environment is in direct contrast to the left’s goals, of which protecting workers’ rights and the environment are fundamental.

Leftists understand the limitations of adopting the typical “Buy American” theme, including strategic errors both in its failure to address the problem of declining wages and working conditions, and in its more insidious implications in fueling xenophobia. If working standards are declining all over the world, products could be made in the US and still be made under sub-par working conditions. Leftists support organizing and pushing standards up for workers all over the world, as a means to improve conditions everywhere, including the US. As for what Trump wants for workers, when he announced plans to renegotiate NAFTA during his “Made in America” week this past July, Lori Wallach of Public Citizen went on Democracy Now to point out that what little we know of the re-negotiations is so vague as to be impossible to tell what it would actually mean for workers and the environment.

The leftist analysis sees that those with power at the top are breaking down borders for the purpose of more aggressively exploiting the people, land, and resources around the world, not for any interest in lofty multicultural goals. Money, goods, and intellectual property flow freely across borders, while the people at the whim of such corporate power face increasing restrictions in their movement, facing resistance in the form of both restrictive laws and the rise in xenophobic violence.

Leftists seek to go to the roots of the problem by critiquing the political and economic structures that work to further enrich a tiny ruling elite at the expense of everyone else. A leftist approach that prioritizes people at the grassroots level requires building an international working-class movement in which working and oppressed people across all countries challenge corporate power everywhere.

Don't Make a Bad Deal Worse: UE GEB Statement on Renegotiating NAFTA

By staff - United Electrical Workers, June 6, 2017

At its quarterly meeting the UE General Executive Board adopted the following statement on the Trump administration's plans to renegotiate NAFTA. 

RENEGOTIATION OF THE NORTH AMERICAN FREE TRADE AGREEMENT (NAFTA)

United Electrical Radio and Machine Workers of America (UE)

June 2, 2017

Three years ago, on the 20th anniversary of NAFTA’s passage, North American labor, environmental groups, human rights organizations, and other citizen watchdogs—united to call out the terrible impact of this trade agreement on working people and our communities. As attention returns to NAFTA, now that President Trump has notified Congress officially of his intention to renegotiate, we caution against any belief that his administration will seek a deal benefitting people and the planet. NAFTA benefits corporations and those who have an interest in the free flow of capital, rather than improving the lives of workers, our communities, or the environment. Past attempts to appease concerns from labor and environmentalists have not been meaningful. .

We see the consequences of this failed treaty vividly: Across the continent, workers and families have been hit hard, as evidenced by persistent unemployment, wage stagnation, and record wealth and income inequality. There continues to be a decline in good-paying, union manufacturing jobs, as well as a loss of high-paying jobs in smaller businesses.  In those pockets where manufacturing has expanded, the jobs created have been mostly low wage with little attention to worker health and safety. In Mexico, the jobs that have emerged have been at such low rates of pay that poverty rates have risen—not fallen—since 1994. Mexico has experienced a loss of jobs in agriculture, where heavily-subsidized US corn, sugar, and other commodities led to the collapse of the Mexican farm economy.  Since the implementation of NAFTA, workers in the three countries have suffered, while wealthy investors and big corporations have seen their profits balloon.

Communities of North America continue to suffer under NAFTA as corporations continue to exploit our shared environment for profit and pollute our land, air, and water as governments are unable or unwilling to force corporations to clean up hazardous mistakes created by negligence. This is evident from the St. Lawrence River in Québec, which is threatened by fracking from Lone Pine Resources, to the Midwestern plains, where oil leaks from the TransCanada-owned Keystone Pipeline, to the hills of Guadalcázar, where residents pray they have seen the last child born with birth defects from the toxic waste MetalClad has refused to clean up. Corporate profits continue to grow while the health of our communities and environment suffers.

NAFTA enables the unrestricted flow of capital causing misery for working people, including: the forced migration of people looking for jobs; increased rates of homelessness; mental health problems associated with dislocation; higher rates of diabetes and other ailments linked to cheap high fructose corn syrup; and rising violence, particularly against women. NAFTA devastated the Mexican economy, particularly agriculture and family farms by allowing US corporations to dump cheap corn and other staples into Mexico. It is a key reason why millions upon millions of Mexican workers have been forced to migrate north to the US looking for better work.

President Trump says he wants to renegotiate this “bad deal,” but his vague plans are anchored in building a wall for workers and tearing down walls for capital. He makes a xenophobic argument for renegotiation, and we reject its racist and nationalistic orientation. Commerce Secretary Wilbur Ross and Agriculture Secretary Sonny Perdue have stated that the rejected and discredited Trans Pacific Partnership (TPP) would be the starting point for a renegotiated NAFTA. Unionists and environmentalists rejected TPP for good reasons and to have that as the administration’s starting point is very troubling.

The Investor-State Dispute Settlement (ISDS) mechanism in NAFTA infringes on sovereignty and citizens’ rights to self-governance by allowing corporations to sue governments who restrain profit-making opportunities. This would have been made more powerful under TPP. TPP would have weakened US health and safety standards, including those that ensure safe pharmaceuticals and food. TPP attacked net neutrality and a free and open Internet. NAFTA was negotiated in the early 1990’s and the internet was not included in the original NAFTA. We expect this to be a major target of the administration’s renegotiation.

We reject the corporate-led vision for a renegotiation of NAFTA and call for a new set of trade policies that prioritize workers common interests and relies on international solidarity as its cornerstone. Any renegotiation of NAFTA must be oriented around the improvement of workers’ lives and protection of the environment focused on those regions of the continent where conditions are the most desperate.

We call for the end of the ISDS protections NAFTA offers to  corporations to exploit working people and the environment.  As we said three years ago, 20 years after the passage of NAFTA, any new treaty must “strengthen governments’ ability to protect social, environmental and labor rights, particularly for migrants.”

We demand, as required by the UN International Labor Organization (ILO) conventions 87 and 98, an end to laws that allow employers to prevent workers from choosing their own unions or from exercising their rights to assemble, organize, and represent workers without any employer interference. This includes an end to attacks in the U.S against unions seeking to negotiate union security clauses with employers.

We demand government investment to create good-paying jobs in our communities, to build affordable housing, accessible public transportation, and green energy production, with quality food, education, and healthcare for all, and with improved access to clean air and water, public parks, and green recreation spaces. All trade negotiations must be opened to civil society participation, which includes prior publication of the texts and the construction of mechanisms for information sharing, social participation and deliberation, while avoiding the imposition of any “fast track”. A renegotiated NAFTA treaty must include effective mechanisms to protect human, labor, and environmental rights with meaningful sanctions and enforcement provisions to assure the supremacy of human rights over corporate privilege.

We support the “Political Declaration of the Encounter of the Social Organizations of Canada, United States, and Mexico” which came out of meetings held in Mexico City on May 26 and 27, 2017. We unite in international solidarity with these goals in mind and are prepared to fight back against any and all attempts to divide or devalue our work, our communities, and our environment.

New NAFTA Must Put People and Planet First

By Tobita Chow - Common Dreams, May 28, 2017

The White House has sent formal notice to Congress that it is initiating the process to renegotiate the North American Free Trade Agreement (NAFTA). All evidence suggests that despite Trump’s claims to the contrary, this puts us on track to yet another corporate trade deal that will protect the profits of multinational corporations at the expense of workers and the environment around the world.

Even so, progressives now have a historic opportunity to rewrite the rules of global trade to put people and the planet first. Above all, we must end the corporate court system “free trade” relies on, which tilts the playing field in favor of multinational capital, and replace it will strong standards that protect workers and the environment, backed by enforcement mechanisms with real teeth.

Trade Deals that Threaten Democracy

By staff - International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and Allied Workers’ Associations, June 2014

At its 2002 World Congress, the IUF adopted a wide-ranging resolution on trade and investment committing our organization to vigorously oppose the expanded WTO “Doha Round” agenda and to combat the growing number of bilateral trade and investment agreements as instruments for entrenching and expanding corporate power at the expense of democratic rights and the rights of workers and their trade unions.

The resolution highlighted the function of the expanding web of regional and bilateral agreements in building on the WTO rules to construct, layer upon layer, “investment regimes which enforce the right of corporations to pursue maximum profit while removing and undermining restrictions which seek to regulate corporate activities in the interest of public health, worker and consumer health and safety, public services and the environment.”

The Resolution recalled the IUF’s historical and statutory commitment to promote and defend a broad spectrum of basic rights: the right to adequate, nutritious and safe food; the right to food security and food sovereignty; the right to a safe working and living environment; and the right to livelihood protection. Congress further called on the IUF and its affiliates to “actively support and campaign for governments at every level (local, national, regional) to review all existing trade and investment rules and treaties using these fundamental rights as a benchmark and to reject all trade and investment agreements which conflict with those rights.”

Organized opposition killed the proposed Multilateral Agreement on Investment (MAI), an attempt to establish far- reaching powers for transnational investors only partially realized in the WTO’s TRIMS agreement. Popular resistance also halted the proposed Free Trade Area of the Americas, an attempt to extend the reach of the North American Free Trade Agreement (NAFTA) to all of Central and South America and the Caribbean. Since 2002, growing popular resistance has blocked the advance of the WTO Doha Round. This has arrested the insertion of more far-reaching investment rules into the WTO, but has also frozen into place a global food system whose destructive features were dramatically highlighted in the 2008 and subsequent food crises which are essentially permanent. And while attention has largely focused on these ambitious mega-treaties, an intricate web of bilateral and regional investment agreements, some of them deliberately and misleadingly packaged as free trade agreements, have conferred on transnational capital new powers to directly challenge the democratic right of governments to regulate and to legislate in the public interest.

The latest proposed treaty instruments to embody these investor ambitions are the EU-US trade deal now known as the Transatlantic Trade and Investment Partnership (TTIP) and the twelve-nation Trans-Pacific Partnership Agreement (TPPA) between Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States and Vietnam.

Both these treaties are being negotiated under conditions of the strictest secrecy. Corporations draft and share the negotiating texts, but citizens are denied access in the name of national security. On the basis of the leaked texts we know that they would build on existing trade and investment rules by incorporating the most toxic elements of the already-existing thousands of treaties and granting expanded powers to transnational capital to challenge public interest policies and practices, eliminating or putting at risk rights for which workers and unions have struggled over many decades.

This publication builds on the past work of the IUF and the efforts of many activists in explaining the nature of these threats and why the labour movement must commit to defeating these treaties as an urgent political priority. We would also hope to stimulate discussion on how we might move beyond these defensive struggles to begin putting in place a system of global rules to effectively enforce respect for human rights over the private claims of investors.

Read the report (PDF).

Pages

The Fine Print I:

Disclaimer: The views expressed on this site are not the official position of the IWW (or even the IWW’s EUC) unless otherwise indicated and do not necessarily represent the views of anyone but the author’s, nor should it be assumed that any of these authors automatically support the IWW or endorse any of its positions.

Further: the inclusion of a link on our site (other than the link to the main IWW site) does not imply endorsement by or an alliance with the IWW. These sites have been chosen by our members due to their perceived relevance to the IWW EUC and are included here for informational purposes only. If you have any suggestions or comments on any of the links included (or not included) above, please contact us.

The Fine Print II:

Fair Use Notice: The material on this site is provided for educational and informational purposes. It may contain copyrighted material the use of which has not always been specifically authorized by the copyright owner. It is being made available in an effort to advance the understanding of scientific, environmental, economic, social justice and human rights issues etc.

It is believed that this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have an interest in using the included information for research and educational purposes. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission from the copyright owner. The information on this site does not constitute legal or technical advice.