If the Trans-Pacific Partnership of Origin (TPP) were to enter into force, existing agreements, such as NAFTA, would be reduced to provisions that do not conflict with the TPP or require greater trade liberalization than the TPP. [155] However, only Canada and Mexico would have the prospect of becoming members of the TPP after U.S. President Donald Trump withdrew the United States from the agreement in January 2017. In May 2017, the remaining 11 members of the TPP, including Canada and Mexico, agreed to pursue a revised version of the trade agreement without U.S. participation. [156] Already in 1984, President Ronald Reagan passed the Trade and Customs Act, which gave the president special power to negotiate free trade agreements more quickly. Canadian Prime Minister Mulroney supported the President and the United States of Canada. The free trade agreement was finally signed in 1988; It came into force a year later. «NAFTA will remove trade barriers between our three nations, create the largest trade area in the world and create 200,000 jobs in [the United States] in 1995,» said President Clinton. «The environmental and labour agreements negotiated by our government will make this agreement a force for social progress and economic growth.» When the USMCA was first announced the day after the agreement, it was said that the agreement would eliminate the customs risks of goods worth about $1.2 trillion per year. NAFTA allows your company to send qualified goods to customers in Canada and Mexico duty-free. Goods can be challenged in different ways depending on NAFTA`s rules of origin. This may be because the products are fully obtained or manufactured in a NAFTA party, or because, according to the product`s rule of origin, it takes enough work and equipment in a part of NAFTA to make the product what it is when it is exported.

Proponents of NAFTA in the United States stressed that the pact was a free trade agreement and not an economic community agreement. [37] The free movement of goods, services and capital did not extend to work. By proposing what no comparable agreement had attempted to open up to a «great third world country»[38] – NAFTA avoided the establishment of a common social policy and employment. The regulation of the labour market and employment has remained exclusively due to national governments. [37] NAFTA has not eliminated regulatory requirements for companies wishing to act internationally, such as rules of origin and documentation obligations, that determine whether certain products can be traded under NAFTA. The free trade agreement also provides for administrative, civil and criminal sanctions for companies that violate the laws or customs procedures of the three countries. The Free Trade Commission (FTC) is NAFTA`s most important body and oversees the performance and development of NAFTA. It is also responsible for dispute resolution and is composed of the U.S. Trade Representative, Canada`s Minister of International Trade and Mexico`s Minister of Trade and Industrial Development. The FTC`s day-to-day work is carried out by expert groups and committees. This authority was defined in section 2001, paragraph 2, of NAFTA, which expressly gave the FTC the power to work «of all the committees and working groups that are targeted at … [NAFTA]…

agreement.»