Showing posts with label NAFTA. Show all posts
Showing posts with label NAFTA. Show all posts

April 19, 2009

Lost in Translation




Obama's visits to Mexico has caused many people's hopes to be raised.  Through assurances of helping the United States southern "partner" and sharing the responsibility for the drug cartels and the war on drugs, it could be that the US and Mexico are starting a "new era" in US-Mexican relations.  Obama and Calderon both made commitments for a new and increased connections in the economy.  However when it comes to real actions, there was little to show.  The Mexicans themselves are happy for now because of the President's expressions of good will, but some commentators are urging the people not to get their hopes up do to previous meeting with many promises turned back on.  Mexico's top two priorities, renewing the assault weapons ban and the restart of the NAFTA pilot program, were left where they were.  Much of Obama's purpose in this visit was to undo the damage done by the previous administrations characterization of Mexico as a failed state.  "Although Mexicans generally saw the Obama visit as purely symbolic, they were gratified that issues such as immigration reform also got an airing. In Mexico, as in Europe, Obama benefits from simply not being George W. Bush."  The visit shows how the United States and Mexico are now going to go forward into a new era of diplomacy and common goals rather than through purely opportunisitic ideologies portrayed by previous administrations


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March 23, 2009

Mexico Raises US Tariffs - Who is in the Wrong?

Recently, Mexico raised tariffs against 90 US products, some taxes increasing to 20%.  The reason given was US failure to honor a NAFTA commitment 14 years ago, granting  looser restrictions on Mexican delivery trucks America.  A NAFTA committee ruling puts us at fault, and admittedly the entire process of escapist ignorance was started in the Clinton administration, and continued to this day.  Currently, many goods are transfered to American trucks shortly after crossing the border, allegedly because Mexican trucks are too unsafe to be on American roads.  An international random inspection program determined more American trucks to be in violation of standard regulations (21.6% - 20.7%).  US response to the tariff is expected to be minimal, because it only covers about 1.5% of our exports to Mexico.  Also no one cares.  About Mexico.

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Justified or not, this tariff is an example of a distancing between our countries in a time when cooperation is necessary.  Without working together, neither country can tackle the drug problem - Mexico lacks resources, US lacks access.  And America needs to be held accountable for the treaties it makes.  Used more popularly in our history as a protective measure for domestic industries, tariffs can be, and now are, used as a means to influence foreign powers.  And in an increasingly globalized economy, we at least need to keep geographically close countries on good terms.

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March 22, 2009

Tariff on the US


In a suprising turn of events, after the US ended the pilot program allowing a limited amount of Mexican trucks on US highways, Mexico retaliated and implemented a tariff on a variety of US goods. Mexico announced higher tariffs on $2.4 billion worth of imports coming from the US. This comes alongside other news of the ongoing Mexican drug wars. Based on this and the drug wars, Felipe Calderon and Obama have planned a meeting to discuss the "US-Mexican relationship" on a variety of topics which are easily guessed. Mexico has stated that the US has violated the North American Free Trade Agreement by ending this pilot program. Secretary of State Clinton will also be visiting Mexico this week, and this alongside other issues in the drug war will probably come up. The implementation of the tariff in retaliation will hit imports from a variety of states across the US with the threat of expanding the list if the trucking issue is not solved. However some of nervous about such things as shown just this past week after "after a Mexican big-rig truck crashed into a bus in northern Mexico this week, killing seven Americans, three Canadians and the Mexican bus driver." This goes to show the interaction of nations especially in the economic turmoil as is happening now; and the importance of free trade between nations.

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