DEPARTMENT: Economic Development
DEPARTMENT HEAD: Rene Dominguez
COUNCIL DISTRICTS IMPACTED: City Wide
SUBJECT:
An overview of the proposed United States-Mexico-Canada Agreement (USMCA) agreement, an update to the North American Free Trade Agreement (NAFTA), and consideration of a proposed resolution supporting the USMCA.
SUMMARY:
The Intergovernmental Relations Committee will receive an overview of the current status of the United States-Mexico-Canada Agreement (USMCA), an updated version of the existing North American Free Trade Agreement (NAFTA). On November 30, 2018, U.S. President Donald Trump, Mexican President Enrique Pe?a Nieto, and Canadian Prime Minister Justin Trudeau signed the USMCA. Legislatures of all three countries must ratify the agreement before implementation. The Committee will also consider a proposed resolution expressing support for free trade and for the USMCA due to the positive economic impact that the multinational trade agreement will have on the local economy.
BACKGROUND INFORMATION:
NAFTA, the original treaty between the United States, Canada, and Mexico, has been in effect since January 1, 1994. Some of the key NAFTA provisions include open markets, reduced tariffs, rules of origin, foreign investment incentives, intellectual property rights protection, government procurement opportunities, and dispute resolution. Labor and environmental provisions were included in separate NAFTA side agreements.
San Antonio hosted the leaders of the three countries in 1993 for the formal signing of NAFTA. San Antonio is also home to the North American Development Bank (NADBank), facilitated by passage of NAFTA. Further, Canada and Mexico are key components of our international economic development strategy to increase foreign direct investment, exports, and global collaborations. The City of San Antonio maintains a trade office in Mexico City (Casa San Antonio) and has official Sister City relationships with Monterrey an...
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