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NAFTA has been complemented by two other regulations: the North American Agreement on Environmental Cooperation (NAAEC) and the North American Agreement on Labour Cooperation (NAALC). These tangential agreements were aimed at preventing companies from moving to other countries to take advantage of lower wages, softer health and safety regulations for workers, and more flexible environmental regulations. On January 29, 2020, President Donald Trump signed the agreement between the United States, Mexico and Canada. Canada has yet to adopt it in its parliamentary body starting in January 2020. Mexico was the first country to ratify the agreement in 2019. NAFTA has not eliminated regulatory requirements for businesses that wish to trade internationally, such as rules of origin. B and documentation requirements that determine whether certain goods may be traded under NAFTA. The free trade agreement also includes administrative, civil and criminal penalties for companies that violate the laws or customs procedures of the three countries. “The USMCA will provide our workers, farmers, ranchers and businesses with a high-level trade agreement that will lead to freer markets, fairer trade and robust economic growth in our region. It will empower the middle class and create good, well-paying jobs and new opportunities for nearly half a billion people in North America.

NAICS replaced the U.S. Standard Industry Classification (SIC) system, which allowed firms to be consistently classified in an ever-changing economy. The new system facilitates comparability among all North American countries. To ensure that NAICS remains relevant, the system will be reviewed every five years. Critics of NAFTA have been concerned since the beginning of the agreement on the relocation of jobs to Mexico by the United States, despite the complementarity of the NAALC. NAFTA, for example, has affected thousands of American autoworkers in this way. Many companies have moved production to Mexico and other countries with lower labor costs. However, NAFTA may not have been the reason for these measures.

President Donald Trump`s USMCA should address these concerns. The White House estimates that the USMCA will create 600,000 jobs and add $235 billion to the economy. .