Asthere are many fans of NAFTA, there must be a lot of critics on it too. Thosewho are agreeing with the agreement would say that issues like an establishmentof trade standards, protection of intellectual property rights, and opening upof new opportunities. Those who are against the agreement in the U.S. have pointedout that jobs opportunity have actually been lost and been moved especially toMexico.
14free trade agreements have been made by United States with 20 countries. It isincluding Canada and Mexico with NAFTA and the others include individualcountry agreements and a collective one with six Latin American countries:- Asia Pacific Region which are Australia,South Korea and Singapore- Middle East And North Africa which areJordan, Bahrain Morocco and Oman- South America which are Chile, Colombiaand Peru- Central America with Dominican RepublicFree Trade Agreement (CAFTA-DR) which is includes Costa Rica, the DominicanRepublic, El Salvador, and Guatemala.Withall the 14 different free trade agreements, all of them have a common goal tobe reached.
All the agreement created is to reduce trade barriers and create amore stable and transparent trading and investment environment. This will giveopportunity to American companies to export their goods and services to the 20trading partners with reduced trade barriers. At the same time it is makingAmerican as exporters competitive in those markets. In 2015, nearly half whichis 47 per cent of United States goods exports went to the 20 free tradeagreement countries. According to the International Trade Administration’swebsite, the total of United States merchandise exports to the partnercountries is $710 billion.
Intotal during 2013, South Korea is the sixth-largest goods trading partner with$104 billion in export and import trade. With regards to foreign directinvestment (FDI), South Korea in 2014 was the tenth-largest FDI country intothe United States. Many may argue on this free trade agreement or commonlyknown as KORUS FTA, but now Korea showed themselves up as a major tradingpartner with the United States. It remains debatable if the free tradeagreement has helped or not, but, after it went into effect in 2012, there havebeen increases in trade between both nations.Thenext worth for mention is CAFTA-DR. It is represents the first free trade dealbetween the United States with smaller developing economies. None of thecountries can be a key trading partner at the first place, but when combined, theyrepresent a major player in trading.
CAFTA-DR is 16th-largest goods partner forthe United States with $53 billion import and export trade. This clearly hasmade United States as exporters and importers much more competitive in the region.Referringto the proposed of new free trade agreements the U.S.
involved with, there arethree visible ones that have been showed up in media. First is there is the onewith the EU called the Transatlantic Trade & Investment Partnership (TTIP).Second is the Trade in Services Agreement (TISA), which would liberalize tradewith the majority of economies with respect to services industries, includingthe EU, Japan, Canada and some Latin American countries which are Peru andChile, Australia, New Zealand and Pakistan. Finally, there is the TranspacificPartnership Agreement, or known as TPP/TPPA, which includes 12 countries: theU.S.
, Canada, Australia, Brunei, Chile, Japan, Mexico, Malaysia, New Zealand,Peru, Singapore and Vietnam.Inconclusion, Asia prospect of free trade are progressively aim for improvementin their trading and at the same time trying to protect themselves against anyUnited States protectionist policies by taking a stronger stand than G20 majoreconomies. Besides, in America they are in their line to increase their exportand import trading using FTAs with countries that have high potential level intrading.