Regional Policy, Local Impacts
Arizona companies that depend on trade policies to provide stability and help open international markets are faced with, in a word, uncertainty. While the 25-year-old North American Free Trade Agreement (NAFTA) is still in use, it will potentially be replaced by the United States-Mexico-Canada Agreement (USMCA).
However, updating NAFTA with the USMCA isn’t a sure thing. Federal legislatures in each of the three signatory countries of the USMCA must still pass implementing legislation. This policy review provides Arizona businesses and decision-makers with an overview of the new USMCA, describes some of the key changes it would make in comparison to NAFTA, and outlines the benefits to Arizona’s economy and communities.
As Congress awaited a mandated analysis of the economic impacts of the agreement on the U.S. economy by the International Trade Commission, the North American Research Partnership and Crossborder Group co-authored a policy brief in March 2019 on the potential impact of the U.S. Mexico Canada Agreement on the state of Arizona. The report was supported by the Arizona Chamber Foundation, the Arizona Chamber of Commerce, and the Arizona-Mexico Commission.