The Chilean Free Trade Agreement

The Chilean Free Trade Agreement
Author: United States. Congress. House. Committee on Small Business. Subcommittee on Tax, Finance, and Exports
Publisher:
Total Pages: 76
Release: 2003
Genre: Business & Economics
ISBN:

Download The Chilean Free Trade Agreement Book in PDF, Epub and Kindle

The U.S.-Chile Free Trade Agreement

The U.S.-Chile Free Trade Agreement
Author:
Publisher:
Total Pages: 0
Release: 2003
Genre:
ISBN:

Download The U.S.-Chile Free Trade Agreement Book in PDF, Epub and Kindle

On June 6, 2003, the United States and Chile signed a long anticipated bilateral free trade agreement (FTA) in Miami, Florida, concluding a 14-round negotiation process that began on December 6, 2000. Following hearings before the House Ways and Means, Senate Finance, and both Judiciary Committees, the House passed the U.S.-Chile Free Trade Implementation Act (H.R. 2738) by a vote of 270 to 156, followed by the Senate one week later, 66 to 31. President George W. Bush signed the bill into law on September 3, 2003 (P.L. 108-77) and it will take effect on January 1, 2004. Chile has now joined a select group of only five other countries that have an FTA with the United States (Canada, Mexico, Jordan, Singapore, and Israel). Although many point to the potential for trade growth between the two countries, the significance of this FTA runs deeper: 1) it is the first agreement with a South American country; 2) it is an agreement with one of the most open and reformed economies in Latin America; 3) it exemplifies how trade policy issues, including those with social and economic implications, can be resolved between a small developing country and a large developed one; and, 4) it may prove to be a step toward completing the Free Trade Area of the Americas. The FTA allows increased market access, with 85% of bilateral trade in consumer and industrial products eligible for duty-free treatment immediately, and other product tariff rates being reduced over time. Some 75% of U.S. farm exports will enter Chile duty-free within four years and all duties will be fully phased out within 12 years after implementation of the agreement. For Chile, 95% of its export products gain duty-free status immediately and only 1.2% fall into the longest 12year phase-out period. Other critical issues resolved included environment and labor provisions, more open government procurement rules, increased access for services trade, greater protection of U.S. investment and intellectual property, and creation of a new e-commerce chapter. The trade remedies chapter is limited to safeguards so there is no change to the antidumping and countervailing duty options currently available to both countries. The bilateral negotiation was a challenging exercise for both countries and although a broad-based agreement was struck, a few issues were controversial for many Members of Congress, as expressed at hearings in both the House and the Senate. Overall, because there are now multiple FTAs being contemplated, there was an overarching concern that provisions in the Chile FTA might become a "template" for others that follow. In particular, attention turned to language governing dispute resolution treatment of labor provisions, and financial transfers (capital controls), as well as the temporary entry for business persons. These and other issues are discussed in this report, which provides background and analysis on Chile's economy, trade relations, and the bilateral FTA. Because Congress has completed action on this FTA and it has become law, this is the final version of the report.

Expanding NAFTA

Expanding NAFTA
Author: Carmen Zechner
Publisher: LIT Verlag Münster
Total Pages: 298
Release: 2002
Genre: Business & Economics
ISBN: 9783825859220

Download Expanding NAFTA Book in PDF, Epub and Kindle

The world economy has witnessed a sudden increase in free trade agreements, generating a renewed debate on their economic impact. In Expanding NAFTA Carmen Zechner focuses on the economic effects on Chile of the potential free trade agreement with the United States. The author creates a framework for analyzing the impact of economic integration between a developed and a developing country from the developing country's perspective. This book goes beyond earlier analyses of the static gains from free trade to examine the dynamic and more intangible effects that are critical to the welfare evaluation of trade agreements. Expanding NAFTA is an important contribution to the research on preferential trade liberalization and to understanding developing countries' trade policy choices. This book will be indispensable to anyone interested in trade policy making and the Chilean economy.