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1. International Intellectual Property after the New NAFTA

Author:
Jeremy de Beer
Publication Date:
01-2020
Content Type:
Working Paper
Institution:
Centre for International Governance Innovation
Abstract:
The Canada-United States-Mexico Agreement (CUSMA) is the new high-water mark in international intellectual property (IP) law. CUSMA includes most of the Trans-Pacific Partnership provisions that were suspended in the Comprehensive and Progressive Trans-Pacific Partnership, except for a few pharmaceutical-related provisions amended after signing. Canada will be required to make meaningful changes to domestic IP laws, including copyright term extension, criminal penalties for tampering with digital rights management information, restoration of patent terms to compensate for administrative and regulatory delays, broader and longer protection for undisclosed testing data and other data, new civil and criminal remedies for the misappropriation of trade secrets, and additional powers for customs officials to seize and destroy IP-infringing goods.
Topic:
International Trade and Finance, Regional Cooperation, Intellectual Property/Copyright, NAFTA, and USMCA
Political Geography:
United States, Canada, North America, and Mexico

2. Supporting Prosperity and Competitiveness by Approving the New USMCA

Author:
Earl Anthony Wayne
Publication Date:
03-2019
Content Type:
Journal Article
Journal:
The Ambassador's Review
Institution:
Council of American Ambassadors
Abstract:
On November 30, the leaders of the United States, Canada and Mexico signed a new trade agreement to succeed the 1994 North American Free Trade Agreement. The United States-Mexico-Canada Agreement (USMCA) modernizes the 25-year-old NAFTA, but the legislatures in all three countries must still approve it.[1] The new USMCA will preserve the massive trading and shared-production networks that support millions of jobs in the U.S., Mexico and Canada and the ability of North America to compete effectively with China, Europe and other economic powers. Approving USMCA this year is very much in the national interests of all three countries given the $1.3 trillion in trade between them and the many businesses, workers and farmers that depend on the commerce and co-production that interlinks North America. These economic relationships also strengthen the rationale for maintaining strong political relationships among the three neighbors. There was widespread agreement to update NAFTA to reflect the changes in trade practices and in the three economies since 1994.[2] NAFTA does not cover Internet-based commerce, for example. Other areas required modernization, including trade in services, protection of intellectual property rights (IPR), environment and labor, which is a priority for U.S. unions.[3] Mexico, Canada and the U.S. tried to accomplish this NAFTA update with negotiation of the Trans-Pacific Partnership (TPP) agreement, but in January 2017 President Donald Trump pulled out of TPP, preferring to renegotiate NAFTA.[4] Approval of USMCA by the U.S. Congress remains uncertain. A number of Democrats are asking for stronger enforcement commitment particularly regarding labor. Others express concern that USMCA provisions may keep some prescription medical costs high.[5] Business and agricultural associations are urging approval of USMCA because it will provide certainty to continue the cross-continental collaboration that preserves vital intra-North American markets for manufacturing, agriculture and services and helps them out-perform global competitors. In response to democrat and union concerns, USMCA’s advocates argue that it includes significantly stronger labor provisions and enforcement.[6] Before the agreement moves ahead, however, the three countries must also find a solution to the tariffs the U.S. put on steel and aluminum from Canada and Mexico in 2018 for “national security” reasons. In response, those countries imposed equivalent tariffs on a range of U.S. exports, spreading economic pain across all three countries.[7] Mexico and Canada, as well as key members of Congress, want this problem resolved before approving USMCA.[8] The U.S. International Trade Commission must also assess USMCA’s economic impact. This report is due in mid-April. The administration must also propose implementation legislation (and guidelines) before Congress formally considers the agreement. Congress will then have a limited time to act on USMCA under existing legislation, but members of Congress could drag the process out.[9] The political window for U.S. congressional approval will close this year, however, given the 2020 U.S. elections.[10] President Trump, USTR Lighthizer and others have begun lobbying for approval, as have Mexico and Canada more quietly. The months ahead will thus be vital for trade and long-term relationships in North America and for the continent’s ability to weather well future international competition. Given the enormous economic benefits of approving USMCA, the U.S. Congress, the Administration and the non-government stakeholders should engage intensively to find ways to address concerns raised and find a “win-win” way to approval. Fortunately, the United States public increasingly views trade in North America as positive. According to the Chicago Council on Global Affairs, for example, those seeing NAFTA and now USMCA as “good” for the U.S. economy have grown significantly, rising from 53 percent in 2017 to 70 percent seeing USMCA as “good” this year. This is a solid foundation for rapid approval of USMCA.[11]
Topic:
Regional Cooperation, NAFTA, Trade, and USMCA
Political Geography:
United States, Canada, North America, and Mexico

3. The Future of North America’s Economic Relationship: From NAFTA to the New Canada-United States-Mexico Agreement and Beyond

Author:
Meredith Lily, Hugo Perezcano, and Christine McDaniel
Publication Date:
02-2019
Content Type:
Working Paper
Institution:
Centre for International Governance Innovation
Abstract:
The Canada-United States-Mexico Agreement (CUSMA) — known in the United States as the United States-Mexico-Canada Agreement (USMCA) — was reached on September 30, 2018, and will replace its predecessor if successfully ratified by legislatures in all three countries. Several weeks later, on October 14–16, 2018, thought leaders from Mexico, the United States and Canada gathered for the fourteenth annual North American Forum in Ottawa, Ontario. In light of these events, CIGI initiated a trilateral project to anticipate and predict how North American trade and economic relations would unfold in the near term and further into the future. Three authors, Christine McDaniel, Hugo Perezcano Díaz and Meredith Lilly, each from one of the North American countries, explain the importance of the new CUSMA to their respective countries and how economic relations could be reshaped in the coming months and years. Earlier versions of these papers were presented in a panel discussion at the North American Forum.
Topic:
International Trade and Finance, Regional Cooperation, NAFTA, and USMCA
Political Geography:
United States, Canada, North America, and Mexico

4. Does Canada’s Foreign Trade Policy Give Innovating Canadian Firms a Competitive Edge Internationally?

Author:
Olena Ivus and Marta Paczos
Publication Date:
05-2019
Content Type:
Working Paper
Institution:
Centre for International Governance Innovation
Abstract:
In recent years, Canada has adopted the Comprehensive Economic and Trade Agreement (CETA), the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Canada-United States-Mexico Agreement (CUSMA). Like other modern international trade agreements, CETA, the CPTPP and the CUSMA include protections for innovators’ profits and technologies in the form of intellectual property rights (IPRs) regulations. These trade agreements will have a first-order impact on the volume and composition of trade in goods and innovation with sensitive intellectual property (IP) in Canada, as well as having an impact on global welfare distribution. But is Canada’s membership in these agreements good for Canadian firms looking to compete globally? This paper begins with a review of the IP protections instituted through recent trade deals involving Canada. It discusses the nature and scope of Canada’s IP obligations under CETA, the CPTPP and the CUSMA and explains how these obligations fit within the current Canadian legal framework. The changes in the standards of IPRs under these agreements will have a first-order impact on the volume and composition of trade in IP-sensitive goods, innovation and global welfare distribution and so deserve thorough debate. The paper then proceeds with a broader discussion of the reasons to include IP provisions in international trade agreements and the rationale for international coordination of the IPRs policy. Next, the paper discusses how IP provisions in trade agreements limit the freedom to use IP policy to promote national interests, while acknowledging that the various IP obligations are counterbalanced by several flexibilities, including the right to establish local exhaustion policies. The paper concludes with policy recommendations.
Topic:
International Trade and Finance, NAFTA, Trans-Pacific Partnership, Innovation, and USMCA
Political Geography:
United States, China, Canada, Asia, North America, and Mexico

5. Now That TPP Is off the Table, What's Next for NAFTA?

Author:
Michelle Nicholasen
Publication Date:
03-2017
Content Type:
Working Paper
Institution:
Weatherhead Center for International Affairs, Harvard University
Abstract:
After President Trump withdrew the United States from the Trans-Pacific Partnership (TPP) trade agreement earlier this year, it seemed that NAFTA was next in his crosshairs. But soon President Trump is expected to take a measured approach to the issue of trade and step away—at least temporarily—from his threats to dismantle the North American Free Trade Agreement (NAFTA) by signing an executive order calling for a comprehensive study of US trade imbalances. The Trump worldview has consistently blamed foreign trade deficits, especially those with China, for job losses here at home. He has wanted to take down NAFTA to purportedly save American jobs, calling it “the single worst trade deal ever approved in this country.”Much like healthcare, trade networks are complicated, and not all agreements have the same goals. It’s instructive to take a closer look at both TPP and NAFTA, two very different trade agreements, to evaluate how a more protectionist stance might play out. Heavily promoted by the Obama administration, TPP would have allowed the United States to form a trade consortium with eleven Pacific Rim nations (representing 40 percent of the world’s GDP) to secure market access and protections for certain US industries. More than this, the political reason to join TPP was to provide a US-led counterweight to China’s growing dominance in the region’s economy.
Topic:
Regional Cooperation, NAFTA, Trans-Pacific Partnership, and Trade
Political Geography:
United States, China, Canada, Asia, North America, and Mexico

6. What the Trump Administration’s NAFTA Priorities Get Right (and Wrong) About Digital Trade

Author:
Anupam Chander
Publication Date:
09-2017
Content Type:
Working Paper
Institution:
Council on Foreign Relations
Abstract:
Digital commerce and trade are increasingly important to the global economy. Seven of the ten most valuable firms today are technology companies (Apple, Alphabet, Microsoft, Amazon, Facebook, Alibaba, and Tencent). Data, according to some analysts, is the new oil. A major study concluded that the internet has powered some one-fifth of recent economic growth within the leading economies. Jobs are increasingly dependent on digitization; digital skills are needed for all but two job categories [PDF] in the United States: dishwashing and food cooking. Just as national economies are becoming more digitized, barriers to digital trade are being erected. These barriers limit opportunities for consumers to access global providers and for small- and medium-sized enterprises to reach new customers. It is not only technology firms that suffer; all enterprises with international operations need cross-border data flows to process, analyze, and transfer data about employees, customers, and operations. Global supply chains depend on the flow of goods, data, and services across borders. Moreover, commitment to the free flow of information across borders is essential to freedom of expression. Digital trade is about more than access to markets; it is about access to information. The renegotiation of the North American Free Trade Agreement (NAFTA) is an excellent opportunity to set the gold standard for digital free trade. Despite public pronouncements about the harm free trade causes to the steel and automobile industries, the Donald J. Trump administration, to its credit, recognizes the importance of removing digital trade barriers in its stated objectives for the NAFTA renegotiation [PDF]. In its negotiations with Canada and Mexico, the Trump administration should seek rules limiting data localization, promote a balanced approach to intellectual property protections, support cross-border privacy rules, and remove barriers that hinder the trade of services.
Topic:
International Cooperation, International Trade and Finance, Digital Economy, and NAFTA
Political Geography:
United States, Canada, North America, and Mexico

7. he World That Awaits President-Elect Trump

Author:
Michelle Nicholasen
Publication Date:
11-2016
Content Type:
Working Paper
Institution:
Weatherhead Center for International Affairs, Harvard University
Abstract:
During the 2016 primaries, Donald Trump claimed he had more foreign policy experience than any of the GOP contenders. In fact, he has traveled widely to meet with presidents, prime ministers, financiers, and developers over the past decade as part of his highly profitable business of licensing the Trump name to large real estate developments around the world. On the campaign trail, Trump’s provocative statements about foreign policy have become part of the public record. From pressuring NAFTA members to bombing ISIS, his pledges have caused a stir in the arena of foreign relations. Publicly, candidate Trump threatened to close borders to Mexicans, slap tariffs on Chinese goods, restrict Muslims in the United States, among other vows. Without a record of public service to draw on, it is difficult to know how these declarations might translate into a Trump foreign policy. To understand what lies ahead for the new president, the Weatherhead Center for International Affairs asked its Faculty Associates in international relations to comment on the challenges and opportunities that await in five regions of the world: Africa, the Middle East and North Africa (MENA), Latin America, Europe, and China.
Topic:
Foreign Policy, Diplomacy, Elections, ISIS, and NAFTA
Political Geography:
Africa, United States, China, Europe, Middle East, Asia, Latin America, and North America