North American Free Trade Agreement
Current issues

According to a 2017 report by the New York City based public policy think tank report, Council on Foreign Relations (CFR), bilateral trade in agricultural products tripled in size from 1994 to 2017 and is considered to be one of the largest economic effects of NAFTA on U.S.-Canada trade with Canada becoming the U.S. agricultural sectors' leading importer. Canadian fears of losing manufacturing jobs to the United States did not materialize with manufacturing employment holding "steady". However, with Canada's labour productivity levels at 72% of U.S. levels, the hopes of closing the "productivity gap" between the two countries were also not realized.

According to a 2018 Sierra Club report, Canada's commitments under NAFTA and the Paris agreement conflicted. The Paris commitments were voluntary, and NAFTA's were compulsory.

According to a 2018 report by Gordon Laxter published by the Council of Canadians, NAFTA's Article 605, energy proportionality rule ensures that Americans had "virtually unlimited first access to most of Canada's oil and natural gas" and Canada could not reduce oil, natural gas and electricity exports (74% its oil and 52% its natural gas) to the U.S., even if Canada was experiencing shortages. These provisions that seemed logical when NAFTA was signed in 1993 are no longer appropriate. The Council of Canadians promoted environmental protection and was against NAFTA's role in encouraging development of the tar sands and fracking.

US President Donald Trump, angered by Canada's dairy tax of "almost 300%", threatened to leave Canada out of the NAFTA. Since 1972, Canada has been operating on a " supply management " system, which the United States is attempting to pressure it out of, specifically focusing on the dairy industry. However, this has not yet taken place, as Quebec, which holds approximately half the country's dairy farms, still supports supply management.
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