JOINT STATEMENT OF THE MINISTERS ON THE FOURTH MEETING OF THENORTH AMERICAN FREE TRADE AGREEMENTCOMMISSION
97/18 CHECK AGAINST DELIVERY
FOURTH MEETING OF THE
NORTH AMERICAN FREE TRADE AGREEMENT
COMMISSION
JOINT STATEMENT OF THE MINISTERS
WASHINGTON, D.C.
March 20, 1997
This document is also available on the Department's Internet site: http://www.dfait-maeci.gc.ca
Following the March 20 North American Free Trade Agreement Commission meeting,
International Trade Minister Art Eggleton is pleased to release the joint
statement of the governments of Canada, the United States and Mexico, which
outlines the overall results.
JOINT STATEMENT OF THE MINISTERS
Today we reaffirmed our strong commitment to the NAFTA and its value in promoting
trade, investment, economic growth and jobs in all of our countries. In this
regard, we note that since the implementation of the NAFTA, our trade with each
other has increased by approximately 45 percent, with trade growing from
significantly less than $300 billion in 1993 to well over $400 billion in 1996. It
was acknowledged that the growth in trade is a clear indication of the success of
the agreement and the benefits it brings to the companies and workers involved in
North American free trade. We look forward to more trade, investment, economic
growth and jobs as the NAFTA opens new opportunities. The NAFTA has also helped
North American firms to become more competitive in the increasingly competitive
global economy. We also emphasized the importance of the continued implementation
of the NAFTA. We reiterated our view that Commission meetings serve as an
invaluable method to ensure that NAFTA implementation is proceeding in an
appropriate manner.
We concluded the first round of tariff acceleration talks, and agreed to implement
it by July 1, 1997. With this implementation, we will be eliminating tariffs more
quickly than is called for under the NAFTA on a specified list of several dozen
items. We noted the substantial interest of the private sector of all three
countries to conduct a more comprehensive second tariff acceleration round. As a
result, we instructed our officials to initiate the second round of tariff
acceleration by May 1, and to conclude negotiations by December 15, 1997.
We adopted a recommendation from the trilateral Advisory Committee on Private
Commercial Disputes that supports the utilization of alternative dispute
resolution. This Committee was established pursuant to NAFTA Article 2022, and
comprises both private sector members and government officials of each party,
whose main task is to evaluate and promote the use of alternative means of dispute
resolution, for private commercial disputes. In accordance with Article 513, we
agreed to implement certain technical modifications to the NAFTA rules of origin
(Annex 401) to facilitate trade in response to a recommendation from the
trilateral Working Group on Rules of Origin. These rectifications do not
constitute substantive changes to the NAFTA, and have the sole purpose of
establishing consistency between Annex 401 of the NAFTA and the Parties' tariff
laws.
We approved rules for remuneration of expenses to panelists regarding NAFTA
Chapter 19 and 20 dispute settlement cases. We agreed that our officials will meet
in April to discuss the steps necessary to establish by September 1997 the NAFTA
Co-ordinating Secretariat to assist the NAFTA Commission on technical matters. We
also received and adopted reports regarding the work of the over 20 trilateral
Committees and Working Groups addressing a broad range of NAFTA implementation
issues. Noting that their work advances the objectives of the NAFTA, we directed
them to continue their work in a manner that is forward looking as established in
the NAFTA and its objectives. Ministers authorized release of the report of the
NAFTA Trade Remedies Working Groups, and noted that their work has been completed,
in accordance with their mandate. The governments will continue to consult, as
appropriate under the NAFTA, on issues related to trade remedies, with the
objective of promoting fair trade and reducing the possibility of disputes, such
as common problems posed by steel imports into the NAFTA countries.
We also discussed certain aspects of telecommunications standards setting (in
Mexico), and agreed that this issue should be resolved promptly. We discussed a
range of cross-border transportation issues, and reiterated our interest in
resolving outstanding matters while recognizing that our transportation officials
are specifically addressing that agenda.
We noted the trade facilitating value of trilateral mutual recognition agreements
in professional services, and discussed the status of work by professional
associations, including engineers, lawyers and architects. We discussed the
implementation of the temporary entry provisions of the NAFTA and matters related
to the government procurement provisions of the NAFTA. We reviewed sanitary and
phytosanitary issues, particularly involving the U.S. and Mexico, and directed our
officials to work with our Agriculture Ministries to resolve within the NAFTA
outstanding issues promptly.
We discussed the value of effective co-operation with our respective Environment
and Labour Ministers, and have directed our officials to pursue further co-operation with their Environment and Labour counterparts. We welcomed the progress
to date in the hemisphere and at the sub-regional level to liberalize trade. In
the context of the Free Trade Area of the Americas (FTAA), we reiterated the
importance of meeting the commitments set by the 1994 Summit of the Americas and
subsequent hemispheric Trade Ministerial meetings. We discussed preparations for
the FTAA Trade Ministerial meeting scheduled for May 1997 in Belo Horizonte,
Brazil, recognizing its importance in determining how and when the FTAA
negotiations should be launched.
We agreed that the next NAFTA Commission meeting at the Ministerial level will be
held in Mexico in the first quarter of 1998.