The chapter on trade in goods also contains provisions relating to trade assistance, such as anti-dumping measures and safeguards. 8. (return) Inter-American Development Bank (BD). Integration and Trade in the Americas: Periodic Note, December 2000. Washington, D.C. 14. At the other end of the spectrum, manufactured goods account for 71% of Mexican exports, reflecting the extent of maquiladora trade with the United States. Services are an important component of U.S. exports and an important negotiating space in trade agreements.
The United States is the leading provider of financial services (insurance, banks, securities), telecommunications and business advisory services. The free trade agreement between the United States and Chile would reduce barriers and improve disciplines in the provision of these services, but would not significantly alter U.S. imports of these services, and there would likely be no major change in the U.S. export position. First, Chile has little presence in the United States with respect to these services, and second, Chile is a relatively small market for U.S. services and has been relatively open for some time. (13) Second, a slight shift towards a production-based value-added approach to export promotion may limit long-term economic growth, a point developed by an Inter-American Development Bank (IDP) study that argues that the relatively poor income growth of commodity-exporting countries is due to this lack of export diversification. Although many Latin American countries have expanded their intra-regional trade, deeper integration with developed economies appears necessary to achieve greater export diversification. Trade agreements are generating strong reactions from supporters and opponents.
Nowhere is this debate more heated than in the U.S. Congress, which was deadlocked for eight years on the passage of the Trade Promotion Authority (TPA) until it renewed the TPA in August 2002 as part of the Trade Act 2002 (P.L. 107-210). In the absence of ACCORD, the politically charged nature of trade negotiations has made the adoption of rules for the implementation of multilateral and regional agreements more uncertain. In addition to complex multilateral trade agreements, the United States pursued simpler bilateral agreements that were expected to be less politically sensitive and therefore more likely to win congressional approval, particularly if the TPA had not been renewed. On September 28, 2001, for example, President Bush signed the laws enforcing the U.S.-Jordan Free Trade Agreement (P.L.