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ASSI GNMENT3 No mb r e :

Ma t r í c u l a :

No mb r ed e l c u r s o: I n t e r n a t i o n a l En v i r o n me n t sa n dBu s i n e s s Op e r a t i o n s Mó du l o: 2

No mb r ed e l Pr o f e s or :

Ac t i v i d a d: As s i g n me n t 3

F e c ha : Se p t e mb e r2 4 t h , 2 0 2 0 O B J E C T I V E: Analyze the political implications of tariffs and regulations on trade agreements.

1. What are the potential economic benefits of the trucking provisions in the NAFTA treaty? Who benefits? Who might lose? Among the potential benefits, we could mention the reduction of costs regarding this work, therefore the United States would be benefiting from this aspect, which are the low transportation costs of the products/services that are sent from Mexico. In addition, Mexican trucks would save money and time since the process of unloading and reloading on American trucks will no longer be necessary. I believe that the United States would benefit the most, while Mexico could end up losing out because of the opposition to this process, commenting that our country's trucks are older and more dangerous. 2. What do you think motivated the American Teamsters to object the trucking provisions of NAFTA? Are these objections fair? Why did the US Congress initially align itself with the Teamsters? Do you think this was a diplomatic failure for Mexico? The American truckers / teamsters argued against this whole NAFTA process because with it, jobs would be taken away from them and given to the Mexican truckers / teamsters if they can also offer the deliveries on time and in a more effective and efficient way, they saw the Mexican truckers / teamsters as a great competition within this work; I consider that these objections are totally unfair, because if it is understood that they are against something that probably will make them have less income, but when giving their diverse opinions they came to mention derogatory things towards Mexico, besides that it gave us to understand that they are not willing to follow this treaty. The U.S. Congress allied with the truckers / teamsters because they have great power over Congress in general, which if they did not ally with them could bring them several consequences; finally, I do not consider this whole situation to be a diplomatic failure as far as Mexico is concerned, at least with what I read and came to understand from reading, I did not detect any factor to detect any diplomatic failure given by our country. 3. Did it make sense for the United States to bear the costs of punitive tariffs as allowed for under NAFTA, as opposed to letting Mexican trucks enter the USA? What was the official position adopted by the Mexican government? Was a retaliation the right answer? I don't think that it makes any economic sense to do this because the whole objective or the main objectives in this NAFTA deal is to reduce the process of unloading and loading the

goods that are inside the trucks, as well as to bring greater efficiency to the transportation of these and to save money, besides having in mind that all of this was thought out just for the argument that Mexican trucks are older and therefore more dangerous and less efficient than American trucks, which I consider to be a total exaggeration wanting to add extra charges when the point of all this is to decrease them, thus it does not make sense that the U.S. Congress continues to oppose this. As for Mexico's position or response to this situation, it was to quickly implement tariffs of a total of $2.4 billion in goods sent from the United States to Mexico, which I believe was a very accurate response to this situation to show that our country has great impact and presence within this deal.

4. Why do you think the Obama administration brokered a deal with Mexico to finally allow Mexican truck drivers to access the United States? As a Mexican citizen, do you find that deal reasonable? Having these two very powerful allies, projects can be carried out that benefit both parties, obtaining better results and greater impact within these two great nations, in addition to causing a positive impact on Mexico allowing us to achieve the objective of this very important treaty to continue increasing our economy and grow more as a country; I consider this deal reasonable because it has already had a certain sound within this industry, in addition to the fact that several projects have already been carried out successfully....