Thread: Statement in Advance of 2009 NA Leaders' Summit (SPP)

NACC (North American Competitiveness Council)
Statement to Leaders in Advance of 2009 North American Leaders' Summit


Council Of The Americas
August 6, 2009

Introduction

The severity of the global financial crisis that began in 2008 has triggered unprecedented cooperation among governments and central banks around the world. Together, they have worked quickly and effectively to provide both monetary easing and fiscal stimulus that clearly are having an impact. However, short-term stimulus could have serious longer-term effects on inflation and interest rates. In addition, a growing wave of protectionism is threatening prospects for recovery, and the economic outlook remains highly uncertain.

The economies of Canada, Mexico, and the United States are among the most integrated in the world. Measures to enhance the competitiveness of North America have always been critical, but in this global economic downturn it is imperative that the three countries work together more intensively than ever to make the most of their strengths and set the stage for robust and sustained economic recovery. The benefits of greater integration and cooperation in North America are clear. The North American Free Trade Agreement (NAFTA) has enhanced prosperity in all three countries through increased trade and investment, stronger economic growth, and lower prices for consumers.

The North American Competitiveness Council (NACC) is a group of business leaders from Canada, Mexico, and the United States formed in 2006 to gather advice from the private sector on ways to enhance North America’s competitive position, promote increased employment, and foster a higher standard of living. The private sector is key to enhancing North America’s competitive position in global markets and is a driving force behind innovation and growth. The experience of the NACC over the past three years demonstrates the clear benefits of close cooperation among North America’s business communities as well as its governments.

In 2007, the NACC offered recommendations to our governments in three broad categories: keeping our borders open while improving security; enhancing regulatory cooperation; and securing clean, affordable energy for our continent. Much progress has been made but there is still much work to be done in these areas, as well as in additional areas that have arisen subsequently.

We expect the trilateral partnership to evolve over time to meet changing circumstances and needs. No matter what form the partnership may take, we encourage governments to continue to consult with the private sector in all three countries. The NACC stands ready to provide advice and assistance to governments as they work together to strengthen the security and prosperity of North America.

As the three governments prepare for the August 2009 North American Leaders’ Summit in Guadalajara, Mexico, we offer some specific recommendations for consideration.

Protectionism and Trade

We applaud the rejection of protectionism by the members of the G20 in April of this year as well as the support for free trade expressed by Prime Minister Harper, President Calderón, and President Obama in their bilateral meetings. Nevertheless, we are troubled by the number of countries that have implemented protectionist measures.
The extension of federally mandated Buy American provisions across a wide sector of State and local procurement by the American Recovery and Reinvestment Act (“Recovery Actâ€

What is scary is that these folks have no economic reality. And they are pushing this without considering the consequences of the world's consumer nation and those consumers can't afford a thing because jobs continually are being shipped out. (And I am still PO'd that Hershey moved an entire chocolate factory to Mexico, that call centers for major companies are all in India, etc.) Meanwhile, we are flooded with cheap illegal labor from all over the world, most dropping anchor babies so they get the ultimate benefit from social services to enrich themselves, and any money they earn is shipped out of the country, while leaving the innocent person whose ID was stolen to pay the tax bill.
Trade agreements are the first thing. And from the lesson from the EU, erasing the borders will be next. I really don't want that. I have enough people already in the area that don't speak English.