The American Iron and Steel Institute on Monday submitted comments to the United States Trade Representative, outlining the association's recommendations for modernizing the North American Free Trade Agreement.
NAFTA has provided "significant benefits" for the steel industry in North America since it went into effect in 1994, but after 23 years the agreement could be modernized and strengthened, AISI CEO Thomas Gibson said in a letter to the USTR.
Outlining some of the positive aspects of the current agreement, Gibson said it has resulted in strengthened manufacturing supply chains, especially with key customer groups like the automotive industry, and has contributed to increases in intra-NAFTA trade and investment.
Mirroring a list of recommendations submitted last week to the USTR by six associations representing North American steelmakers, including AISI, Gibson outlined five recommendations: strengthening rules of origin and enhanced regional value content requirements; promoting trade enforcement cooperation and coordination; establishing enforceable currency disciplines; establishing disciplines on the conduct of state-owned enterprises; improving customs procedures, operations and coordination, and upgrading border infrastructure.
"NAFTA has been a beneficial agreement for the US steel industry," Gibson said. "The agreement has resulted in stronger and more efficient supply chains, increased exports and investments, and helped the industry remain globally competitive ... While the agreement as implemented has been beneficial for the steel industry, AISI also believes the recommendations outlined above would improve it, make the US steel industry stronger, and create jobs in the process."
