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The first detailed historical account of the Free Trade Area of the Americas (FTAA) negotiations, this book covers the genesis of the project in the early 1990s to its demise in late 2003. It examines how the FTAA, an Inter-American policy idea, was incompatible with the predominant ideas and beliefs of Brazilian and American decision makers as to how they could and should conduct their countries' foreign trade policy in the Western Hemisphere.
In 1994, 34 Western Hemisphere nations met at the first Summit of the Americas, envisioning a plan for completing a Free Trade Area of the Americas (FTAA) by January 1, 2005. Nine years later, the third draft text of the agreement was presented at the November 2003 Miami trade ministerial. The Ministerial Declaration, negotiated largely the the two co-chairs, Brazil and the United States, took the FTAA in a new direction, away from the comprehensive, single undertaking principle, toward a two-tier framework comprising a set of "common rights and obligations" for all countries, augmented by voluntary plurilateral arragements with country benefits related to commitments. A follow-up meeting in early 2004 in Puebla, Mexico was unable to clarify this concept, highlighting the deep differences that remained between the United States and Brazil. FTAA talks subsequently stalled and the original January 1, 2005 deadline was missed. In the meantime, both Brazil and the United States are pursuing subregional trade pacts that may further complicate the negotiation process. Talks between Brazil and the United States may resume in early 2005, but it is still unclear if significant progress can be made on the FTAA this year.
The negotiations toward establishing a Free Trade Area of the Americas, which would eliminate tariffs and create common trade and investment rules within the 34 democratic nations of the Western Hemisphere, are among the most significant ongoing multilateral trade negotiations for the United States. Two meetings in April 2001 offer opportunities to inject momentum and set an ambitious pace for the next, more difficult phase of the negotiations to come. The first is the meeting of the trade ministers of the 34 countries participating in the negotiations in Buenos Aires, Argentina, on April 7. The second is the Summit of the Americas in Quebec City, Canada, on April 20-22.
Free Trade Area of the Americas: Negotiations Progress, but Successful Ministerial Hinges on Intensified U.S. Preparations