Principles of Consumer Protection in the North American Free Trade Agreement
21 Pages Posted: 8 Aug 2008 Last revised: 15 Feb 2012
Date Written: August 6, 2008
Abstract
Consumer policy has not been a high priority at the regional level for NAFTA subcommittees and working groups. Nor has it been a priority for national trade offices, such as the U.S. Trade Representative. To the extent that an impact can be seen, it has been piecemeal, as standards for specific sectors or products are harmonized or mutual recognition agreements are reached. Such efforts have at times sought to ensure that consumer interests are protected, but the primary focus has been removing non-tariff barriers to trade. Not surprisingly, the impact on consumer protection has been mixed and concerns about the environment and food safety continue to cause great concern among NAFTA critics and consumer groups. Like the GATT, the objectives of NAFTA are primarily to break down barriers to trade among the member states, and not necessarily to harmonize consumer protection laws in the member states, or to create a common consumer policy. To the extent that consumer protection is referenced in the treaty, it is mentioned as an area in which each member state has freedom to impose restrictions on trade as a legitimate public policy objective. In other words, so long as a member state's consumer laws pursue legitimate policy goals and are not disguised restrictions on trade, they will be allowed. In this paper, Professor James Nehf discusses the references in NAFTA to consumer protection, the role that regional consumer protection policy plays in the NAFTA member states, and the manner in which national consumer rules are accepted as legitimate non-tariff barriers to trade.
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