Why is the US running away from "FREE TRADE"?

Summary

This video explores the United States' economic dominance and its historical approach to global trade. It delves into the origins of international trade agreements, the U.S.'s shift from isolationism to a key player in global commerce, and its complex relationship with the World Trade Organization. The script also discusses the Biden administration's recent initiative, the Alliance for Economic Prosperity in the Americas, aimed at fostering regional trade and investment, potentially countering China's influence and promoting resilient supply chains.

Takeaways

• 🌐 The United States has the largest economy globally, accounting for nearly a quarter of the world's GDP.
• 🛑 Historically, the U.S. has been somewhat isolationist, focusing on domestic market development and security rather than international trade.
• 🤝 The first free trade agreement dates back to 1860 with the British Empire's Treaty of Cobden-Chevalier with France.
• 🏛️ Post-World War II, the U.S. played a significant role in establishing international trade norms, including the General Agreement on Tariffs and Trade (GATT).
• 🛑 The U.S. has not always been successful in its trade initiatives, as seen with the rejection of the Free Trade Area of the Americas (FTAA) in 2005.
• 🌳 The U.S. has a relatively low average tariff rate of 3.5%, indicating a generally open trade policy.
• 🔄 The U.S. often uses the WTO's most-favored-nation clause to manage trade, which provides political control over tariff settings.
• 🌎 The Biden administration is currently promoting the Alliance for Economic Prosperity in the Americas, which could be seen as a revised approach to the FTAA.
• 🤔 The U.S. has been cautious in signing new free trade agreements, focusing on strategic partnerships and regional integration.
• 💡 The U.S. continues to influence global trade significantly, despite not leading in the number of free trade agreements compared to other countries.

Q & A

What is the significance of the United States' economy in the global context?

The United States has the largest economy in the world, with a gross domestic product of nearly 24 trillion dollars, accounting for almost a quarter of the world's entire GDP. It is considered the most important and lucrative market globally.

What was the first free trade agreement in history?

The first free trade agreement was the Treaty of Cobden-Chevalier, signed between the British Empire and France in 1860.

How did the United States' geopolitical situation contribute to its economic success?

The United States' geographical security allowed it to focus on economic development and the arts of peace without major war conflicts, contributing to its economic success.

What was the role of the United States in the creation of the General Agreement on Tariffs and Trade (GATT)?

The United States played a significant role in the creation of GATT, pushing for low tariffs, common rules, and the full mobility of goods, which helped to accelerate reforms in the 1950s.

Why did the United States not join the International Trade Organization (ITO) proposed in the Havana Charter?

The United States did not join the ITO because President Truman announced he would not submit the Havana Charter to the Senate, where the majority was opposed to joining the organization.

What was the significance of the Kennedy Round in the context of GATT?

The Kennedy Round, initiated in 1964, was significant because it represented a major leap forward with reductions in tariffs on many raw materials by half and the elimination of numerous non-tariff barriers.

How did the fall of the Berlin Wall impact global trade negotiations?

The fall of the Berlin Wall marked a turning point that led to a new world needing a new system of trade cooperation, which eventually resulted in the establishment of the World Trade Organization (WTO).

What was the North American Free Trade Agreement (NAFTA) and its significance?

NAFTA was a trade agreement signed in 1994 between the United States, Canada, and Mexico, marking a major step for the United States to join the wave of free trade and economic integration.

Why did the Free Trade Area of the Americas (FTAA) initiative fail?

The FTAA initiative failed due to strong opposition from many Latin American countries, which saw it as an attempt by the United States to impose its economic dominance on the region.

What is the Alliance for Economic Prosperity in the Americas and what are its objectives?

The Alliance for Economic Prosperity in the Americas is an initiative announced in June 2022 by the Biden administration, aiming to boost trade, investment, and the application of common regulations among the participating countries, potentially to reduce China's influence and promote regional production chains.

Outlines

00:00

🌐 The Colossus of Global Economy: U.S. Economic Dominance

The United States boasts the world's largest economy, with a GDP of nearly 24 trillion dollars, accounting for nearly a quarter of the global GDP. This economic might is unmatched, making the U.S. market the most significant and lucrative globally. The video delves into the U.S.'s openness to world trade and its historical role in shaping the global trading system. It begins with a historical overview, highlighting the U.S.'s economic growth and its initial isolationist stance, which kept its thriving domestic market somewhat distant from global trade. The script also touches on the U.S.'s unique geopolitical situation, which has historically allowed it to focus on economic prosperity while other nations were preoccupied with war.

05:01

📜 The Evolution of Global Trade: From Cobden-Chevalier to WTO

The script traces the evolution of global trade agreements, starting with the first free trade agreement, the Treaty of Cobden-Chevalier in 1860, to the establishment of the World Trade Organization (WTO) in 1994. It discusses the U.S.'s pivotal role in shaping these agreements, particularly in the post-World War II era. The U.S.'s focus on security issues and its occasional protectionist measures are highlighted, as well as its efforts to promote free trade as a means to counter Soviet influence. The narrative also covers the creation of the General Agreement on Tariffs and Trade (GATT) and the challenges it faced, including the U.S.'s isolationist tendencies that resurfaced, leading to the failure to establish an International Trade Organization.

10:02

🌉 The Shift Towards Globalization: From Isolationism to Integration

This section of the script discusses the U.S.'s shift from economic isolationism to a more integrated approach with the global economy. It outlines the significant milestones in the U.S.'s trade policy, including the creation of NATO and the Marshall Plan, which were part of a broader strategy to counter Soviet influence. The script also details the U.S.'s efforts to reduce trade barriers through various GATT rounds, culminating in the establishment of the WTO. The U.S.'s focus on trade as a geopolitical tool is emphasized, as well as the challenges it faced in promoting its trade agenda, particularly in Latin America with the failed Free Trade Area of the Americas (FTAA) initiative.

15:03

🚪 The U.S. Trade Policy Today: Openness and Strategic Engagement

The final paragraph examines the current state of U.S. trade policy, highlighting its use of the most-favored-nation clause under WTO rules to manage tariffs and trade. It points out that despite having fewer free trade agreements compared to some countries, the U.S. continues to be a significant player in global trade, with a large portion of its imports entering tariff-free. The script also discusses recent initiatives, such as the Alliance for Economic Prosperity in the Americas, which aims to strengthen trade and investment ties in the Western Hemisphere. The U.S.'s approach to trade is depicted as more measured and strategic, with a focus on reducing China's influence and promoting regional production chains.

Keywords

💡Gross Domestic Product (GDP)

Gross Domestic Product (GDP) is a measure of the economic size and performance of a country. It represents the total value of all goods and services produced within a nation's borders over a specific period. In the video, the United States' GDP is highlighted as being nearly 24 trillion dollars, which signifies its status as the largest economy in the world. This economic strength plays a significant role in global trade dynamics, as it influences trade policies and the country's ability to engage with other nations economically.

💡World Trading System

The World Trading System refers to the network of international rules, agreements, and institutions that govern global trade. It includes organizations like the World Trade Organization (WTO) and various trade agreements that facilitate and regulate the exchange of goods and services between countries. The video discusses the role of the world trading system in shaping economic relationships and how it has evolved over time, particularly in relation to the United States' participation and influence.

💡Free Trade Agreement (FTA)

A Free Trade Agreement (FTA) is a pact between two or more countries to reduce trade barriers, such as tariffs and quotas, and to increase trade between them. The video mentions the first free trade agreement dating back to 1860 and how the United States has engaged in FTAs to expand its economic reach and influence. The North American Free Trade Agreement (NAFTA) is a notable example discussed in the script, illustrating the country's efforts to integrate economically with its neighbors.

💡Protectionism

Protectionism is an economic policy that involves restricting international trade to protect a country's domestic industries from foreign competition. The video touches upon the United States' history of protectionism, particularly during times of strategic importance or when facing geopolitical rivals. It contrasts with free trade policies and is shown as a means to safeguard certain sectors of the economy deemed vital to national interests.

💡Isolationism

Isolationism is a foreign policy stance where a country minimizes its diplomatic and economic relations with other nations, often focusing on domestic affairs. The video script refers to American isolationism as a historical tendency to focus inward, avoiding entanglements in global affairs and trade. This approach is contrasted with later periods where the U.S. became more engaged in international trade and economic cooperation.

💡General Agreement on Tariffs and Trade (GATT)

The General Agreement on Tariffs and Trade (GATT) was an international agreement on trade between many countries, serving as a precursor to the World Trade Organization. The video discusses GATT as a key forum for negotiating trade liberalization, with the United States playing a significant role in its development and the rounds of negotiations it hosted, such as the Kennedy Round and the Uruguay Round.

💡World Trade Organization (WTO)

The World Trade Organization (WTO) is a global international organization that deals with the rules of trade between nations. Established in 1995, it aims to ensure that trade flows as smoothly, predictably, and freely as possible. The video highlights the establishment of the WTO as a milestone in global economic integration, with the United States being one of the founding members and a key player in shaping its policies and agreements.

💡Economic Integration

Economic integration refers to the process of combining or coordinating economic policies and practices between different countries, often through trade agreements or monetary unions. The video script discusses economic integration in the context of the United States' efforts to create free trade areas and its impact on global economic cooperation, such as the formation of NAFTA and the potential for a Free Trade Area of the Americas (FTAA).

💡Tariff

A tariff is a tax imposed on imported or exported goods and services. The video explains how tariffs are a key tool in trade policy, used by countries like the United States to protect domestic industries, raise revenue, or influence trade balances. It also discusses how the United States has utilized WTO rules on tariffs to maintain a relatively open trade policy while still exerting political control over its trade management.

💡Trade Barriers

Trade barriers are government-imposed restrictions on international trade, which can include tariffs, quotas, embargoes, and other regulatory measures. The video script mentions trade barriers in the context of historical trade negotiations and agreements, where the reduction or elimination of such barriers was a goal to promote freer trade and economic growth. The United States' approach to trade barriers has evolved over time, reflecting its changing economic and geopolitical strategies.

💡Geopolitical Advantage

A geopolitical advantage refers to a country's strategic position or influence that provides it with an edge in international relations and power dynamics. The video discusses how the United States has historically sought geopolitical advantages through trade agreements, using economic partnerships to counterbalance rivals like the Soviet Union during the Cold War. This strategy aimed to strengthen alliances and project influence globally.

Highlights

The United States has the largest economy in the world, with a GDP of nearly 24 trillion dollars.

The U.S. economy accounts for almost a quarter of the world's entire GDP.

The U.S. is the most important and lucrative market globally, with a significant impact on world trade.

The first free trade agreement dates back to 1860 with the Treaty of Cobden-Chevalier between the British Empire and France.

The 1919 Treaty of Versailles considered trade as a key axis for global prosperity.

The U.S. promoted free trade during the Cold War but maintained protectionist measures in strategic sectors.

Global trade significantly expanded in the 1990s and the beginning of the 21st century.

The U.S. has a history of isolationism, avoiding deep integration with the global economy.

The Atlantic Charter in 1941 set goals for equal access to world trade and raw materials.

The U.S. focused on security issues and economic cooperation as tools against the Soviet Union during the Cold War.

The General Agreement on Tariffs and Trade (GATT) was established in 1947 to reduce trade barriers.

The U.S. did not join the International Trade Organization due to Senate opposition in 1950.

The World Trade Organization (WTO) was established in 1994, marking a significant step in global economic integration.

The U.S. has been cautious about signing new free trade agreements, focusing on geopolitical advantages.

The U.S. has 19 free trade agreements, focusing more on political control over trade management.

The U.S. applies a low customs tariff, averaging 3.5 percent, one of the lowest in the world.

The Biden administration announced the Alliance for Economic Prosperity in the Americas, a potential new trade initiative.

The new initiative aims to boost trade, investment, and common regulations among member countries.

The alliance could be a strategy to reduce China's influence and promote regional production chains.

Transcripts

[Music]

for the gross domestic product of nearly

24 trillion dollars the United States

has by far the largest economy in the

world in fact the U.S economy is so

large that it accounts for almost a

quarter of the world's entire GDP North

Americans devour more products than

anyone else and virtually everyone wants

to trade with them it is by far the most

important and lucrative Market in the

world no other country comes even close

to the economic capacity of this

superpower but how open is Uncle Sam

really to World Trade what role does the

world trading system play are you

familiar with the Biden administration's

latest bid to integrate the U.S economy

with much of Latin America well in this

video we will answer all these questions

but first we need to know exactly where

this whole story began let's get started

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humans have been trading for Millennia

if not for our entire history however

the idea of a world made up of

international commercial networks and

production chains scattered here and

there is a much more recent development

on a large scale it has only been with

us for a few decades for example the

very first free trade agreement between

countries dates back to 1860 the

instigator was not surprisingly the

British Empire with the signing of the

Treaty of Cobden Chevalier with France

in January of that same year decades

later the 1919 Treaty of Versailles was

one of the first multilateral documents

that considered trade between countries

as a key axis for Global Prosperity

however the second world war and the

Cold War would cast a shadow on the

following decades for example in its

confrontation with the Soviet Union the

United States promoted free trade but at

the same time it also maintained many

protectionist measures in sectors

considered strategic and at the

international level it focused mainly on

security issues and so the great

explosion of global trade would not come

until the 1990s and the beginning of the

21st century a process that surprisingly

was not clearly led by the United States

listen up

from isolationism to rivalry with Moscow

it seems there is a broad consensus

about the United States a large part of

its enormous success in exploiting its

immense economic and political potential

was due to its particular geopolitical

situation and you know what this Theory

goes way back check it out the United

States finding no enemy abroad who can

seriously threaten it the American

people are always engaged in the task of

improving their situation Alexis

Democracy in America 1835-1840.

peculiar security of American geography

gave the United States an economic

security that enabled it to concentrate

on the Arts of Peace while leaving other

nations to indulge their taste for war

David Potter people of Plenty economic

abundance and the American character

1954. the reality is that the U.S

flourished in a climate free of major

war conflicts and yes I know obviously

the Civil War and some relatively minor

military friction such as the Mexican

war eventually made them get their guns

out but obviously it is nothing in

comparison to the constant conflicts

that inundated the history of Old Europe

for centuries nor has the United States

ever suffered the consequences of having

major tyrants at the helm who were more

concerned with filling their pockets

than with the country's economic

performance and general prosperity and

what can I say it shows

in any case the point is that for years

and years Americans grew their economy

and developed a huge and thriving

domestic Market which nevertheless was

kept somewhat distant from the rest of

the world until one way or another the

world came to them this is what is

commonly known as American isolationism

but do you want a concrete example of

what this political and economic

vocation entailed well the United States

avoided joining the League of Nations

the Forerunner of the UN at all costs

even though its own President Woodrow

Wilson had been one of its great

promoters at that time the United States

was not particularly interested in the

rest of the world don't you remember all

that it cost them to jump into World War

II but of course it was during that

conflict that a turning point occurred

that would change the history of the

world when Japanese forces bombed Pearl

Harbor it suddenly changed the U.S

perspective forever from that moment on

the land of the Stars and Stripes would

never look the other way again but okay

okay I know what on Earth does any of

this have to do with the subject of this

video

foreign

well you see the point is that in 1941

in the well-known Atlantic Charter

agreed upon after a secret meeting

between Churchill and Roosevelt these

two countries set the following goal

Clause 4 to extend to all states small

or large Victorious or defeated the

possibility of equal access to World

Trade and raw materials necessary for

their economic Prosperity letter from

the Atlantic 14th of August 1941. and so

when the war ended and later when the

Iron Curtain was lifted Washington fell

into a period of pactomania that is to

say a kind of almost compulsive

Obsession to reach new agreements with

other countries we're talking about the

time of the Marshall Plan or the

creation of NATO itself it's only

logical that the United States should do

everything and its power to contribute

to the return of normal economic health

in the world without which there can be

no political stability and no secure

peace governments political parties or

groups which seek to perpetuate human

misery for the purpose of political or

other gain will meet with opposition

from the United States speech by

Secretary of State George Marshall on

the 5th of June 1947. the priority then

was absolutely clear all the tools of

economic cooperation were added to the

instruments that the United States could

employ in its particular Crusade against

the Soviet Union and this was perhaps

the only problem let's just say the

American Obsession was focused on

reaching agreements that would give them

a geopolitical advantage over Moscow and

the Soviet threat in other words trade

was so to speak a resource to fight with

not so much an end in itself but even so

very important progress was made

in 1947 the city of Geneva hosted

multiple multilateral meetings where the

various Powers tried to finalize a new

treaty that would give rise to the Gat

the general agreement on tariffs and

trade at this Summit the most heated

debates were between London and

Washington the old Power did not trust

in a rapid opening up of markets while

the United States made its

unquestionable Western leadership debut

accelerating reforms even further than

its own Partners expected him

low tariffs common Rules full mobility

of goods and almost total freedom of

exchange and so you get the idea if

these things are difficult to make

happen today imagine in the 1950s when

there was still a widespread distrust of

the newly created bipolar International

order so yes Gat was passed but it did

not succeed in forcing the Western

powers to reduce their tariffs rather

this was left to the discretion of the

various governments

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in addition shortly after 1948 the

United Nations conference on trade and

employment took place in Havana and on

24th of March of the same year 53

western states signed a charter seeking

the creation of the now well-known

International Trade Organization however

it was right here that the Specter of

U.S isolationism reappeared with a

Vengeance in 1950 President Truman

announced that he would not submit the

Havana Charter because in the Senate the

majority of legislators were opposed to

joining this organization of course at

the time if the United States stayed out

it meant that the proposal was

automatically canceled thus the

premature dream of having an

International Trade Organization came to

an end the negotiations and promotions

of international trade would be carried

out in various Gat rounds the problem is

that it was a great deal with many

limitations the treaty had very little

power to enforce the rules was very

limited when it came to resolving the

various disputes and only covered the

Goods Market it did not cover Services

intellectual property or foreign

investment let's just say that it was a

kind of minimum agreement which when it

came down to it many countries did not

respect what's more as more countries

joined this agreement the various

negotiations became never-ending however

as the Cold War began to thaw the old

ideas of integration gathered weight in

the United States and with it throughout

the West the fall of the Berlin Wall was

emblematic a real Turning Point

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fall of the wall and economic

unipolarity

between 1947 and 1990 about eight rounds

of negotiations took place within the

framework of the Gat agreement in them

the state's parties met to agree on new

measures to facilitate foreign trade the

problem is that these negotiations were

very long on average each round lasted

29 months yeah yeah that's right on

average every time they wanted to reduce

a trade barrier they were negotiating

for more than two years nevertheless

progress what we understand as progress

was made for example the round initiated

in Switzerland in May 1964 known as the

Kennedy round represented a major Leap

Forward tariffs on many raw materials

were reduced by half and a lot of

non-tariff barriers were eliminated of

course the following rounds would be

quite different much more bogged down

with more or less constant but often

excessively timid progress

this was the case until September 1986

when the eighth round began in Uruguay

this would last no less than 87 months

more than seven years in which key

events took place the fall of the Berlin

wall and the dissolution of the Soviet

Union when the round began in Uruguay

Ronald Reagan was in the white house but

after months and months of negotiations

in Montevideo Geneva Brussels Washington

DC and Tokyo the US government changed

hands Twice first to Bush senior and

then to Bill Clinton in 1993 however the

participating Nations finally reached an

agreement once and for Rule and we're

not talking about just any agreement

with the end of the Cold War a new world

had emerged a world that needed a new

system of trade cooperation and so

visualpolitik viewers the idea of a

multilateral organization a body to

govern World Trade was successfully

revived listen up

[Music]

Clinton the WTO and the integration that

wasn't

April 15 1994 was a a historic day for

the world economy on that day 123

countries including the US signed the

Marrakesh agreement which established

the World Trade Organization WTO and

this was by far the definitive takeoff

of global economic integration the

definitive leap of globalization and the

construction of the world as we know

today as you can see from that moment on

trade agreements multiplied faced with

such a scenario Bill Clinton's

presidency went all out with this new

organization achieving some significant

Milestones such as the entry of the

People's Republic of China into the

organization however and here is the

most curious thing of all Washington's

efforts were particularly focused on the

rest of the world that is to say within

the White House itself there was still

no Landslide of new free trade

agreements that it was planning to sign

with a world that was abandoning

socialism at full speed in order to

throw itself into the arms of trade

capitalism and globalization at that

time the only relevant free trade

agreement that the United States had was

a 1988 agreement with Canada an

agreement that Clinton would convert in

1994 to include Mexico in the North

American Free Trade Agreement the

well-known NAFTA this was the first

major step taken by the United States to

join the new wave of free trade that was

sweeping the world

I'd also like to welcome here the

representatives from Mexico and Canada

and tell them they are in fact welcome

here they are our partners in the future

that we are trying to make together of

course it would take time for U.S

enthusiasm to bear fruit it was not

until 2004 that the United States signed

new free trade agreements with Chile

Australia Jordan Singapore the Dominican

Republic and Central America the

president of the time George W Bush was

a strong supporter of extending and

expanding this policy however in 2005

there was a terribly painful door

slamming that would leave many scars in

the White House what are we talking

about well listen closely

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thank you

a superpower rejected by its neighbors

in November 2003 34 countries

practically the entire American

continent as a whole met in Miami to

discuss a plan devised by the White

House an unprecedented plan that sought

to extend the North American free trade

agreement between Canada Mexico and the

United States to the entire region thus

creating what is known as the free trade

area of the Americas ftaa the agreement

was to be concluded within two years but

by 2005 at the fourth summit of the

Americas held in Argentina George W bush

came face to face with the red wave that

was sweeping the region at the time just

as it is today and it almost doesn't

matter what year you watch this video

foreign

[Applause]

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America it was an offer from Washington

that incredibly was projected which was

one of the most humiliating days for the

U.S foreign policy in recent decades

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the idea the plan the great gamble of

the Oval Office had been publicly and

notoriously mistreated by the great

socialist leaders of that time at the

end of that Summit bush left Argentina

ending the integration Adventure

ironically this time it was the world in

this case Latin America that was saying

no to the US which naturally meant

rejecting a golden opportunity to

integrate Latin America with the largest

economy on the planet seeing is

believing why you wouldn't want to have

access to U.S markets trade agreements

reduce

barriers and tariffs that's what they do

that's why you have a trade agreement

they don't make it harder to access

markets that make it easier to access

markets

and why wouldn't people want to access

our best Market I don't know it was a

failed gamble which was yet another

turning point for the United States

listen up

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post ftaa everything much more measured

the United States had begun to open up

trade with its closest neighbors Mexico

and Canada it then wanted to take this

gamble to the entire American continent

with the slamming of the door on the

ftaa soon made Washington tired of it

currently these are the only 19 U.S free

trade agreements in Fords

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new trade agreements we

AK agreements we can see how the

openness of the North American Giant is

much more limited but how on Earth is it

possible that countries such as Peru

turkey China or even Ukraine have signed

more trade agreements than the United

States is the United States really such

a closed country well the truth is that

there are several nuances to be noted

here starting with this

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the United States continues to conduct

most of its trade under the most favored

nation clause awto Clause that

guarantees that the best treatment that

one member country gives to another

member has to reply to all except in

cases of free trade agreements in this

way the United States sets its tariffs

then applies them across the board this

results in for example 49.9 of all U.S

Imports entering tariff free in 2021

around 14.8 percent of imports benefited

from tariff reductions and 0.9 benefited

from unilateral preferences in favor of

poorer countries

in other words it is not that the United

States has closed itself off from the

world or renounced the benefits of trade

but rather that it has used WTO rules on

tariffs to the hilt for example

negotiating and setting the level of

tariffs for each type of product this is

given Washington much more political

control over trade management and that

is what explains news items like this

the million dollar crisis of the Spanish

black olive due to the U.S tariff the EU

and the U.S diffused their tariff war on

steel and aluminum it must be said

however that the United States generally

applies a customs tariff that is among

the lowest in the world we're talking

about an average of 3.5 percent

nevertheless in recent years the United

States has been working on the possible

creation of a U.S Middle East free trade

zone a trans-pacific partnership

agreement and a utopian transatlantic

trade and investment partnership with

the European Union however the arrival

of trump in the White House meant that

all of these efforts by the Obama

Administration fell by the wayside of

course now that position could change

again and what's more it could do so in

Latin America have you heard about the

Biden administration's latest bet on

trade are we facing a new Gringo Landing

in Latin America well stay tuned

[Applause]

Alliance for economic prosperity in the

Americas ftaa 2.0 in June 2022 the

creation of the alliance for economic

prosperity in the Americas was announced

an initiative whose member countries are

Barbados Canada Chile Colombia Costa

Rica Dominican Republic Ecuador Mexico

Panama Peru Uruguay and which is

beginning to look like a more moderate

ftaa but aimed at building a new close

alliance with a strong commercial

commitment sooner or later all among

close friends of course

this dialogue brings together the

strength Ingenuity and diversity of an

incredibly Dynamic region we are 90 of

the GDP of the Western Hemisphere almost

two-thirds of its population there is

nothing we can't do together Anthony J

blinken U.S Secretary of State few

details aren't known yet but for the

moment the White House has made it clear

that this initiative is designed to

boost trade investment and the

application of common regulations among

the countries that are part of this new

initiative among other things it is one

of the formulas with which the Biden

Administration aims to reduce China's

influence how by promoting Regional

production chains the near Shoring that

we have already mentioned here on

visualpolitik the America's partnership

will accelerate our shared work to

strengthen Supply chains and to make

them more resilient to Future shocks so

that the goods and products that our

populations rely on are affordable and

available and workers rights are

respected in the doing

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in any case if one thing is clear it

could be a golden opportunity one more

for Latin America to take a huge leap

forward once and for all how well if its

leaders are smart enough to take

advantage of the largest consumer and

investment Market on the planet in any

case I think you'll agree that it is

somewhat amusing that the United States

the great capitalist power that won the

Cold War has failed to lead the World

Trade system but having reached this

point it's your turn do you think the US

should be much more ambitious with its

trade policy would this be a good thing

or a bad thing what role will the

alliance for economic prosperity in the

Americas come to play leave us your

thoughts in the comments and let's open

up a debate if you found this video

interesting don't forget to like And

subscribe to visualpolitik if you

haven't already done so all the best see

you next time

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foreign

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