Nafta and the Importance of Trade to Alabama's Economy

Floor Speech

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Ms. SEWELL of Alabama. Mr. Speaker, I stand before you today to address the Trump Administration's renegotiation of the North American Free Trade Agreement. NAFTA, which governs trade between the U.S., Canada, and Mexico, has a substantial impact Alabama farmers, workers, industry, and consumers.

Over 173,000 Alabama jobs are dependent on NAFTA, with the state exporting over $7.7 billion in goods and services to Canada and Mexico. Canada is Alabama's largest export market and Mexico is the state's 4th largest. If the Trump administration withdrew from NAFTA, as they have threatened to do, Alabama's economy would suffer. Americans would lose their jobs, supply chains would be disrupted, and we would see a severe economic downturn.

Moreover, I am strongly opposed to the many radical proposals being pushed by the Trump Administration, such as the five-year sunset provision and the auto rules of origin proposal. A five-year sunset clause would deter long-term investment and promote uncertainty, effectively weakening the entire agreement. Also, increasing the auto rules of origin threshold requiring more auto parts to originate in the U.S. would hurt the competitiveness of the largest automotive manufacturers in my district. These facilities, including Mercedes and Hyundai, provide Alabamians with quality, high paying jobs that that my district cannot afford to lose.

What we need is a free and fair modernized NAFTA that includes provisions like a digital trade chapter and updated intellectual property rights protections. It is time this administration focused on negotiating with our Canadian and Mexican allies to improve the agreement for all three countries so that we can expand markets and grow America's economy.

I strongly urge the Trump Administration to stop threatening withdrawal from NAFTA, and I hope that the United States Trade Representative will focus on modernizing the agreement instead of pushing radical proposals that would hurt Alabamians.

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