?Three Amigos? talk trade, security at summit

ôThree Amigosö talk trade, security at summit    North American leaders extolled the virtues of their free trade partnership at a three-way summit in Guadalajara, but Mexican and U.S. officials did not resolve a festering dispute about a U.S. ban on Mexican long-haul trucks that are supposed to be allowed cross-border access under a 1994 treaty.
   President Barack Obama, Mexican President Felipe Calderon and Prime Minister Stephen Harper of Canada said in a joint communiqu' that their goal was unrestricted trade, and that work continues on U.S. requests to solidify enforcement mechanisms for certain issues addressed in the North American Free Trade Agreement.

Canada’s Prime Minister Harper(from left), Mexico’s President Calderon and U.S. President Obama pose for pictures after the North American Leaders’ Summit in Guadalajara, Mexico, Monday.

   'North American trade is a vital component of our economic well-being and we pledge to abide by our international responsibilities and avoid protectionist measures. We reiterate our commitment to reinvigorate our trading relationship and to ensure that the benefits of our economic relationship are widely shared and sustainable. We will seek to promote respect for labor rights and protection of the environment with a continuing dialogue to address the functioning of the labor and environmental side agreements. This dialogue must result in mutually agreeable and cooperative activities with the aim to enhance the well-being and prosperity of our citizens and the economic recovery of our countries,' the statement said.
   The Obama administration is working behind the scenes to restructure a pilot program that had allowed several dozen Mexican trucks to make deliveries in the United States, but no progress was announced at the so-called 'Three Amigos Summit.' Congress terminated the program early this year citing safety concerns with Mexican trucks and drivers on U.S. highways. After Congress killed the program, Mexico retaliated in March by slapping tariffs of 10 percent to 45 percent on 90 U.S. exports ranging from grapes to shampoo and cordless phones. The tariffs are expected to cost U.S. businesses $2.4 billion per year in lost sales.
   Under NAFTA, the U.S. agreed to allow Mexican trucks into the country within three years, but Congress has repeatedly used the safety argument to block their entrance.
   These types of summits typically are more about sending signals than achieving concrete results. The joint statement talked in broad terms about continuing to facilitate cross-border trade.
   'We are investing in border infrastructure, including advanced technology, to create truly modern borders to facilitate trade and the smooth operation of supply chains, while protecting our security. Building on these investments, we will work together to strengthen the resilience of our critical infrastructure, which transcends borders and sustains the wellbeing of our communities and economies. We will cooperate in the protection of intellectual property rights to facilitate the development of innovative economies. We commend the progress achieved on reducing unnecessary regulatory differences and have instructed our respective ministers to continue this work by building on the previous efforts, developing focused priorities and a specific timeline,' the statement said.
   Prime Minister Harper raised with Obama concerns about 'Buy American' provisions in the U.S. stimulus bill that are restricting Canadian companies from participating in government contracts.
   During a press conference following their meeting, President Obama said that 'Buy American' provisions have not endangered existing trade between the United States and Canada and no broad protectionist measures have been enacted by the United States. He added that states and local jurisdictions may be able to work around restrictions on federal government use of the money for imported supplies. Many state and local officials, however, are strictly interpreting the domestic purchasing requirements in the $787 billion spending plan for fear of having funding requests denied. The issue has created a significant rift between the United States and Canada, which argues that G-20 nations pledged not to resort to protectionist measures in their anti-recession programs.
   Obama said he did not favor the 'Buy American' provision but felt it was important for Congress to quickly pass a measure to inject money into the economy without getting bogged down in a side debate on whether U.S. agencies, cities and states could buy materials from overseas.
   President Obama said he is committed to immigration reform but that it will have to wait until next year because the legislative agenda is too full now to consider it. He also promised continued cooperation to help Mexico dismantle drug cartels that have unleashed a wave of violence in the country.

Napolitano

   Homeland Secretary Janet Napolitano and Mexican Interior Secretary Fernando Francisco Gomez-Mont discussed ongoing efforts by customs officials to jointly beef up enforcement of cross-border smuggling of drugs, cash, humans and weapons, and share traveler information to help improve commerce.
   Napolitano will travel to El Paso, Texas, Wednesday to deliver a major speech on Southwest border security at the 2009 Border Security Conference, meet with state and local law enforcement officials and the Homeland Security Advisory Council's Southwest Border Task Force, visit U.S. Border Patrol operations and participate in a video teleconference with stakeholders across the Southwest border. ' Eric Kulisch