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Why was Chapter 19 important to Canada during the USMCA negotiations?
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North American Free Trade Agreement
(From left) Mexican Pres. Carlos Salinas de Gortari, U.S. Pres. George H.W. Bush, and Canadian Prime Minister Brian Mulroney meeting to initial the North American Free Trade Agreement in San Antonio, Texas, October 7, 1992.
During the negotiations for the United States–Mexico–Canada Agreement (USMCA), Chapter 19 was of critical importance to Canada because it established a special dispute resolution process.
While U.S. negotiators sought to remove this mechanism, Canada successfully fought to preserve it. This provision is significant because it provides an independent binational panel process to review anti-dumping and countervailing duty determinations, serving as a safeguard against the unilateral application of trade remedy laws by the participating countries.1