The FTAA and Hemispheric Integration
Summary
The policy brief argues for the integration of sustainable development into the FTAA process to overcome a 'fundamental disconnect' between trade and environmental policies in the Americas. It proposes a three-pillar strategy: incorporating specific environmental provisions into the FTAA, strengthening hemispheric environmental cooperation through a proposed 'Americas Ecological Accord', and establishing a High Level Hemispheric Experts Group on Trade and Sustainability to facilitate dialogue with civil society and industry.
Key insights
- There is a significant disconnect between trade liberalisation and sustainable development processes in the Americas, which were launched on parallel tracks in 1994 but failed to integrate over subsequent years.
- Negotiations for the FTAA have been hindered by fears in Latin America that environmental provisions could be used by the United States and Canada as justifications for protectionism or to undermine the competitiveness of Latin American and Caribbean businesses.
- Evidence from NAFTA and MERCOSUR suggests that environmental provisions do not necessarily limit trade; for instance, NAFTA intra-regional exports grew 92% between 1993 and 1999, while intra-Mercosur trade increased fourfold since 1990.
- To make the FTAA sustainable, the document recommends incorporating a 'pollution havens clause' to prevent the lowering of environmental standards to attract investment and shifting the burden of proof in dispute settlements to favor the maintenance of environmental legislation.
- The document proposes the creation of an 'Americas Ecological Accord' (AEA) to serve as a legal and policy coordination body to address critical regional issues such as deforestation, urban environment deterioration, and vulnerability to natural events.
- A High Level Hemispheric Experts Group on Trade and Sustainability is recommended to bridge the gap between official intergovernmental processes and civil society, focusing on research, policy options, and capacity building.
Cite the original document
- APA
- Johnson, P. M., Leff, E., & Runnalls, D. (2001). The FTAA and Hemispheric Integration. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/trade_qc_policy_en.pdf
- Chicago
- Johnson, Pierre Marc, Enrique Leff, and David Runnalls. The FTAA and Hemispheric Integration. International Institute for Sustainable Development, 2001. https://www.iisd.org/system/files/publications/trade_qc_policy_en.pdf.
- Wikipedia
- {{cite report |last1=Johnson |first1=Pierre Marc |last2=Leff |first2=Enrique |last3=Runnalls |first3=David |title=The FTAA and Hemispheric Integration |publisher=International Institute for Sustainable Development |date=18 April 2001 |url=https://www.iisd.org/system/files/publications/trade_qc_policy_en.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{johnson2001ftaa, author = {Johnson, Pierre Marc and Leff, Enrique and Runnalls, David}, title = {{The FTAA and Hemispheric Integration}}, institution = {International Institute for Sustainable Development}, year = {2001}, month = apr, url = {https://www.iisd.org/system/files/publications/trade_qc_policy_en.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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