Why Trade Treaties And Free
Trade Are Important

Join The Conversation
On Twitter
@XENETA_AS

About
Xeneta
Container Freight Pricing
Transparency With One Platform In
Real Time & On Demand.

Are You Paying The
Right Container Freight
Rates?
Discover Savings
Potential In Real
Time.
Contact Us.

Walloonia temporarily halted the
comprehensive economic & trade
agreement (CETA) between
Canada and the EU; only two
last-minute side letters from the
belgian government to the walloon
assembly enabled the belgians to
provide the unanimous vote
necessary for the EU to sign with
Canada.

One wonders why the removal
of some 9,800 tariffs that
would facilitate increased
sales and lower prices for
Canadian / EU consumers and
manufacturers is considered
negative.

Interestingly and what many want to know is how the recent U.S.
Election results will affect it all. One of the platforms from the
president elect has made trade treaties increasingly unpopular as
populist and nativist groups worldwide argue against them.

You Snooze You Lose

While the US-EU’s
transatlantic trade &
investment
partnership (TTIP) has
stalled as the special
interest groups
challenge each
paragraph, China is
taking advantage of
America and the EU's
absence by pushing its
silk road initiative and
Asian infrastructure
investment bank and
offering finance

There are calls in the united states to renegotiate NAFTA North
American Free Trade Agreement) in order to favor American
manufacturers, and to halt/renegotiate the still unratified trans
pacific partnership.
NAFTA has brought a decades-long boom to northern Mexico,
where salaries in the auto industry and the maquiladores are 20x
higher than those of the agricultural workers and farmers in
central and southern mexico and some 60% of America's total
exports go to the tpp countries.
The anti-trade forces claim trade causes massive job losses,
which is inaccurate. In the United States, while 5.6-6.0 million
manufacturing jobs were lost from 2000 – 2010, only 13% were
lost to off-shoring – the remaining 5.3 million jobs disappeared
entirely.

No Free Trade Is Bad For Carriers

The box carriers are already dangling
over the bankruptcy abyss; less than
2 weeks ago the japanese carriers
merged, while mighty Maersk
reported a loss of some us $ 118
million.

Shipowners
seaspan and
danos are
reporting major
losses due to the
Hanjin
bankruptcy, as are
triton and the
other container
lessors.

Learn how Xeneta can help
You get insight and intelligence into
your global ocean freight prices and
change your logistics business:
Request
Demo Now

Should the big banks force the carriers to revalue their ships to
current charter rates, the likelihood is every carrier would be
declared insolvent.
To combine the current low rates with declining box volume if
international trade declines, would guarantee the shutdown of
most of the carriers, along with subsequent direct and indirect job
losses.
Clearly job training for those workers in industries dispossessed
by trade treaties must be improved. But trade treaties cannot be
negotiated to favor one side over another, and to cancel trade
treaties in their entirety threatens to return the world of the good
old days of the 1930's great depression