Mexico’s Foreign Policy& Impacts on The United States

Annie D’Elia

Bryce Vanderberg

Adam Bodner

History

NAFTA

Drug Wars

Immigration

Solutions

History• 1934 Foreign Service was established

• During the Cold War Mexico pursued a liberal and progressive foreign policy

• 1963 in response to the growing tension of the Cold War, the Mexican government proposed that Latin America become a nuclear-weapons-free zone

• 1981 Mexico hosted a chapter of the North-South dialogue between heads of state in industrial and developing countries

NAFTA

• The United States is Mexico’s largest trade partner

• Mexico is the United State’s third largest trade partner

• North American Free Trade Agreement signed in 1994- created the world's largest free trade area, which now links 450 million people producing $17 trillion worth of goods and services.

NAFTA

NAFTA-Problems

• Manufacturing industries (motor vehicles, textiles, computers and electronic appliances) moved their production to Mexico because it was cheaper

• Mexican farmers could not compete with the subsidized American farmers and 1.3 million farm jobs were lost after the signing of NAFTA

• The U.S. exploits Maquiladora workers

• It is bad for the environment in Mexico

Drug Wars

• Colombia’s drug cartels were dismantled in the 1980’s

• Weak judicial and police institutions and proximity to the United States, the world’s largest consumer economy contributed to the start of the drug trafficking

• 2006 President Calderon with the help of the United States launched a massive crackdown against drug trafficking

• The primary focus for Mexico is breaking up drug cartels within the country and the goal of the United States is to stop the flow of drugs across the boarders.

Drug Wars- Background

• The drug trade makes up 3-4% of Mexico’s $1.2 trillion annual GDP (around $23-30 billion) and employs at least 500,000 people

• Mexico is a major supplier of heroin to the United States and the largest supplier of methamphetamines and marijuana

• In 2003 77% of cocaine that was in the United States traveled through Mexico to get there, now it is 90%

Drug Wars

• The United States sends aid to Mexico to combat drug cartels through the “Merida Initiative”

• The policy keeps changing especially as the United States moves towards legalizing and decriminalizing marijuana

Drug Wars- U.S. Role

Illegal Immigration

• Approximately 150,000 unauthorized Mexican Nationals came into the US per year in the latter half of the past decade.

• Mexican born individuals make up approximately 60% of illegal immigrants in the US (roughly 6.7 million people)

• Massive population of illegal immigrants of one ethnic group causes a shock to the societal makeup of an area, which leads to increased tensions between the native populous and the immigrants which expands past just illegals into the ethnic group as a whole.

Immigrants in the U.S.

• The average annual income for a Mexican born family in the United States was $34,000 compared to $50,000 for native born

• Mexican born individuals in the US face a poverty rate of 29%, compared to 15% for native born people.

• Huge disparities in the quality of living among the two groups

How to Solve the Problem?

• To solve these issues that arise from immigration and the drug wars, it is necessary for the United States to take a more proactive step toward building a more economically prosperous Mexico.

• Investing heavily in building up the infrastructure of Mexico would go far in achieving a more economically equal neighbor to the south.

• U.S. gives Mexico $499 million in aid each year as of 2009.

• Barely a fraction of the $44,975 million in foreign aid given out by the U.S. each year.

• Compare that to Columbia ($895m), Ethiopia ($940m), Israel ($2,432m), and South Africa ($571m). Pumping millions less into a country that is our neighbor.

• The problems that arise from NAFTA will not be as detrimental if Mexico catches up with the United States by having a more structurally sound economy.

Bibliography • http://www.sre.gob.mx/en/index.php/about-the-foreign-ministry/history• http://www.peashooter85.com/post/30504608081/colombian-police-stand-over-the-body-of-drug-lord• http://www.cfr.org/mexico/mexicos-drug-war/p13689• http://www.ustr.gov/trade-agreements/free-trade-agreements/north-american-free-trade-agreement-nafta• http://useconomy.about.com/od/tradepolicy/p/NAFTA_Problems.htm