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Many American small businesses depend on exporting their products to Canada or Mexico under NAFTA.
In some cases, environmental policy was neglected in the wake of trade liberalization; in other cases, NAFTA's measures for investment protection, such as Chapter 11, and measures against non-tariff trade barriers threatened to discourage more vigorous environmental policy.
While the contraction of low-productivity plants reduced employment (up to 12 percent of existing positions), these job losses lasted less than a decade; overall, unemployment in Canada has fallen since the passage of the act.
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The most serious overall increases in pollution due to NAFTA were found in the base metals sector, the Mexican petroleum sector, and the transportation equipment sector in the United States and Mexico, but not in Canada.
Agriculture is the only section that was not negotiated trilaterally; instead, three separate agreements were signed between each pair of parties.agricultural products in 2004, and NAFTA may be a major catalyst for this change.