Abstract
Trade Policy in the Western Hemisphere is undergoing major transformation. Developments during the past few years include entry into force of the Canada-US free trade agreement; the prospect of negotiations among Canada, Mexico, and the United States toward a North American free trade area; efforts to deepen economic integration between Argentina and Brazil; and the initiative of President George Bush for free trade in the Western Hemisphere.Had the Bush proposal been put forward a decade or so ago, it would have been greeted with suspicion, perhaps even derision, as just another neocolonial US maneuver to keep Latin American and Caribbean (LAC) countries from developing their industrial capacity. Its reception, however, was generally favorable, even enthusiastic. It is premature to expect the conclusion of free trade agreements between LAC countries, other than Mexico, and the United States, but there is a dynamic moving in this direction.
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