Bill Clinton on Free Trade

Bill Clinton strongly advocated for free trade policies, viewing them as central to a new era of global economic competition and national security. His administration's most significant legislative victory in this area was securing the passage and signing of the North American Free Trade Agreement (NAFTA) in 1993, which created a vast free trade zone between the United States, Canada, and Mexico. He also actively worked to conclude the Uruguay Round of the General Agreement on Tariffs and Trade (GATT), which established the World Trade Organization (WTO) and cut global tariffs substantially. The President argued that reducing foreign trade barriers was as crucial as traditional defense measures for building security and prosperity for Americans by expanding export markets.

Despite his firm stance, Clinton faced significant opposition, particularly from within his own party and labor unions, who feared job losses and depressed wages due to outsourcing. To counter these concerns, he negotiated labor and environmental side agreements for NAFTA and sought to create a robust worker training and retraining system, pledging that the gains from trade would extend to those who feared being burdened by competition. While he achieved major trade deals like NAFTA and permanent normal trade relations with China, he also suffered legislative setbacks, such as failing to secure renewal of 'fast track' negotiating authority in 1997, highlighting the domestic political difficulty of further liberalization.