Trade agreements are important international pacts that can impact a country`s economic growth and prosperity. These agreements help open up economies, increase trade, and promote investment, but they are also subject to approval by certain bodies and officials. In this article, we will explore who approves trade agreements and how they go through the process.
In most countries, the power to approve trade agreements lies with the government. Governments negotiate trade deals, and then they are subject to approval by the appropriate legislative body. In the United States, trade agreements are approved by Congress while other countries have similar procedures where the national legislature ratifies or approves trade agreements.
In the United States, the process begins with negotiations between the government and the other country or countries involved. Once a trade deal is made, it is then submitted to Congress for approval. The House of Representatives and the Senate both have committees that review the agreement before it goes before the full body for a vote.
The committees involved vary depending on the content of the agreement. For example, if the agreement is specifically related to agriculture, the Agriculture Committee will review it. Similarly, if the agreement is related to commerce, the Commerce Committee will be involved.
During this time, there may be hearings and debates concerning the agreement. Members of Congress may ask for changes or amendments before they vote on it. If the trade agreement is approved, it becomes law and takes effect.
It is important to note that trade agreements also go through a public review process. The text of the agreement is usually made public before it is approved by Congress. Members of the public have a chance to review the agreement and voice any concerns or objections before it is voted on.
In other countries, the process may be slightly different. For example, in Canada, it is the Cabinet that negotiates trade agreements and then submits them to Parliament for approval. Once approved by Parliament, the agreement is then ratified by the Governor in Council.
In the European Union, trade agreements are negotiated by the European Commission, and then it goes through the European Parliament and the Council of the European Union before being signed by the European Commission president.
In conclusion, trade agreements are subject to approval by the appropriate legislative bodies in each country. In the United States, Congress approves trade agreements, while other countries follow similar procedures. These agreements go through public review processes and are subject to changes and amendments before they are ratified. The approval of these agreements is crucial in promoting trade and investment and boosting the economy.