Peru-U.S. NAFTA Expansion: Overview
The Peru NAFTA Expansion was passed and signed by the Bush administration in late 2007, even though a majority of Democrats voted against the agreement. This FTA replicates the failed NAFTA and CAFTA model – guaranteed to cost more quality jobs, bankrupt more farmers, and give more power to corporations to use international trade tribunals to attack U.S. sovereignty.
There have already been signs pointing to how the Peru FTA is a disaster for many Peruvians. Public Citizen and others warned, before the FTA's passage, that it would incentivize destruction of the environmentally sensitive Peruvian Amazon rainforest. Sure enough, within months of the FTA's implementation, huge parts of rainforest were slated for oil and gas exploration, leading to massive protests by Peruvian indigenous people living in the targeted areas. A violent police crackdown ensued, and it is likely that unrest will continue, thanks to the Peru FTA's investment rules protecting corporations wishing to exploit the Amazon for profit.
As one might expect, the people of Peru did not want this agreement. In April of 2006, the National Electoral Council of Peru certified nearly 60,000 signatures (PDF) submitted by anti-FTA coalitions to request a referendum on the deal. However, when the June 2006 Peruvian elections resulted in a majority for parties that were critical of the FTA, the lame-duck (post-election, but pre-new congressional term) Peruvian Congress resolved to ignore the petition and, despite broad calls for it to be considered by the newly elected Congress, the lame-duck session in Peru approved the agreement.
For More Information
- On Fifth Anniversary of Peru FTA Bagua Massacre of Indigenous Protestors, State Department Cables Published on Wikileaks Reveal U.S. Role (June 9, 2014)
- Bloomberg: Coup d’Etat to Trade Seen in Billionaire Toxic Lead Fight (May 9, 2013)
- U.S.-Peru FTA Investor Rights: Lessons Learned and New Approaches Needed for TPP (available in Spanish here) (November 28, 2012)
- Renco Uses U.S.-Peru FTA to Evade Justice for La Oroya Pollution (available in Spanish here) (November 28, 2012)
- Letter: Rep. Carnahan (D - MO) Urges Peruvian Government Officials to Encourage Renco to Comply with Environmental Commitments (March 30, 2012)
- Press Release: Peru's Efforts to Clean Up La Oroya Should Not be Stopped by an Investor-State Lawsuit (Spanish) (March 30, 2012)
- Dear Colleague Letter: House Reps Ask State & Treasury Departments to Urge Renco to Drop its Investor-State Claim Against Peru (March 29, 2012)
- Memo: Renco Group Uses Trade Pact Foreign Investor Provisions to Chill Peru's Environment and Health Policy, Undermine Justice (March 1, 2012)
- Backgrounder: Corporations Put Before Community Health in Renco Group v. Peru Case (June 30, 2011)
- Memo: Investor Rules Not Fixed by Preamble Change (June 14, 2011)
- Groups Call on Obama to Push Peru's President on Trade, Forestry and Indigenous Rights - An Open Letter to President Obama [PDF]
- Table of Foreign Investor-State Cases and Claims Under NAFTA-Style Deals (April 2011)
- Letter: Public Citizen and Environmental Groups to Clinton and Geithner about dispute between Renco Group and Government of Peru (March 31, 2011)
- Click here to read more about this issue on our blog, Eyes on Trade.
Latest Peru FTA News
Updates On FTA-Related Civil Unrest in Peru at Eyes On Trade