ISDS Case Map
CAFTA
US - Central America Free Trade Agreement
Exmingua is planning to launch arbitration proceedings against Guatemala following the suspension of its Tambor gold project.
Trade mission to Guatemala yields fruitful meetings with conservative estimates of $30 million in new sales.
US trade negotiators could move to renegotiate aspects of the Central American-Dominican Republic Free Trade Agreement by 2019.
US investors sue Government of Costa Rica under CAFTA free trade agreement for breach of treaty terms and conditions.
A chapter on labor issues within CAFTA was to provide an improved environment for labor rights. But the Guatemalan state has consistently failed to implement these protections.
Trade Representative Robert Lighthizer pointed to the need to modernise agreements with Peru, Colombia, Panama and Chile, as well as the Central America Free Trade Agreement (CAFTA).
This decision drives home the fact that U.S. trade deals do not protect workers. In truth, this failure is by design—labor chapters were not meant to work efficiently or effectively.
“The panel’s decision flies in the face of common sense. Guatemala’s failure to protect its workers and enforce its own laws is apparent to nearly everyone except the arbitrators.”
The U.S., for the most part, lost its first challenge of another country’s adherence to the labor rules under a trade deal.
El Salvador froze bank accounts and assets belonging to OceanaGold Corp after the mining company refused to pay the country $8 million as mandated by an international court.
