Mexico City, May 23, 2017 – In remarks at the Americas Society /Council of the Americas 10th annual Latin American Cities Conference in Mexico City, Juan Andrade, Executive Vice President, Chubb Group and President, Overseas General Insurance, described the positive impact the North American Free Trade Agreement (NAFTA) has had on the services sector, including the insurance industry, across the continent. Mr. Andrade also pointed to the need to modernize NAFTA in ways that will benefit the U.S., Mexico and Canada.
Mr. Andrade joined senior leaders from the private sector and high-level government officials at the conference focused on Mexico and North America: A Global Powerhouse. Since NAFTA’s conception, North American integration has allowed Mexico, the United States, and Canada to compete in global markets, accounting for 12% of world trade, 28% of global GDP and 26% of the world's foreign direct investment flows.
Today Chubb has 66 offices and more than 2,400 employees across Mexico. In Canada, Chubb ranks among the top 10 largest insurers. Chubb’s success in the region also benefits the company’s U.S. employees, many of whom support Mexican and Canadian operations in fields such as analytics, claims, finance, legal and underwriting.
“Through the creation of common and non-discriminatory trade rules, NAFTA has opened both Canadian and Mexican markets to a diverse array of U.S. services providers, strengthening the U.S. services trade relationship with our neighbors,” said Mr. Andrade. “From 1999 to 2015, the United States has doubled its bilateral services trade surplus with Mexico and quadrupled it with Canada. The United States had a $37 billion trade surplus in services in 2015 with our NAFTA partners.”
Mr. Andrade also pointed to benefits from NAFTA that go beyond trade. “It is in all three countries’ national interests to promote stable and growing economies across North America,” he said. “The positive economic benefits accruing from NAFTA over the past two decades have generated trust among our governments, allowing for successful cooperation on various national security matters.”
Chubb is working with the Administration and Congress to educate them on the importance of NAFTA to the business community in general and to Chubb specifically. Evan Greenberg, Chairman and CEO of Chubb, is playing a leadership role in the establishment of the U.S.-Mexico Economic Council, which will be jointly operated by the U.S. Chamber of Commerce and the Mexican Consejo Coordinador Empresarial (CCE).
Our success in Mexico and Canada supports Chubb jobs in the U.S. This is the case for our industry as well as the services sector overall. NAFTA has a created an environment of mutual benefit among the parties.- Juan Andrade, Executive Vice President, Chubb Group and President, Overseas General Insurance.