Under Chapter 11, Ottawa has faced lawsuits from U.S. corporations that claim Canada interfered with trade for no good reason. The FTAA is controversial in other ways, too. It aims for free trade in services, not just goods. Critics fear Canada may not be able to protect public services like health and education from being privatized. However, Trade Minister Pettigrew has said he wouldn't conclude a deal that would threaten Canada's public health or social systems.
Some Caribbean states are concerned they'll lose import tariffs, which provide much of their income.
To overcome the loss, these countries will have to introduce income tax systems, and they're looking to Canada for aid in setting them up. Brazil is concerned about losing its influence in South America. It's also upset about how Canada has used the World Trade Organization to force changes to Brazil's export-subsidy policies. Tensions between the two nations were raised recently when Canada temporarily banned Brazilian beef. Internationally, there's also disagreement over whether labour and environmental standards should be included in the deal.