Joining TogetherJoining Together North AmericaNorth America

Rick Van SchoikDirector, NACTS

What an Export-Oriented

North America Means

April 2012

AGENDA

NACTS

Joint Production

Joint Manufacturing

Joint Technology

NACTS

Consortium of US, Canadian, Mexican universities with mission of increasing cooperation with four foci:

Increasing awareness of NA

Promoting NA competitiveness

Improving NA security commons

Addressing NA sustainability

Recent NACTS Reports

JOBS!

THEN IS NOW

“The point of history at which we stand is full of promise and of danger. The world will either move towards unity and widely shared prosperity or it will move apart into necessarily competing economic blocs. We have a chance to use our influence in favor of a more united and cooperative world.

Whether we do so will determine, as far as it is in our power, the kind of lives our grandchildren can live.”

President Franklin D. Roosevelt

February 1945

NOW IS FUTURE

Our shared border must

be an engine, not a brake,

for our economies.

PREMISE

North American competitiveness in world marketplace has been risked but is poised to recover based upon:

More productive borders

Application of technology

Joint inspiration-to-perspiration production

NEI

U.S. is on track to meet goals of the National Export Initiative (accounting for half of the growth during stagnation) Because:

We build together

Strong growth in Mexico

Sustained imports by others

GREAT RECOVERY

Growth in developing nations benefitted exporters of infrastructure construction raw materials (Canada)

But second phase of global resurgence will demand the software-driven products that U.S. and Mexico build “Early days of export boom…including a manufacturing revival” Brooks NYT

JOINT

A joint is the location at which two or more bones (nations) make contact. They are constructed to allow

movement and provide mechanical support, and are classified structurally and functionally.

WHAT WE JOIN

Cultures, Natures, Values

Economies, Commerce, Jobs

Security and Safety

Energy, Ecology, Environment

Commons, Futures

JOINT RESPONSIBILITY

Guns, Ammo, Cash, and Precursor Chemicals are flowing south

Is it any wonder drugs flow north to an appetite there

NOT!

JOINT MANUFACTURING

To cite old statistics of the number of times an automobile component crosses the border is to miss the point that mining/minerals, energy, services, investment, education/training, design & assemble co-production, and even agriculture are now fully integrated North American endeavors

To

INTERNATIONAL MARKET

EXAMPLES

Cow fetuses are sent south, young calves are sent north, and fattened beef is sent south

One fifth of major high-tech and large item manufacturing industries is “back-” or “on-shoring” including autos, aerospace due to wage convergence, education, supply chain durability, and cost including energy and GHGs

JOINT MANUFACTURING

Boomerang effect: Proximity!

Labor costs no longer matter

Productivity driven by software

“Manufacturing advances already in pipeline…cost of North America-made solar panel will fall by more than half to 50 cents per watt

JOINT PRODUCTION

PEMEX crude

Reversing flow of natural gas

Refined products

Gulf of Mexico “donut hole”

Renewable energy

Carbon, greenhouse gases

JOINT BORDER OPS

Mirrored enforcement

‘ Shared intelligence

Joint booths

Single E-window

Clusters and secure corridors

C4ISR

Traditional border security was three legged mantra

Ports were imbalanced with borders

Non-intrusive technology is poised to enable 21st Century corridors, gate- ways, optimodal/interchange facilities

Other communications

JOINT RISK ASSESSMENT

Targets

Threat

Vulnerability

Probability

Impacts

Consequences

LAST THOUGHTS

CONTACT INFO

WWW.NACTS.ASU.edu

NACTS@ASU.edu

480-965-1846

Amira De la GarzaNACTS; Associate Director

NACTS Overviewof History, Structure & Research