Bush Meets With Trade Pact Leaders : Treaty: President reaffirms his support of the free trade agreement with leaders of Canada and Mexico. Clinton calls event politically inspired.

President Bush joined the leaders of Canada and Mexico here Wednesday to reaffirm their support for the proposed North American Free Trade Agreement amid growing contentiousness over the economic ramifications of the landmark pact.

The high-profile ceremony marked the first time the three heads of government had gathered since their nations began negotiations toward the 1,000-page accord, which would dramatically alter global trade by eliminating tariffs in the region over the next 15 years.

The leaders cannot formally sign the accord until December, making their presence technically unnecessary as trade negotiators initialed the pact. But the flag-festooned setting provided Bush with a new campaign stage as he basked in the praise of his neighbors and indirectly questioned his Democratic rival’s objections to the pact.

“For some, NAFTA will be controversial precisely because it opens the way to change,” Bush said, standing shoulder-to-shoulder with Mexican President Carlos Salinas de Gortari and Canadian Prime Minister Brian Mulroney in a Spanish-style courtyard.

Arkansas Gov. Bill Clinton has issued a qualified endorsement of the agreement, saying he would sign it “if and only if” Canada and Mexico agreed to three supplemental accords designed to protect the environment, jobs and the economy.

Bush never mentioned Clinton by name, and he fended off reporters’ questions by insisting that the event was an “international ceremony.” But he made the most of his presidential role as he proclaimed the agreement “a turning point in the history of our three countries.”

The treaty, which must be ratified by the legislatures of each of the three nations, would create the world’s largest trading bloc. The White House contends that it would result in a net gain in American jobs and could serve as a powerful stimulus to each of the nation’s economies.

But the AFL-CIO and other critics argue that the pact would result in unacceptable losses of American jobs, and they have vowed to fight for its defeat.

Because Congress has been given until Dec. 17 to scrutinize the accord before it is signed, neither Bush nor his counterparts could do more than watch as their subordinates initialed the accord in the patio of a San Antonio hotel.

But they quickly retreated inside for closed-door talks that the White House said focused on the steps that would be required to implement the accord.

Bush advisers later bristled when the Clinton campaign and congressional Democrats mocked the meeting as politically inspired.

“This is not political theater,” U.S. Trade Representative Carla Anderson Hills said at a briefing. “This is a meaningful meeting.”

In choosing Texas as the setting for the session, however, Bush could count on the political benefit of a high-profile return to his home state, where his reelection bid has found unexpectedly tough going. The most recent polls show the President running head-to-head with Clinton in a state that Bush almost certainly must win if he is to be reelected.

The free trade accord is regarded by White House advisers as holding special attraction for Texans, and the President went out of his way to trumpet the benefits expanded trade with Mexico has provided “this great state, the Lone Star State.”

Bush also took pains to address the particular criticisms raised by Clinton, insisting that the treaty would not bring harm to the U.S. environment or to labor standards.

But the Clinton campaign continued to disdain the Bush approach as hasty and inadequate. “If Bill Clinton is elected President, America will get a good NAFTA,” communications director George Stephanopolous said. “If George Bush is elected, we’ll get a bad NAFTA that doesn’t protect workers and the environment.”

Free Trade at a Glance

Here are key facts about the North American Free Trade Agreement that would link the United States, Mexico and Canada economically.

* What it does: Tariffs and other barriers to the movement of goods, services and investment among the three countries would be eliminated, creating the world’s largest and richest trading bloc, covering 360 million people.

* Timing: The pact, which must be approved by the legislatures of all three nations, would take effect Jan. 1, 1994. Congress is not scheduled to begin consideration of the proposal until next spring at the earliest.

* Tariffs: All tariffs would be eliminated over a 15-year period, with industries that suffer the most from import competition getting the longest time to adjust. About half of all U.S. exports to Mexico would be eligible for duty-free treatment within five years.

* Environment: The agreement states that national and state laws protecting the environment, health or safety cannot be overruled by the pact. Environmentalists have expressed concerns that the agreement would increase pollution along the U.S.-Mexico border unless Mexico beefs up its enforcement.

* Job protection: The Bush Administration has pledged that U.S. workers who lose their jobs because of the trade pact would be eligible for retraining assistance either through existing or expanded federal programs.