III North America Consumer Product Safety Summit

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2 Who are the participants? Background Products manufactured in North America or imported from other areas can easily enter our respective jurisdictions through the long borders we have in common. Due to the increasing world trade volume and complexity of global supply chains, it is necessary that the authorities responsible for consumer product safety cooperate to promote a global culture of safety for consumer product suppliers. They must also work together to monitor supply chains of goods across international borders and promote a timely response from the industry and governments to emerging issues of product safety. Governments and industry should also cooperate to promote the participation of consumers who play a crucial and definitive role by choosing, using and disposing products safely. The start of the economic integration of North America began with the signature and enforcement of the North American Free Trade Agreement. The objectives of NAFTA, as elaborated through its principles and rules, include parties intensions to: promote conditions of fair competition in the free trade area, which the product safety regulators see as encouragement for their efforts to ensure that industry throughout all of North America will provide consumer products with a high level of safety; and establish a framework for further trilateral, regional and multilateral cooperation to expand and enhance the benefits of this NAFTA Agreement which the product safety regulators have embraced through the Cooperative Engagement Framework and regularly scheduled Summits.

3 The United States Consumer Product Safety Commission (CPSC), Health Canada and the Consumer Protection Federal Agency of the United Mexican States (Profeco, by its acronym in Spanish) have the common goal of achieving the highest possible degree of safety for consumers in North America. It is of mutual interest for the parties to work closely together to achieve this. Although the legal frameworks for consumer product safety policy are different in our three jurisdictions, our goals are the same. To the extent that we can share best practices and information about requirements, experiences, and activities, we can work more effectively to protect all consumers in North America from unreasonable risk of injury from consumer products. In the spirit of cooperation, respect for sovereignty and the limits of domestic legislation, and concern for the safety of our customers it is important to consider the following: 1 The growing involvement of global consumer products coming to our markets from other countries and the high degree of trade and connectivity in North America require greater trilateral cooperation to address more effectively common problems and challenges in product safety. 2 It is essential to continuously improve the training and systems of quality assurance at all stages of the supply chain and distribution in order to ensure a higher level of consumer product safety, a task that should be promoted through activities based on cooperation between the three jurisdictions.

4 3 Greater cooperation in solving problems of product safety can contribute greatly to the protection of consumers health and safety in our markets both directly and indirectly, helping to strengthen measures to promote product safety in other countries. 4 To promote the harmonization of requirements for product safety, keeping them at a high level, can lead to greater consumer confidence to greater economic and regulatory efficiency and to other benefits for stakeholders. 5 The timely and effective communication of certain types of information on product safety, such as the results of monitoring ports and markets, test methods, signs of emerging hazards and regulatory work, can help us achieve common goals.

5 Cooperative Engagement Framework In line with the interests of the three countries the Cooperative Engagement Framework (CEF) was established in 2011 to further joint efforts on consumer product safety. The CEF encourages both bilateral and trilateral engagement, as appropriate and, in the following areas: 1 Inquiries on proposed regulations and voluntary standards; 2 Cooperation on risk assessment; 3 Cooperation in monitoring imports and markets; 4 Cooperation in training and outreach work to both industry and consumers inside and outside of North America; 5 Coordinated awareness and sensibilization campaigns for consumers; and 6 Inquiries on possible joint recalls or other corrective measures. The level, intensity and mechanisms of joint participation in these areas are subject to national priorities, the limitations of legislation and the availability of resources in each jurisdiction. The commitment to these joint efforts will lead to safer products for consumers today and for generations to come.

6 Canada, Mexico and the United States are fully committed to continue working towards the common goal of achieving the highest level of safety for consumers across North America and to promote a global culture of product safety. The XXI century has presented new challenges for regulators. Innovation and globalization are changing the range of products entering the market and the supply chain that delivers products to North America. Trilateral cooperation is essential, especially considering the numerous entry points for consumer products across our shared borders. With the current economic situation and an increase in the need to demonstrate the efficient use of resources, regulators should be both dynamic and oriented in trilateral activities. This means focusing on areas of mutual interest and concern, and the identification of common priorities that protect the health and safety of consumers while respecting the sovereignty and laws of each participating country. On the spirit of joint cooperation in demonstrating our consumer product safety commitment, we see that: 1 Cooperation improves efficiency to address common challenges that show the increase in international trade and the steady stream of consumer products between our jurisdictions. Increased coordination on product safety between regulatory authorities and customs in North America as well as cooperation between standards development organizations, is extremely important.

7 2 Consumers have more options to purchase products as a result of increased Internet connectivity. The upward trend in online shopping demonstrates the need for regulators to work together, share best practices to help improve the safety of products sold online, and the adoption of implementing measures when necessary. 3 To meet the challenges of product safety derived from globalization, North American regulators must continue to improve the mechanisms for the exchange of information about the risks of the product in the common market. The significant expansion of the supply chains of consumer products requires countries to share the experience and data import and market surveillance to the extent permitted by their respective laws and regulations. 4 The timely communication of information on product safety helps to achieve common goals. Sharing information on regulatory developments, compliance and enforcement activities, surveillance data, and evidence of emerging risks is vital to achieve them.

8 The North America Consumer Product Safety Summit provides opportunities for leaders in product safety in Mexico, Canada and the United States (PROFECO, Health Canada and CPSC respectively) to present their vision of security cooperation in consumer products, to discuss trilateral initiatives and to develop an agenda for future work, reflecting shared priorities between the three jurisdictions. To the extent that the authorities responsible for consumer product safety exchange messages of alert, practices and requirements for product safety that are common, they can work more effectively to protect consumers of unreasonable risk of injury from consumer products.

9 What is the purpose? The United States, Canada and Mexico are committed to working together for the purpose of: 1 Increasing awareness and understanding of the movement of consumer products in North America in the context of the global market. 2 Facilitating and providing opportunities for regulators of North America to improve knowledge and expertise on consumer safety products. 3 Enhancing cooperation in education and outreach in North America: a. Promote consumer awareness about the safe use of consumer products. b. Conduct training and outreach activities for the industry. 4 Improving and maintaining ongoing communication, cooperation and exchange of information between regulators in North America, including consultation on proposed regulations and voluntary standards..

10 When? III North America Consumer Product Safety Summit will be held on November 18 and 19, 2015.

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