Trump signs US Mexico Canada Agreement

Image copyright
Getty Images

Image caption

Donald Trump speaks ahead of the USMCA signing

US President Donald Trump has formally signed a new trade pact with Mexico and Canada, bringing his campaign promise to replace the three countries’ existing deal closer to fruition.The US Mexico Canada Agreement (USMCA) is set to replace the 1994 North American Free Trade Agreement (Nafta).Mr Trump has described Nafta as America’s “worst” deal and blamed it for a decline in manufacturing jobs.Canada has yet to ratify the pact but is expected to do so within weeks.The three countries announced they had reached a deal in 2018 after more than a year of negotiation. The accord has been working its way through the legislatures of the three countries ever since.In the US, Democrats, who control the House of Representatives, insisted on changes – including stronger labour rules – before voting in support of the measure. Those revisions were approved late last year.USMCA trade deal: Who gets what from ‘new Nafta’?
What has Donald Trump actually achieved on trade?
Many of the original Nafta provisions will continue under the new accord, which governs more than $1tr in annual trade between the three countries. It also sets new terms for digital trade and increases US access to Canada’s dairy market. The most eye-catching changes concern new rules for car companies, which are aimed at boosting production in the US.The new deal requires a higher percentage of vehicles to be made in North America to qualify for tariff-free treatment. It also requires that a certain percentage of each vehicle be made by workers making at least $16 an hour.At a White House signing ceremony on Wednesday, to which Democrats were not invited, Mr Trump said the new deal was a “massive win” that would end the Nafta “nightmare”.He also thanked Republican senators for their role – joking that his compliments may be tied to his interest in their support at his ongoing impeachment trial.”Maybe I’m just being nice because I want their vote,” he said.

Leave a Reply

Your email address will not be published. Required fields are marked *


Trump impeachment: Failed witnesses vote paves way for acquittal

Image copyright EPA Image caption President Trump was the third president in US history to be impeached US President Donald Trump is set to be acquitted in his impeachment trial after senators voted against calling witnesses or admitting new evidence.Democrats hoped four swing Republicans would vote for witnesses, which would have extended the trial without […]

Coronavirus: In quarantine after being repatriated from China

British man, Matt Raw sent this video of his accommodation at Arrowe Park Hospital after he was flown out of Wuhan where there is an outbreak of coronavirus.Eighty-three British passengers must stay in quarantine at an NHS staff accommodation block for 14 days, where they will be in “supported isolation” with “all necessary medical attention”.Read […]