NAFTA. We've heard it so many times. Donald Trump has touted NAFTA as the "worst trade deal ever" along with a variety of criticisms. And now, it's finally been ousted and replaced with the new USMCA (United States - Mexico - Canada Agreement). So is this the best trade deal ever? Why is no one talking about it?
In Argentina at the G20 Summit, Trump and the two other nations' leaders signed the new agreement, and now it's up to Congress to sign the agreement in the next six months. Surprisingly, it is hard to find information about what the new deal entails because there isn't much talk about it. But we can expect that it must be good since it was accepted by Mexico and Canada. Obviously, it puts the US at a greater advantage than before.
So how do the other two countries still benefit? Canada recognizes that this agreement will ensure it has greater access to the international market. Canada's notoriously anti-free market dairy industry has opened up a bit and will open it up by 3.6%. It's barely anything but is still something.
Mexico doesn't appear to lose too much, except that there are some more restrictions and expected job flow from Mexico back to the US as there was the $16 minimum wage stipulation
NAFTA was criticized for being too lenient on the US's partners, Mexico and Canada, and is now actually in the process of replacing it. This is big news, yet surprisingly not many outlets are talking much about it. Technically, Trump did keep his promise and to renegotiate the new treaty. I guess some news outlets are too concerned with other things to barely talk about this?
The only thing now is to get Congress to approve of it, which may or may not be a big problem. Since the Democrats controlled the house, there has been a wave of socialists like the notorious Alexandria Ocasio Cortez who have caused worry within the party itself. However, a liberal like Justin Trudeau who supports the trade deal could persuade Congress to pass it.
https://www.usatoday.com/story/news/politics/2018/12/02/donald-trump-formally-cancel-nafta-make-way-new-deal/2181399002/
https://www.washingtonpost.com/opinions/2018/12/06/trudeau-could-help-usmca-cross-congressional-finish-line/?utm_term=.1bef3d131f64
https://www.ft.com/content/92e9ce0a-c55f-11e8-bc21-54264d1c4647
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