“As a candidate, Donald Trump called NAFTA the ‘worst trade deal ever’ and vowed its replacement. On Wednesday, he fulfilled that promise, signing the new USMCA trade pact covering North America. The deal is Trump’s biggest yet—in fact the biggest in history,”
“The deal is an unequivocal win for America and will help Canada and Mexico over the long run. It puts an end to unfair Canadian tariffs that amounted to nearly 300 percent in some cases, thus creating a level playing field for American farmers and ranchers.” — Christian Whiton for Fox Business.
What promises one may wonder. Here is what the White House claims:
USMCA’s improvements over NAFTA are significant. The new agreement “is the largest, fairest, most balanced, and modern trade agreement ever achieved,” President Trump says. Here is just a sampling of the biggest changes:
- Broad economic benefits. USMCA is estimated to create nearly 600,000 American jobs—and generate up to $235 billion in economic activity.
- Better protection for workers. It has the strongest, most advanced, and most comprehensive labor protections of any American trade agreement in history.
- Support for our farmers. The agreement is a massive win for American farmers and ranchers, vastly improving access to Canadian and Mexican markets. U.S. agricultural exports are expected to increase by $2.2 billion under the deal.
- A boost for American manufacturers. The U.S. auto industry alone expects to create up to 76,000 new jobs and spur $34 billion in new investments.
- Modernized terms. Unlike NAFTA, USMCA has protections for American intellectual property, a first-of-its-kind chapter on digital trade, and provisions to crack down on unfair currency practices.
Source: White House e-mail Jan. 29-30, 2020