Reactions to USMCA trade deal criticize Trudeau government's concessions

Reactions to USMCA trade deal criticize Trudeau government's concessions

Also, the changes to NAFTA allow Trump to claim victory domestically.

De Minimis: this is a term that represents the amount of goods a person can bring across the border without being hit by duties.The basic exemption when crossing the border in person will increase to $40 of US goods up from the current $20. That may be useful when Trump moves to cool his trade war with the Asian nation. It also won a provision setting tariff-free entry of cars and automotive parts above current levels, which will make it harder for any USA government to hold this country's automotive sector hostage in the future.

Elsewhere, the new deal stipulates that trucks crossing the border from Mexico into the United States must meet higher safety regulations and Mexican workers will be afforded the ability to form unions.

Like many other Canadians, Rosen feels Canada hasn't been treated with respect, referring to the personal attacks and steel exports that are still subject to US tariffs over what Trump calls national security concerns. In exchange for Canada giving the USA more access to the Canadian market, "the United States will provide reciprocal access on a ton-for-ton basis for imports of Canada dairy products", the US government acknowledged on its website.

As Canadians have learned to our discomfort from the long-running softwood lumber dispute, though, neither a free trade deal nor dispute-resolution mechanisms offer sufficient protection when the Americans decide to settle a particular dispute in the alley. "We are only waiting for an understanding between the United States and Canada and we hope that understanding will happen so that it's a trilateral agreement".

In Trudeau's eyes, however, it was a good deal.

The agreement represents the fulfillment of a signature campaign promise and the brokering of an agreement that just days ago seemed likely to unravel, threatening the decades-old North American free trade framework. NAFTA 2.0 preserves most of the original treaty, including low tariffs. US officials intend to sign the agreement with Canada and Mexico at the end of November, after which it would be submitted to the US Congress for approval, a senior US official said.

US Trade Representative Robert Lighthizer, who negotiated the new deal, had another complaint: The tribunals took some of the risk out of investing in unstable or corrupt countries such as Mexico.

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NAFTA remade the North American auto market.

Trump always made it clear, both as a candidate and as president, that he considers China to be a significant threat-and he is right . "They're way over supply in their own market".

China has complained bitterly about the United States "holding a knife to our neck" to force trade concessions while negotiations have all but broken down, with no more talks planned in the foreseeable future.

"This was the lesser of evils to accept what the United States had basically thrust upon us", MacKay said.

For instance, according to an article by the Council on Foreign Relations, "China's domestic market is rigged against fair competition in a way that is unique among the world's biggest economies".

Tariffs, in theory, will make US-made products cheaper than imported ones, so encourage consumers to buy American.

For example, Freeland said the deal gets rid of the ISDS, the investor state dispute settlement mechanism between Canada and the US, which she said allows foreign companies to sue the Canadian government.

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