Thursday, 18 October, 2018

Mexico-Canada Trade Agreement Targets China’s Bad Practices

So Much Winning We Have A New NAFTA Deal Trump: Trade deal returns US to ‘manufacturing powerhouse’
Elsie Buchanan | 05 October, 2018, 02:47

Inside the United States-Mexico-Canada Agreement (USMCA) is a provision that allows any member country to essentially veto free trade agreements with non-member countries by dissolving the USMCA to form a bilateral agreement instead.

The Dairy Farmers of Canada say they failed to see how the trade deal would be good for the 22,000 Canadian families that depend on dairy for their livelihood.

Ratifying the deal is likely to stretch into 2019 because once Trump and the leaders from Canada and Mexico sign the agreement, the administration and congressional leaders will need to write legislation to implement the deal and win passage in Congress.

"... Deficiencies and mistakes in NAFTA, greatly opens markets to our Farmers and Manufacturers, reduces Trade Barriers to the US and will bring all three Great Nations together in competition with the rest of the world".

"It's a good day for Canada", Canadian Prime Minister Justin Trudeau said.

US President Donald Trump's new trade deal with Canada and Mexico saw stock markets rally and traders across North America breathe sighs of relief this week, but the news was received more warily in China.

The deal reportedly grants U.S. farmers access to the heavily protected dairy market. -Canada trade. Canada's tariffs on dairy imports can approach 300 percent. Not that any US administration would ever do that, of course. "The government doesn't seem to be very forthcoming as to why they would want to become supplicant to the United States in a trade war with China".

It also expands USA access to up to 3.75 per cent of the Canadian dairy market versus 3.25 per cent in the Trans-Pacific Partnership agreement the Obama administration negotiated but the Trump administration nixed his first week in office.

Harry and Meghan delight children on royal couple's first visit to Sussex
Harry and Meghan will first be seen in Sussex at 10.45am as they visit Chichester in West Sussex to greet members of the public. I never thought they would come but what a fantastic way to open the place.


"For Beijing, this is all just one more piece of Trump's anti-China strategy", said Alan Chong, a professor of worldwide relations at the S. Rajaratnam School of global Studies in Singapore.

Automobile manufacturing: Under USMCA, to be free from tariffs, a larger part of a vehicle's parts will be made in North America.

Farmers note that Canadian governments have offered slices of the dairy market in free trade deals with both the European Union and Pacific nations in recent years.

As for the timeline of negotiations with China, Kudlow said the U.S.is open to "significant and serious" talks any time, but those talks have thus far been "unsatisfactory".

The deal will preserve a trade dispute settlement mechanism that Canada fought hard to maintain to protect its lumber industry and other sectors from USA anti-dumping tariffs, United States and Canadian officials said. On October 1, Trump tweeted "The new name will be The United States Mexico Canada Agreement". Congress is expected to take up consideration of the agreement in November.

Other trading partners had been tough on the U.S., he said, including the European Union, which introduced retaliatory tariffs on United States goods in June.

Wang Heng, co-director of UNSW Law's China International Business and Economic Law initiative in Sydney, said it was more about China wanting to "cool down" its comments to avoid worsening the trade war with the US.

"This deadline was real", according to a senior US official. The Trump administration set a September 30 deadline for Canada to join the agreement, or tariffs would be placed on vehicles exported to the U.S. "Long term, we'll be producing less milk because those dairy products will be filled by American products".

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