New Us Trade Agreement With Mexico

The United States, Mexico and Canada have reached an agreement to modernize the 25-year-old NAFTA into a high-level agreement of the twenty-first century. The new agreement between the United States, Mexico and Canada (USMCA) will support mutually beneficial trade that will lead to freer markets, fairer trade and robust economic growth in North America. • Support a twenty-first century economy by protecting U.S. intellectual property and ensuring opportunities for trade in services in the United States. Mexican politicians saw NAFTA as a chance to accelerate and secure these hard-won reforms of the Mexican economy. In addition to trade liberalization, Mexican heads of state and government have reduced public debt, introduced a balanced budget rule, stabilized inflation and increased the country`s foreign exchange reserves. Much of the debate among policymakers has focused on how to mitigate the negative effects of agreements such as NAFTA, including whether to compensate workers who lose their jobs or offer retraining programs to facilitate their transition to new sectors. Experts say programs like the United States. A revised version was signed on December 10, 2019 and ratified by all three countries, with final ratification (Canada) taking place on March 13, 2020, just before the postponement of the Canadian Parliament due to the COVID-19 pandemic. The Environment Chapter contains the most enforceable environmental obligations of all previous U.S. agreements, including commitments to combat trade in wildlife, timber, and fish; strengthen law enforcement networks to curb trafficking in human beings; and address pressing environmental issues such as air quality and marine litter.

CFR`s Edward Alden says fear of trade deals has increased because wages have not kept up with labor productivity, while income inequality has increased. To some extent, he says, trade agreements have accelerated the pace of these changes because they have “strengthened the globalization of the U.S. economy.” On December 19, the USMCA passed the House of Representatives by 385 votes to 41. . .