America & Mexico agree *in theory* to a new trade deal.
Will Canada come a long for the ride?
(and why it may impact the cost of your next car).
A *new* NAFTA?
- Trade deal negotiated under Pres. H. W. Bush & steered through Congress by Pres. Clinton.
- Simple Overview:A Lowered tariffs (taxes) between Canada, Mexico & U.S. so we could all do business more easily and cheaply.
- Pres. Trump called it the “single worst trade deal ever” because he says it allowed American jobs to go to Mexico; many disagree.
Mexico & U.S negotiating NAFTA behind the scenes for weeks.
- New government of Mexico *just* elected & both sides want to secure deal before new leadership takes office.
- New trade deal needs approval by Congress; completing draft puts pressure on Congress to act before or after midterm elections.
What’s At Stake?
American jobs, industry & pay.
One example of many potential changes: New “NAFTA” agreement reportedly requires more U.S. car parts made in America with more U.S. material (like steel) in exchange for the “no tax” benefit for companies.
Cost To Consumer
‘The industry is hopeful that any changes to Nafta auto rules of origin continue to strike the right balance by incentivizing production and investment in North America while keeping new vehicles affordable for more Americans.’
Alliance of Auto Manufacturers
The North American Trade Agreement was a result of a trifecta of Mexico, Canada & the U.S. Since the U.S. & Mexico have a working template, the big question is: Will Canada agree to negotiations or stall them?
- North American Free Trade Agreement – NAFTA:A
- Trump Reaches Revised Trade Deal With Mexico, Threatening to Leave Out Canada:A
- Was NAFTA ‘worst trade deal ever’? Few agree:
by Jenna Lee,