The \*New\* NAFTA?
An old trade deal evolves.
It will impact those who make the vehicles you drive & those who grow the food you eat.
Why It Matters
“It’s not NAFTA redone. It’s a brand new deal.”
Pres. Trump announcing the trade agreement between U.S. & Mexico. The new deal has a new name: United States-Mexico-Canada Agreement, or USMCA. The President says it "will send cash and jobs pouring into the United States"; other analysts say the impact on the overall economy will be very little.
Behind The Scenes
- America, Mexico & Canada have worked on renegotiating NAFTA for weeks.
- While the U.S. & Mexico came to an agreement in August, a deal with Canada only came together on Sunday night.
- Pres. Trump felt NAFTA didn’t favor the U.S. and campaigned on changing it.
How It Impacts You:
- Requires more auto parts & cars built in America – this doesn’t apply to ALL vehicles, but may raise sticker price as companies figure out costs.
- Gives American farmers *slightly* more accessA to Canadian markets for dairy, eggs, & poultryA products; good news for farmers hurting due to trade tensions with China.
Something To Consider
“My expectation all along was that there would be few major changes and NAFTA would go from being one of the worst deals ever to the one of the best…. The bigger issue is the positive impact on confidence and sentiment.”
Jim O'Sullivan, economist at High Frequency Economics to CNBC.
Important Reminder: Congress MUST approve all trade deals, so while the White House celebrates this achievement, it’s not a “done deal” quite yet.
- Trump Hails Revised Nafta Deal as a Trade Promise Kept:
- Here are some key differences between Trump’s new trade deal and NAFTA:
- Ten Things to Know About the Nafta Deal:
- More Background:A https://smarthernews.com/a-new-nafta/
by Jenna Lee,