Trump’s trade deal with Canada and Mexico is a huge win for Americans — and it’s time for Congress to pass it
Phil Cox, Trade Works for America Co-Chair
May 31, 2019
Free trade is at the heart of the US economy. Each year, our companies sell more than $2.5 trillion worth of goods and services to customers around the world. Of those exports, nearly $300 billion worth of exports go to Mexico and another $360 billion worth go to Canada, two key markets for US enterprise.
The importance of these markets is the reason the US entered into a trade agreement with our North American neighbors 25 years ago and why President Donald Trump and his administration signed a new deal, a better deal — the United States-Mexico-Canada Agreement, or USMCA. And now it’s time for Congress to reaffirm how important trade with Mexico and Canada is for the US economy and pass the USMCA.
Our country recognizes the importance of these markets. A quarter of a century ago, the US entered into a trade agreement with our North American neighbors that helped to level the playing field and reduce barriers to trade for American job creators. But 25 years later, that trade agreement is no longer the best agreement for US businesses. That’s why Trump and his administration signed the USMCA.
As it goes in Washington, there are lawmakers on both sides of the aisle who are not 100% pleased with the agreement. To me, that means the Trump administration negotiated a balanced agreement that deserves support from all members of Congress.
The USMCA updates the old agreement and ensures that American workers and families are put first. This is also a welcome agreement for industries that depend on free, fair, rules-based trade with Canada and Mexico. America’s farmers, ranchers, auto manufacturers, and small businesses are set to gain once the USMCA is signed into law.
According to the US International Trade Commission, the USMCA will create 176,000 US jobs and add over $68 billion to the US economy — that is, in addition to the 12 million jobs already in the US that are supported by trade with Canada and Mexico. This positive report suggests that pro-growth policies promoting free, fair, and enforceable trade are a win for American workers and job creators alike.
Supporters of the USMCA recognize that this agreement contains provisions that will help make American job creators more competitive. For agriculture, those provisions provide increased access to Canadian dairy markets. For manufacturing, the USMCA establishes requirements that promote American-made cars and machinery as well as new worker protections to ensure American factory jobs do not get shipped overseas.
The economic boost comes from a number of provisions in the USMCA that will help American businesses and consumers, including increased access to Canadian dairy markets for farmers and requirements that promote American-made cars and machinery for manufacturers.
The USMCA also established new rules around e-commerce, making it easier for American small businesses to connect and sell to customers in Mexico and Canada.
The USMCA is also a winning proposition for American innovators because it strengthens intellectual-property protections, alleviating worries about a competitor gaining access to their trade secrets.
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