Trade Works for America Statement on Senate Finance Committee Hearing on the USMCA

July 30, 2019

Trade Works for America Statement on Senate Finance Committee USMCA Hearing
The USMCA Offers a Fair, Balanced, Rules-Based Approach to Free Trade

WASHINGTON, D.C.—Trade Works for America, a coalition comprised of businesses and workers from across the country who are advocating for the approval of the U.S.-Mexico-Canada Agreement (USMCA), today submitted a statement for the record ahead of a Senate Finance Committee Hearing on the USMCA.

The submission outlines how the USMCA puts American workers first and boosts job creators of all sizes and across industries:

  • American Innovators. “The USMCA includes ways to protect Intellectual Property (IP), which will protect U.S. technology firms and start-ups, and by extension, protect U.S. technology jobs. Additionally, the agreement includes provisions to support the expansion of digital trade in a fair and balanced way, prohibiting customs duties on products that are traded electronically.”
  • American Autoworkers. “Specifically, the USMCA will prevent Mexico from undercutting American autoworkers and underpaying their own workers by requiring that 40 to 45 percent of auto content be made by workers earning at least $16.00 per hour.”
  • American Farmers and Ranchers. “Under the USMCA, the number of dairy, poultry, and egg products that can be exported from the U.S. to Canada without being subject to tariffs will greatly increase […] The deal will continue to allow U.S. farmers to access $39 billion6 in exports and support the 325,000 U.S. jobs that are supported by agricultural exports.”
  • American Energy. “The agreement will ensure the free flow of energy within North America by maintaining the zero-tariff policy on energy products traded between the three countries. This will ensure energy costs remain affordable for American consumers, while also strengthening North American energy security and independence.”
  • American Manufacturing. “The same LVC calculation that will protect American autoworkers and prevent outsourcing will also protect American manufacturing jobs and keep manufacturing jobs in the United States. Additionally, the agreement will modernize NAFTA and open up additional access for manufactured goods.”
  • American Small Businesses. “The USMCA contains a number of first-of-its-kind small business provisions, including the establishment of a standing, trilateral committee to collaborate on and expand opportunities for small- and medium-sized businesses. The agreement also helps lower barriers to e-commerce, raising the minimum cost of exports shipments that are subject to taxes in Mexico and Canada.”

The submission also highlights how the USMCA enjoys bipartisan support from lawmakers and organizations such as the Progressive Policy Institute.
It concludes:

“We believe the USMCA represents a fair, balanced, and rules-based approach to free trade with our closest neighbors, updating and modernizing our past agreements to reflect our modern economy and implementing important enforcement mechanisms that fell short under NAFTA.”
The full submission is available online here.

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Trade Works for America is a coalition comprised of businesses and workers from across the country advocating for approval of the United States-Mexico-Canada Agreement (USMCA).