The Los Angeles Post
U.S. World Business Lifestyle
Today: March 16, 2025
Today: March 16, 2025

Trump wants to renegotiate his own trade deal with Mexico and Canada

Trump wants to renegotiate his own trade deal with Mexico and Canada
October 14, 2024

Washington (CNN) โ€” Former President Donald Trump is once again pledging to save American manufacturing and bring back jobs by rewriting a trade agreement with Mexico and Canada.

But this time, instead of replacing the North American Free Trade Agreement, known as NAFTA, which he has often described as the โ€œworst trade deal ever made,โ€ he wants to renegotiate his own trade deal.

Trump signed onto the US-Mexico-Canada Agreement, or USMCA, in 2018. It took effect in January 2020 and replaced NAFTA.

In 2018, Trump said the USMCA would be โ€œthe most modern, up-to-date, and balanced trade agreement in the history of our country, with the most advanced protections for workers ever developed.โ€

But now, he thinks it can be improved.

โ€œUpon taking office, I will formally notify Mexico and Canada of my intention to invoke the six-year renegotiation provision of the USMCA that I put in,โ€ Trump said last week during a speech at the Detroit Economic Club.

The USMCA includes a clause that requires a review by the three signatory countries at the six-year anniversary.

When asked by Fox Newsโ€™ Maria Bartiromo in an interview that aired Sunday about his plan to renegotiate the USMCA, Trump said it would not undermine the deal he put together.

โ€œI want to make it a much better deal. I want to take advantage, now, of the car industry,โ€ he said.

Harris also wants to review the USMCA

Vice President Kamala Harris has also said she would use the USMCA review process.

Harris, who is now the Democratic presidential nominee, was one of 10 US senators who voted against USMCA at the time.

โ€œI knew it was not sufficient to protect our country and its workers,โ€ she said in a statement last week.

Following the Senate vote in 2020, Harris said she was concerned the USMCAโ€™s environmental provisions did not go far enough to address climate change.

Hereโ€™s whatโ€™s in the USMCA

Much of USMCA simply updated the 25-year-old NAFTA.

One of the biggest changes was a new incentive to build cars and trucks in North America. USMCA requires 75% of a vehicleโ€™s parts to be made in one of the three countries โ€“ up from the previous 62.5% rule โ€“ in order to remain free from tariffs when moving across borders.

It also required more vehicle parts to be made by workers earning at least $16 an hour.

The trade deal created sweeping new benefits for the technology sector, in a chapter on digital trade that wasnโ€™t part of the original NAFTA.

Strong labor rules and environmental protections were also included.

The-CNN-Wire
โ„ข & ยฉ 2024 Cable News Network, Inc., a Warner Bros. Discovery Company. All rights reserved.

Related Articles

Trump tries to force other countries to negotiating table on immigration and trade with promise to hike tariffs GM and other US automakers would take big hit from Trump tariffs Trump tariffs would harm all involved, US trade partners say Trump ups the ante on tariffs, vowing massive taxes on goods from Mexico, Canada and China on Day 1
Share This

Popular

Business|Environment|Europe|Political|World

Peruvian farmer takes German energy giant RWE to court in landmark climate case

Peruvian farmer takes German energy giant RWE to court in landmark climate case
Americas|Business|Economy|Political|World

New Canadian Prime Minister Mark Carney seeks alliances in Europe as he deals with Trump

New Canadian Prime Minister Mark Carney seeks alliances in Europe as he deals with Trump
Asia|Business|Economy|Food|World

โ€˜Made in Russiaโ€™ goods are the new craze in China

โ€˜Made in Russiaโ€™ goods are the new craze in China
Asia|Business|Crime|Lifestyle|World

Dolls, vodka and chocolate: See why Russian shops are opening up across China

Dolls, vodka and chocolate: See why Russian shops are opening up across China

Economy

Business|Economy|Political|Technology|US

DOJ antitrust head targets pricey consultants amid DOGE cost cutting

DOJ antitrust head targets pricey consultants amid DOGE cost cutting
Business|Economy|Europe|Finance|Political

Budget committee approves Germany's massive borrowing plans

Budget committee approves Germany's massive borrowing plans
Business|Economy|Europe|Political|US

Rubio says US could engage in new trade deals after tariffs imposed

Rubio says US could engage in new trade deals after tariffs imposed
Economy|Finance|Political|Stock Markets|US

Bessent says there are 'no guarantees' there will not be a US recession

Bessent says there are 'no guarantees' there will not be a US recession

Access this article for free.

Already have an account? Sign In