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Collins lauds signing of new trade deal with Mexico and Canada

By Howard B. Owens

Press release:

Congressman Chris Collins (NY-27) praised President Trump and his administration for officially signing a new United States-Mexico-Canada Agreement (USMCA).

USMCA will make significant changes to the North American Free Trade Agreement (NAFTA) that will put the United States on more equal footing with the other nations. Specifically with regard to the dairy industry, Canada’s pricing program has created an unfair playing field and has essentially eliminated U.S. exports of certain dairy products, harming Western New York’s dairy industry.

“President Trump promised better trade deals and he has delivered replacing NAFTA which has caused our region to hemorrhage good paying manufacturing jobs for some time now,” Collins said. “Not only will this new treaty help with manufacturing, but it protects American farmers from burdensome tariffs and regulations.”

Collins has led the fight to end Canada’s unfair Class 7 pricing program, which has severely impacted New York dairy farmers. Under USMCA, Canada has agreed to eliminate this program in order to level the playing field between the United States and Canada while allowing our dairy producers the ability to expand sales overseas.

“With this barrier being struck down, Western New York dairy farmers are now able to compete fairly in Canada, and I thank the president for working to ensure NY-27 farmers are treated fairly,” Collins said.

Outside of the dairy industry, the new trade agreement will increase the production of American goods and services. The agreement requires that 75 percent of auto content be produced in North America and makes critical reforms that will boost auto workers’ wages. Additionally, the USMCA includes strong labor provisions that prioritize and protect American manufacturing jobs.

Furthermore, the agreement provides strong protection and enforcement of intellectual property rights. This includes 10 years of data protection for biologic drugs and a large scope of products eligible for protection. These reforms are critical to driving innovation, creating economic growth, and supporting American jobs.

Collins added: “By signing the USMCA, President Trump has fulfilled yet another campaign promise for the American people. Our country has been rightfully restored to a leader on the world stage, and I will continue to work with the White House and Republicans in Congress to uphold and advance the Make America Great Again agenda.”

Howard B. Owens

Actually, USMCA isn't all that different from NAFTA, and what is different is primarily provisions copied from TPP, which Trump killed.

In the past, Trump has always measured trade success by the existence of a trade deficit. Under USMCA, we will still run a large trade deficit with Mexico.

Meanwhile, you'll pay more for new cars, and probably because an increase in tariffs not because manufacturers are going to upset their supply chains.

The dairy provisions are an improvement but only on the margins. It won't have a huge impact on milk supplies.

The labor provisions are unenforceable, which is why labor unions in the US are lining up to oppose the deal.

This isn't a done deal. There is Republican opposition in both the House and Senate. If the lame duck session doesn't ratify it then Trump will have to get it through a House with lots of newly elected Democrats who oppose him (not to mention the aforementioned union opposition).

https://reason.com/blog/2018/11/30/the-nafta-rewrite-is-deeply-flawed-a…

Nov 30, 2018, 4:44pm Permalink

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