💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

Trump Says New Nafta Ends Competition With Canada and Mexico

Published 06/20/2019, 02:36 PM
Updated 06/20/2019, 03:00 PM
© Reuters.  Trump Says New Nafta Ends Competition With Canada and Mexico

(Bloomberg) -- The new trade deal between the U.S., Canada and Mexico will allow the countries to compete as a region against the European Union and China, President Donald Trump said.

Trump struck a collaborative tone during a meeting with Prime Minister Justin Trudeau on Thursday, as the U.S. president hailed a deal with two countries whose trade practices he’s regularly criticized in the past. The U.S.-Mexico-Canada Agreement, or USMCA, is great for farmers, manufacturers and workers, he said.

“This brings us into a position where we’re not competing with each other, we’re competing against the world,” Trump told reporters in the Oval Office on Thursday at the start of his meeting with Trudeau. “We’re competing with the European Union, we’re competing with China, it gives us a bigger dialog, it gives us a much bigger platform. It’s really good for all three.”

Trump, Trudeau and former Mexican President Enrique Pena Nieto signed the USMCA deal late last year after grueling talks in which Trump regularly said Canada and Mexico were taking advantage of the U.S. He often threatened to abandon the pact USMCA will replace, the North American Free Trade Agreement.

Mexico has ratified the new deal, leaving the U.S. and Canada to do the same. Democrats are seeking some changes, but Trump said be believed it would eventually pass Congress.

“Let’s see what happens, but I really believe that Nancy Pelosi and the House will approve it, I think the Senate will approve it rapidly,” he said, referring to Pelosi, the House speaker. He said that he thought politics was holding up a vote.

“The day after the election, it would win with tremendous support but we have an election coming up,” he said. “But I think Nancy Pelosi’s going to do the right thing.”

The Trump administration is urging Congress to approve the trade deal before lawmakers leave for their monthlong August recess. But House Democrats have identified four areas they want to address before the USMCA is put to a vote: labor, the environment, pharmaceuticals and an enforcement mechanism for the overall deal.

House Ways and Means Chairman Richard Neal, the Massachusetts Democrat leading the negotiation, expressed optimism that his colleagues could come to an agreement with the Trump administration, but he warned against rushing.

Canada’s House of Commons adjourned for its summer break on Thursday, as Trudeau was in Washington to meet with Trump, Pelosi and Senate Majority Leader Mitch McConnell. Trudeau has said he could recall lawmakers this summer to pass the deal as needed, and reiterated his position that he’d move as quickly as the U.S. does.

“We’re moving forward on the ratification process aligned with you,” Trudeau told Trump Thursday.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.