Canadian Dairy Farmers Aren't Happy With U.S. Trade Deal. Here's Why

Saskatchewan steel workers feel

"I certainly wouldn't rule out an agreement being reached with China, but I don't think that the US-Mexico-Canada Agreement provides a template that can be used in discussions with the Chinese", Winograd added.

They say the newly-named United States-Mexico-Canada Agreement, or USMCA, will result in freer markets and fairer trade.

Vermont Sen. Bernie Sanders, an independent who sought the 2016 Democratic presidential nomination, said that while the plan included "some improvements that could be good for USA workers, it lacks enforcement mechanisms that are necessary for these policies to succeed".

And while the two agreements are quite similar, two of the most notable changes include Canada agreeing to grant U.S. farmers greater access to its dairy market and limit its automotive exports to the US.

He and Chrystia Freeland, the global affairs minister and lead negotiator in the talks to update the North American Free Trade Agreement, achieved none of the things they identified as Canadian goals, such as making it easier for professionals to work in the USA and Mexico.

Kind of. The major USA stock indexes showed gains this morning, with the Dow rising more than 250 points (a gain of almost 1 percent.) But Julia Coronado, an economist and the founder of the company MacroPolicy Perspectives, told us that while this market rally is probably a reaction to the agreement, the pact itself is rather "unimpressive".

A protectionist policy under the Mr Trump has seen the United States forge ahead with individual trade deals, rejecting bigger multi-lateral trade agreements and posing a challenge to decades of global free trade.

The new agreement, called the United States-Mexico-Canada Agreement (USMCA), is aimed at bringing more jobs into the United States, with Canada and Mexico accepting more restrictive commerce with the US, their main export customer.

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It offers Canada protection if Mr Trump goes ahead with plans to impose tariffs on cars, lorries and vehicle parts imported into the United States.

Prime Minister Justin Trudeau said it was a "good day for Canada". Since being implemented, the agreement has come under criticism for making it easier to export to the other two countries.

Asian manufacturers could find it harder to sell their products in American markets under a new deal signed by the United States, Mexico and Canada, and could risk long-term isolation in key industries, analysts say.

"It takes a cloud and lifts it off the Canadian economy", said Bruce Heyman, the former US ambassador to Canada. The association notes that this aspect of USMCA is beneficial for manufacturing customers that produce goods from scrap commodities processed in North America since they will be able to include scrap as part of the new 60 percent transaction value (or 50 percent of cost) cumulation threshold for duty-free trade within North America. "I have never seen anything like that in a trade agreement".

Trudeau and Trump entered into a war of words that began in May, after Trump imposed tariffs on Canadian aluminum and steel. "We understand how important it is to engage, to exchange, to grow our economies to the benefit both of ourselves and the countries we partner with".

He said Canada is also aiming to remove interprovincial trade barriers for "frustrated" Canadians as it works with all provinces including two new governments - in Quebec and New Brunswick.

The leaders of the three countries are expected to convene before the end of November to sign the deal, which will allow outgoing Nieto to sign the new agreement before his successor Andres Manuel Lopez Obrador takes office in December. Uncertainty over the fate of NAFTA talks had threatened to batter Mexico's currency and economic outlook. Jim Balsillie, the former co-chief of Research in Motion, said NAFTA might have a new name, but retains the same old flaws. This new agreement once again weakens the dairy sector which, among other things, employs more than 220,000 Canadians and contributes some 20 billion dollars a year to Canada's gross domestic product. "And those who did will have serious questions that they need answered before doing so again".

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