Canada, Mexico, and the United States have clinched a deal to revise and replace the North American Free Trade Agreement (NAFTA), the trade accord that has governed regional cross-border commerce since 1994. The updated accord has been rebranded as the US-Mexico-Canada Agreement (USMCA) and will need to be signed and ratified to enter into force, a process that will last through at least early 2019. News that Canada and the United States had reached a deal broke on Sunday 30 September, just before that day’s deadline for the US and Mexico to release the text of a preliminary accord that they had reached among themselves in late August. Washington and Mexico City had spent much of July and August negotiating between themselves on key issues of shared bilateral interest, with Ottawa and Washington then resuming bilateral talks thereafter. (See Bridges Weekly, 13 September 2018 ) Leaders from the three countries are now aiming to sign the deal by the end of November, before Mexican President Enrique Peña Nieto’s term in office ends. Ratification is not expected before 2019 at the earliest, due to domestic legislative requirements in the countries involved. For example, the US Trade Promotion Authority (TPA) legislation sets...
Review: US-Mexico-Canada Trade Deal Draws Scrutiny as Partners Prep for Signature, Ratification Processes
Theme: GLOBAL ECONOMIC GOVERNANCE
Tags: NAFTA, Global Economy, NAFTA, Regional Trade Agreements (RTAs)