- The United States and Canada have agreed to a deal replacing the North American Free Trade Agreement, according to a senior U.S. administration official.
- The new deal has been deemed the USMCA — the United States-Mexico-Canada Agreement — the official says.
- Canada, America’s second largest trading partner, was left out when the U.S. and Mexico reached a preliminary deal in late August to revamp NAFTA.
The United States and Canada agreed to a deal to replace the North American Free Trade Agreement shortly before a midnight deadline.
The 24-year-old NAFTA, which President Donald Trump railed against as a disaster, will be replaced by the USMCA — the United States-Mexico-Canada Agreement.
Trump tweeted his approval Monday morning for what he called a “wonderful” trilateral agreement:
“Congratulations to Mexico and Canada!
Late last night, our deadline, we reached a wonderful new Trade Deal with Canada, to be added into the deal already reached with Mexico. The new name will be The United States Mexico Canada Agreement, or USMCA. It is a great deal for all three countries, solves the many deficiencies and mistakes in NAFTA, greatly opens markets to our Farmers and Manufacturers, reduces Trade Barriers to the U.S. and will bring all three Great Nations together in competition with the rest of the world. The USMCA is a historic transaction!”
In a joint statement, U.S. Trade Representative Robert Lighthizer and Canadian Foreign Affairs Minister Chrystia Freeland said the agreement “will strengthen the middle class, and create good, well-paying jobs and new opportunities for the nearly half billion people who call North America home.”
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