On December 10, 2019, a revised version of the USMCA was agreed upon and signed by the United States, Mexico and Canada. The USMCA, which is set to modernize the North American Free Trade Agreement (NAFTA), was initially agreed upon and signed in 2018. USMCA updates provisions on agriculture, automobiles, textiles, apparel, rules of origin, communications technology, intellectual property rights, low-value shipments, digital trade, currency and other issues.
The initial agreement faced challenges within the U.S. Congress. Through congressional negotiations, the agreement was strengthened by improving provisions on enforcement, environment, labor and pharmaceuticals. After agreement by Congress was reached on December 10, representatives of the three countries (U.S., Mexico and Canada) met in Mexico to sign the revised agreement later that same day.
The USMCA, which has already been ratified by Mexico, will now need to be ratified by both Canada and the United States. Shortly after the signing, United States Trade Representative Robert Lighthizer said, “…we have created a deal that will benefit American workers, farmers and ranchers for years to come. This will be the model for American trade deals going forward.”
For more information, contact your local Noatum Logistics (Formerly MIQ Logistics) representative.