USMCA Trade Agreement is a trade deal between the United States, Mexico, and Canada.
President Donald Trump tweeted that the deal represented “one of the most important, and largest, Trade Deals in the U.S. and World History.”
The USMCA will account for more than $1.2 trillion in trade in one of the world’s largest free trade zones.
David Reischer CEO and Founder at LegalAdvice.com in NY says- “It appears from a preliminary analysis of the USMCA Trade Agreement that the deal is a good first step to solidifying our relationship with our northern and southern neighbors,” he writes in an email. “Consumers and businesses that have benefited from low-cost China finished goods are the losers of the USMCA.”
Here are some points from the deal
This agreement restricts the US, Mexico, and Canada to negotiate trade deals with non-market countries like China.
A small business that import finished goods from China can lose. It is so because tariffs are going to increase in the future for companies that import finished good.
Automobiles must have 75 percent of their components manufactured in Mexico, the US, or Canada to qualify for zero tariffs. Up from 62.5 percent under NAFTA
The US got Canada to open up its dairy market to US farmers, American dairy farmers get an extra 3.6% more accessibility to Canadian markets.
For more details, you can check out the BBC article.