President Trump, Trudeau Make Another Push for USMCA Passage

June 24, 2019 02:22 PM

President Trump and Canadian Prime Minister Justin Trudeau are trying to show a united front in an effort to get a replacement for NAFTA over the finish line.

Trudeau visited President Trump at the White House last week. Both sides are trying to bring attention to the new U.S.-Mexico-Canada Agreement.  Mexico last week became the first of the three nations to ratify the deal.  As for the U.S., it comes down to whether Democratic House Speaker Nancy Pelosi will bring to a vote a bill that would implement changes necessary to enact the plan.

Trudeau rejected the idea of reopening the deal in order to make changes. Trudeau said, "We still have some outstanding issues to resolve on the trade front, like the imposition of American duties on Canadian softwood lumber.  Now, our industries depend on the flow of goods between our two countries.  For instance, Canada is a stable and reliable source of uranium for American civil nuclear reactors, so at the end of the day maintaining access is important for Canada and the U.S. alike.  President Trump and I agreed to continue working together to address these issues as well as other challenges we both face, like steel and aluminum dumping and other unfair trading practices".

President Trump sounded optimistic about the new agreement getting approval.  He said, "I really believe that Nancy Pelosi and the House will approve it.  I think the Senate will approve it rapidly.  It's going to be very bipartisan.  It's great for the farmers, manufacturers. It's really great for everybody and unions. It's great for unions".

President Trump went on to call the USMCA a "phenomenal deal" for America.  The administration would like lawmakers to approve it before the end of the year.

Even though the Canadian Prime Minister is touting USMCA, the Canadian dairy industry is not pleased with the verbiage.  The industry has been vocal over the past couple of months, saying the country is already giving up some of its dairy industry with other trade deals.  They say USMCA is another direct hit to the dairy industry, as Canada give up more market access to the United States in the deal.

However, Canadian journalists anticipate USMCA to still be ratified in Canada. Shaun Haney is with "RealAgriculture" in Canada.  He said, "The industry is still kind of looking for what the next steps are going to be moving forward.  I think reality has set in that USMCA is going to go ahead and so it's up to the Canadian dairy industry to go ahead and figure out what their long-term solution is".

The verbiage in the new deal changes the rules with Class 7 milk.  If you remember, Canada curbed imports of U.S. Class 7 milk into the country.  Co-ops and processors had to drop U.S. dairies due to the limitation of imports to Canada. 

At the same time, the U.S. dairy industry considers the deal a win.


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Spell Check

PJ Jahn
Ptown, IL
6/24/2019 07:02 PM

  Seems as the sticking points now are the same reasons the Lying Conman used for doing away with the old NAFTA agreement? Promises made, promises kept, eh?

Trenton, TN
6/24/2019 04:11 PM

  Good luck getting getting it through Congress if it's up to Pelosi. There are people in nursing homes who can out think her.

uptown, IN
6/24/2019 10:05 PM

  Canada Did NOT curb US milk from going to Canada for their Class 7 market. It is because the yankees found a loophole in the previous US/Canada trade agreement, to ship ultrafiltered milk (it is not even approved by USDA for domestic consumption) to Canada. NO tariffs or duties are imposed. Strictly based upon a $ competitive structure. And still is. But our US ag media, including AgWeb cannot investigate and tell the truth. After several years, Canada finally created a Class 7, for the US altered milk product. And, Doug, that is exactly where Nancy belongs.


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