Trump Signs USMCA Agreement
Deal will require ratification by all three countries' legislatures before taking effect
President Trump, Canadian Prime Minister Justin Trudeau and Mexican President Enrique Peña Nieto signed the new U.S. Mexico Canada Agreement — or USMCA — in Buenos Aires Friday, using the backdrop of the G-20 Summit to resolve a trade dispute between America and its closest neighbors reports NPR.
The USMCA (read the whole text here) replaces the North American Free Trade Agreement, which had created a free trade zone between the three countries back in 1994. The deal will require ratification by all three countries' legislatures before taking effect.
The USMCA deal emerged in early October, months after President Trump hit Mexico and Canada with tariffs on their steel and aluminum products. That move set off retaliatory tariffs and intense negotiations to create a new trade pact.
"The ceremony Friday to sign the USMCA is an important next step in the new pact's final approval and the process of modernizing the most important trade agreement to U.S. grain farmers and exporters," says U.S. Grains Council President and CEO Tom Sleight. "In the latest marketing year, Mexico and Canada again proved to be top buyers of U.S. feed grains in all forms, and both countries still hold significant potential for market expansion given the right trade policy frameworks and the robust market development we intend to undertake there with our partners."