Trump’s Victory Over Colombia Less Clear as Details Emerge
Early Saturday morning, news outlets declared that President Donald Trump had won a major victory over Colombia in the USMCA trade deal. The deal aimed to replace the North American Free Trade Agreement (NAFTA) and provide a boost to American manufacturing and agriculture.
However, as the details of the agreement emerge, the victory is looking less clear-cut. The US, Mexico, and Canada have signed an agreement that many call a rebranding of the original deal, rather than a major overhaul.
Under the new agreement, the US has given in on several key issues, including the demand for a sunset clause that would have allowed it to withdraw from the pact every six years. Mexico and Canada, on the other hand, have not given up on issues such as the dispute resolution mechanism and the rules of origin.
While the US has secured some wins, including measures to help some US agricultural producers, it has also given up on others, such as the demand to eliminate dispute resolution mechanisms that could have been used to challenge Canada’s dairy policies.
The agreement also includes a provision that will allow Mexico to keep in place a ban on US corn and chicken imports, which is a major blow to American farmers. The pact also includes some language that will make it harder for US companies to require businesstype services for the development of renewable energy projects in Mexico.
While the agreement has garnered some support from American manufacturers, many are underwhelmed by the deal. Some are calling it a missed opportunity and a watering down of the original agreement.
The House of Representatives is expected to vote on the deal next week, but it is unclear if the Congress will give the president the support he needs to get the deal through.
