After a year of negotiation, the North American Free Trade Agreement was updated. This agreement involves not only the United States, but also Canada and Mexico. This agreement first came to light in 1994 and governs more than $1.2 trillion worth of trade. The new changes that will be made will not go into effect until the year 2020.
One of the changes that will take place is first and foremost a name change. The trade agreement will now be the United States-Mexico-Canada-Agreement (USMCA). Another main purpose of the new deal is to get rid of tariffs. In 2020 more car and truck parts will be made in either the US, Mexico, or Canada. It will be required for at least 75 percent of the parts to be made in any of the three nations.
Not only does this deal involve the parts, but it also involves the employees. It is going to increase their pay to at least $16 an hour. This will be an amazing boost to the economy. It is not only going to help the economy, but the environment as well. The USMCA is going to require higher safety regulations for transporting goods over from Mexico to the US. It is also going to make it more easier to organize and form a union for the Mexican workers.
Will the deal will help the nations? Will it help the economy? Did the deal need to be updated?
I think that this deal will help all three nations in one way or another. I also feel like this will help boost the economy because of the new trade coming in and going out. I think that the deal should have been updated because it makes it easier for workers to be represented and set better safety regulations.
ReplyDeleteIt is good to see this happen. The wage increase will be nice for the workers. I think that this trade deal will do good for our economy. I also really like the new name!
ReplyDeleteI believe that it will benefit all three nations exponentially. They will bring more money to all three nations and as well as keep jobs close.
ReplyDeleteI think this will be good for all three nations. Lowering tariffs will decrease the price of products and encourage people to purchase them which will aid the economy of all three nations. This deal also decreases outsourcing which will thus help the economy even further.
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