USMCA and how it might affect attitudes in the long term

USMCA and how it might affect attitudes in the long term

Postby N. American Reality » Oct 04, 2018 3:39 am

Well, a new agreement on trade is going to replace NAFTA by 2019, if all things go as planned. I haven't read all the details but one of the big takeaways is that automobile have to have at least 75% of parts assembled in a North American country to be considered made in North America. Another one is opening the market for dairy products made in the U.S. for the Canadian market.

Anyway, I'm more interested in the political than the economic ramifications of the trade agreement. One thing that jumps to be is that the USMCA, while it's a change from NAFTA, brings into reality the interconnections of the three countries involved. There was this noise that we would just rip up the NAFTA agreement so to then have bilateral trade relations. However, I think the business interests manage to overcome that barrier.

The real test would be whether this agreement lasts longer than NAFTA and, if it does, would this mean that people over time would accept closer economic cooperation which would then lead to closer political cooperation.

Perhaps people in Canada within thirty years would look to the USMCA as a proof of the reality of the interconnection of the economies and then decide it would be advantageous to seek a closer political cooperation.
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Re: USMCA and how it might affect attitudes in the long term

Postby Fat Tony » Oct 05, 2018 8:26 pm

I suspect that as in all the previous treaties, reciprocity will last as long as it works for the majority stakeholder. Pretty echoey in here these days lol.
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