United States Mexico Canada Free Trade Agreement

National procedures for ratifying the agreement in the United States are governed by the legislation of the Trade Promotion Authority, which is also known as the fast-track authority. The CUSMA results, signed on the sidelines of the G20 of Heads of State and Government in Buenos Aires in November 2018, preserve key elements of long-term trade relations and contain new and updated provisions to address 21st century trade issues and foster opportunities for the nearly half a billion people who call North America at home. An April 2019 Analysis by the International Trade Commission on the likely effects of the USMCA estimated that the agreement would increase U.S. real GDP by 0.35 percent if the agreement were fully implemented (six years after ratification) and would increase total U.S. employment by 0.12% (176,000 jobs). [114] [115] The analysis cited by another Congressional Research Service study showed that the agreement would not have a measurable effect on employment, wages or overall economic growth. [114] In the summer of 2019, Larry Kudlow, Trump`s chief economic adviser (the director of the National Economic Council at Trump White House), made unfounded statements about the likely economic impact of the agreement and overstated forecasts related to jobs and GDP growth. [114] The Trump administration`s office proposed the USMCA citing new digital trade measures, strengthening the protection of trade secrets and adapting the rules of origin of the automobile among the benefits of the trade agreement. [112] In particular, the chapter has the most robust trade secrets protection of a previous U.S. trade agreement. It includes all the following safeguards against the misuse of trade secrets, including by state-owned enterprises: civil proceedings and remedies, criminal proceedings and sanctions, prohibitions on obstruction of the licensing of trade secrets, judicial proceedings to prevent the disclosure of trade secrets during the judicial proceedings and sanctions against government officials for unauthorized disclosure of trade secrets. The USMCA establishes the highest level of a U.S. trade agreement for strong and effective protection and enforcement of intellectual property rights.

This is a significant enhancement of NAFTA. Nevertheless, in December 2019, following negotiations on the revision of the USMCA text signed in November 2018, substantial changes were made to Chapter 20 of intellectual property. Milk regulations give the United States duty-free access to 3.6% (compared to 3.25% under the unregord Trans-Pacific Partnership) for $15.2 billion (in 2016). [39] [40] Canada has agreed to abolish Class 7 pricing rules for certain dairy products, while Canada`s national supply management system is still in place. [41] Canada has agreed to increase the ban on purchases from the United States from $20 to $150 to allow Canadian consumers to access the U.S. market duty-free. [42] On December 10, 2019, the three countries reached a revised USMCA agreement.