A component of the U.S.-Mexico-Canada agreement, the remade NAFTA gives the U.S. virtual veto power over any bilateral deal Canada or Mexico may wish to reach with a non-market country, such as China. Coalition for a Prosperous America CEO Michael Stumo says that’ s one of the positives in the new trade deal between the three countries.
He says while he likes that provision of the USMCA, he doesn’t think it’ll bring China to the table to resolve the present trade war with the United States.
Stumo says overall the USMCA is a good trade deal and for agriculture there weren’t many changes from the old NAFTA.
The Chinese are already complaining about the veto provisions as Canada is their second largest trading partner and Mexico is the fourth largest.
