Trade deal with Canada 'new dawn' for auto industry
- Author: Zachary Reyes Oct 05, 2018,
Oct 05, 2018, 13:18
"These piecemeal compensations could end up being far, far more than what it would actually cost to dismantle supply management in its entirety", Hall Findlay said.
Prime Minister Justin Trudeau says dairy farmers will be compensated for their expected losses under the new United States-Mexico-Canada Agreement, making the pledge directly at a meeting with their representatives on Thursday.
President Donald Trump retained the so-called "Section 232" national security tariffs that he has used to impose tariffs on cars built in Asia and Europe. "Can't have that", Trump said at a campaign rally in IN in August.
For Trump, the agreement offered vindication for his hardline trade policies that have roiled relations with China, the European Union and America's North American neighbors while causing concerns among Midwest farmers and manufacturers anxious about retaliation. "The true value of our industry I don't think has been taken into account and as a result, we are giving up additional access".
John Maxwell is a dairy farmer in Donahue, Iowa.
"Without tariffs we wouldn't be talking about a deal", Mr Trump said.
According to US legal definitions, a non-market economy is one that "does not operate on market principles of cost or pricing structures, so that sales of merchandise in such country do not reflect the fair value of the merchandise". "There are really no poison pills in here for Democrats".
This was with the objective of keeping the production of auto parts in the USA and help bring back some that had moved overseas.
Trump's primary objective in reworking NAFTA was to bring down USA trade deficits, a goal he has also pursued with China, by imposing hundreds of billions of dollars in tariffs on imported goods from the Asian giant.
The new agreement gives the USA greater access to Canadian dairy and addresses Trudeau's concerns about auto tariffs, which will effectively cap how many Canadian vehicles are imported to the U.S.
"They told me they were anxious".
Does the federal government have an engagement plan with the U.S.to ensure tariffs on Canadian steel and aluminum are lifted, and to ensure no future tariffs are issued under Section 232?
"This deadline was real", according to a senior USA official. It is a great deal for all three countries, solves the many ...
- Aiding farmers by curbing Canada's high tariffs and low quotas on US dairy products.
Foreign Affairs Minister Chrystia Freeland has insisted the clause is no big deal.
Dairy was a major sticking point during negotiations.
The United States has also been granted access to Canada's egg and poultry markets.
"The milk part of this agreement is a huge win for the United States dairy farmer", Maxwell said.