On October 2nd, President Trump announced a successful renegotiation of NAFTA, the previous trade deal that President Trump called the worst deal ever for the U.S. worker. The new USMCA which will replace NAFTA as soon as Congress signs its approval, will give workers an opportunity for more prosperity for themselves and their families under the new trade deal. Workers involved in Mexican car manufacture, for example, under the USMCA will get a wage floor so that they will be able to earn more and this provision also supports more car manufacture sites in the U.S. by evening out wages across trade partnership nations.
Renegotiation of the trade partnership between Mexico, Canada and the U.S. also resonates well with the new tax strategies that the Trump administration passed earlier this year. Both of these successful negotiations support better conditions for workers in the U.S. by changing our approach to trade. When other nations are penalized for their tariffs against American products they are brought to appreciate the consequences of unfair trade. There has been a need in America for fairer trade since NAFTA was passed. If Congress approves the USMCA they will help global trade and U.S. trade and U.S. jobs.
President Trump pointed out in his Tuesday speech which announced the success of the renegotiation that without the threat of tariffs he would not have been able to apply pressure to bring trading partners to the table. It looks like President Trump has succeeded in the NAFTA renegotiation and hopefully, Congress will support his efforts.