New Revised Version of NAFTA announced by Trump

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On Monday, the U.S President Donald Trump said that the United States and Mexico have reached an agreement to revise key points of the NAFTA (North American Free Trade Agreement) and it will be finalized within a couple of days. President Trump has promoted the introductory agreement with Mexico as a deal. It could restore NAFTA and threatened to hit Canada with auto tariffs after not negotiating fairly. Trump said that we are going to call it the United States-Mexico Trade Agreement, instead of NAFTA. He also added that North American Free Trade Agreement has been considered the worst trade deal in the history as it had a bad reference for the United States. The U.S President is trying to change the name, but the new agreement with Mexico is just a revised version of Nafta.

The new version of the agreement includes the provisions surrounding the digital economy, agriculture, automobiles, and labor unions. This new agreement will allow American companies to operate in Mexico and Canada without tariffs. The willingness of the U.S President to move on without Canada initiated concern and confusion among legislators. The president and chief executive of the National Association of Manufacturers, Jay Timmons said in a statement that the massive amount of movement of goods among the U.S, Canada, and Mexico and the integration of the operations make manufacturing more competitive in the United States. The officials of Mexico said on Monday that they needed to have Canada back in the process and working toward a trilateral deal by the end of the current week.