President Donald Trump has signed into law the “United States-Mexico-Canada Agreement Implementation Act,” which replaces the outdated North American Free Trade Agreement (NAFTA), making good on his promise to deliver fairer and more reciprocal trade for the American people.
“Today, we’re finally ending the NAFTA nightmare and signing into law the brand-new U.S.-Mexico-Canada Agreement. Very special. Very, very special,” President Trump said at a signing ceremony on Wednesday, Jan. 29.
“The USMCA is the largest, fairest, most balanced, and modern trade agreement ever achieved. There’s never been anything like it,” the president said.
“This is a colossal victory for our farmers, ranchers, energy workers, factory workers, and American workers in all 50 states,” President Trump said, adding that the deal would add another 1.2% to the GDP and create countless new jobs for Americans.
“For the first time in American history, we have replaced a disastrous trade deal that rewarded outsourcing with a truly fair and reciprocal trade deal that will keep jobs, wealth, and growth right here in America,” he said.
According to the White House, the NAFTA agreement resulted in the loss of millions of American jobs and devastated communities across the United States.
Meanwhile, the USMCA has the potential to create nearly 600,000 jobs and generate up to $235 billion in economic activity. This agreement is expected to benefit workers in all sectors of the economy.
Under the USMCA, American farmers and ranchers will have larger access to Canadian and Mexican markets to export their goods. The agreement is expected to help increase American agricultural exports by $2.2 billion.
The deal is also expected to create up to 76,000 new jobs in the auto industry, spur $34 billion in new investment in the sector, and add $23 billion in auto parts purchases annually.
The USMCA contains new protections for American intellectual property, ensuring strong, effective protection for American innovators and creators. It also includes the strongest environmental standards of any trade agreement in U.S. history.