Trump replaces NAFTA and triumphs -- New trade deal with Mexico is YUGE win for both countriesFox News, Aug 27, 2018, Christian Whiton
President Trump won a major victory on trade on Monday, supplanting the North American Free Trade Agreement (NAFTA) and replacing it with something far more beneficial. The new deal will help American workers and manufacturers. It’s also a win for Mexico.
One of the most fundamental parts of Trump’s campaign for president was his promise to change America’s deeply flawed trade arrangements. These deals left us with massive $500 billion trade deficits—a huge drag on the economy—and devastated forgotten communities across America that are dependent on manufacturing jobs.
Second only to the booming economy, Monday’s announcement of a deal with Mexico is the most visible manifestation of Trump’s fulfilment of his campaign promises. Last year, the USA had a large $71 billion trade in goods deficit with Mexico, owing in part to much lower worker pay. This new deal will limit Mexico’s ability to take U.S. manufacturing jobs by underpaying workers.
Another key part of the new trade deal increases the percentage of a car that must be made in North America to qualify for lower-tariff import into the USA. This will be a major boon to American automotive workers and that industry’s domestic supply chain.
More broadly, the deal vindicates Trump’s approach to trade, which has been lambasted by voices ranging from Wall Street to the national security establishment to the Chamber of Commerce, as well as mavens from both political parties.
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http://www.foxnews.com/opinion/2018/08/27/trump-replaces-nafta-and-triumphs-new-trade-deal-with-mexico-is-yuge-win-for-both-countries.html
