The newly formed United States-Mexico-Canada Agreement (USMCA) is finalized, and the three member nations will now shift their focus to implementation. While many of the agreement’s main provisions won’t take effect until 2020, it is critical for U.S. businesses to understand the new 34-Chapter USMCA. (more…)
Baker Donelson’s Trade and Compliance attorneys capped off their 2017 trade watch series with a year-end analysis of lessons learned during the first year of the Trump Administration, along with thoughtful projections of what we may expect in the coming months. With 2017 now behind us, we look ahead at what may be in store for trade after the withdrawal from the Trans-Pacific Partnership Agreement (TPP), sanctions involving Iran and Cuba, and NAFTA negotiations in 2018. Read our analysis here.
On October 17, 2017, trade representatives from the United States, Canada, and Mexico wrapped up the fourth round of negotiations concerning the North American Free-Trade Agreement (NAFTA) in Washington D.C. The latest round of negotiations were openly contentious, and a trilateral statement issued by the nations’ respective trade representatives noted that the “[n]ew proposals have created challenges” and that “significant conceptual gaps” exist amongst the current NAFTA parties. After four rounds and 22 days of negotiations, U.S. Trade Representative Robert Lighthizer stated that he was “[s]urprised and disappointed by the resistance to change from our negotiating partners.” In fact, at least five U.S. proposals have reportedly drawn pushback from our North American neighbors, leaving the parties far apart heading into the fifth round of negotiations scheduled for November in Mexico City. (more…)
Canada and Mexico have now appointed negotiating teams of seasoned professionals. Canada also has created a NAFTA Council comprised of public and private sector experts from the energy, auto, labor and agricultural fields. Negotiations will begin in the U.S. during the week of August 16. The next round has already been set to take place in Mexico for the week of September 10. Mexico would like the talks completed by the end of the year, well ahead of the 2018 Presidential election next July. The U.S. has so far acquiesced to such a schedule; however, the Canadians may not be as accommodating. (more…)