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Offbeat Two cheers for Trump's trade agreement with Mexico

18:26  29 august  2018
18:26  29 august  2018 Source:   msn.com

Trump wants a hug from Mexican president. Who knew?

  Trump wants a hug from Mexican president. Who knew? President Donald Trump wants a hug from Mexican President Enrique Pena Nieto. Load Error

So, two cheers for Trump ’ s revamped free- trade agreement with Mexico , announced Monday, and the one he may get soon with Canada. Trump seems readier to compromise these days with Europe, too, another positive shift after 20 months of intermittent trade tantrums.

President Trump , Canadian Prime Minister Justin Trudeau and Mexican President Enrique Peña Nieto signed the new U. S . Mexico Canada Agreement — or USMCA — in Buenos Aires Friday, using the backdrop of the G-20 Summit to resolve a trade dispute between America and its closest neighbors.

President Trump talks with Mexican President Enrique Peña Nieto on the phone on Monday.© Shawn Thew/EPA-EFE/Shutterstock President Trump talks with Mexican President Enrique Peña Nieto on the phone on Monday.

Editor’s note: The opinions in this article are the author’s, as published by our content partner, and do not necessarily represent the views of MSN or Microsoft.

The best thing that can be said about President Trump’s latest trade initiative is that it moves the United States back toward the kind of agreements Trump unwisely blew up when he became president.

Here's how the US-Mexico trade deal would differ from NAFTA

  Here's how the US-Mexico trade deal would differ from NAFTA President Donald Trump wants to sign a new trade agreement with Mexico and toss the name “NAFTA” into the dustbin of history. President Donald Trump wants to sign a new trade agreement with Mexico and toss the name “NAFTA” into the dustbin of history.

WASHINGTON — President Trump said on Monday that the United States and Mexico had reached an accord to revise key portions of the North American Free Trade Agreement and would finalize it within days

The Trump administration said Monday it had reached a new, 16-year trade deal with Mexico , setting in motion a rapid chain of events that could redraw the world’s largest trade agreement . The next phase of negotiations will pose a major test for Trump ’ s unique style of diplomacy, which has shown

So, two cheers for Trump’s revamped free-trade agreement with Mexico, announced Monday, and the one he may get soon with Canada. He wants to rebrand the package, of course, so that it’s not called NAFTA (“bad connotations!”). But the preliminary update includes labor and environmental standards somewhat like those that President Barack Obama wanted to add to NAFTA — and made the centerpiece of the Trans-Pacific Partnership, which Trump scuttled.

Trump seems readier to compromise these days with Europe, too, another positive shift after 20 months of intermittent trade tantrums. He hasn’t yet embraced Obama’s broad, market-opening vision of a Trans-Atlantic Trade and Investment Partnership (or TTIP), but maybe Trump will get there eventually, too. In recent months, he has been talking about mutually abolishing tariffs, which would be a good start.

S&P 500 breaks above 2,900 for the first time as trade fears ease

  S&P 500 breaks above 2,900 for the first time as trade fears ease Stocks rose on Tuesday, boosted by an improved outlook on global trade after the U.S. and Mexico struck a deal.The S&P 500 rose 0.2 percent to break above 2,900 for the first time ever. The Nasdaq Composite also hit a record high, climbing 0.3 percent. The Dow Jones Industrial Average advanced 62 points.

Two cheers for Trump ' s trade agreement with Mexico - The Nov 30, 2018 · President Donald Trump speaks during a press conference to discuss a revised U. S . trade agreement with Mexico and Canada in the Rose Garden of the White House, Oct.

Trump rebranded the updated NAFTA as the United States- Mexico -Canada Agreement (USMCA), but it still needs congressional approval. Back on the campaign trail, Trump claimed that Mexico can afford to build a wall because Mexico ' s trade surplus with America is billions of dollars.

“You go tariff-free, you go barrier-free, you go subsidy-free . . . I mean, that would be the ultimate thing,” Trump enthused in June at the Group of Seven summit, in between taking swings at his trading partners. For once, he was entirely right.

The financial markets, which Trump touts as a proxy for success, have been roaring this week at the prospect that we may see new trade agreements, rather than the trade war Trump had threatened. The virtuous economic cycle (solid expansion, wage growth and continued low inflation) may be good news for Trump, but it’s also good news for everyone else.

The real importance of Trump’s Mexico move is that it clears the debris so the White House can concentrate on the bigger battle worth fighting — for fairer trade with a rising China that has tried for decades to rig the game in its favor. Europe and other trading partners should be our natural allies in this negotiation, for they, too, have suffered from China’s selfish policies.

Canada rejoins talks to stay in NAFTA, deal possible this week

  Canada rejoins talks to stay in NAFTA, deal possible this week Canada's top trade negotiator joins her Mexican and U.S. counterparts in Washington on Tuesday in a bid to remain part of a trilateral North American trade pact, as U.S. officials expressed optimism a deal could be reached this week.Ottawa is under pressure to accept new terms on auto trade and dispute settlement rules after the United States and Mexico agreed on Monday to overhaul the North American Free Trade Agreement (NAFTA).

Wall Street cheers U. S .- Mexico trade deal, view agreement as step in right direction in global tariff fight. Post to Facebook. The start of the televised phone call with Mexico ' s president Monday announcing a major trade agreement got off to an awkward start.

Trump referred to the deal as the United States- Mexico trade agreement , telling reporters that he In another area, the United States and Mexico agreed to establish two separate systems for handling In May, the Trump administration slapped duties on both Canada and Mexico on steel and aluminum.

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What Wall Street seems to be hoping is that Trump will resolve the little trade spats and marshal his forces for the more consequential ones. Allianz economist Mohamed El-Erian said Monday on CNBC that he sees a 60 percent chance that Trump’s aggressive policies will produce “fairer trade” for the United States. The puzzle for investors, he cautioned, is “how much damage would we incur in the process of winning this.”

Trump has often misdiagnosed the China trade problem. It’s not the sheer size of the U.S. trade deficit with China — though that was a staggering $375 billion last year, or about 65 percent of the total U.S. trade deficit. This raw number disguises the fact that China’s current-account surplus has been declining sharply as a percentage of its overall economy, from 9.9 percent of its gross domestic product in 2007 to about 1.4 percent last year. (The International Monetary Fund projects that China’s surplus will continue to decline steadily, to 0.4 percent of GDP in 2022.)

Trump vows his border wall WILL be paid for by Mexico, prompting immediate denial from them that 'we will NEVER pay for a wall'

  Trump vows his border wall WILL be paid for by Mexico, prompting immediate denial from them that 'we will NEVER pay for a wall' President Trump again vowed Mexico will pay for his border wall, which brought an almost immediate denial from Mexico's Secretary of Foreign Affairs Luis Videgaray Caso.'Yeah, the wall will be paid for very easily, by Mexico. It will ultimately be paid for by Mexico,' Trump said Tuesday to reporters in the Oval Office.

U. S . President Donald Trump is boasting about his latest revamped trade agreement with America' s two neighbors - a pact he' s calling USMCA - for the United States, Mexico and Canada. The deal has a "good ring to it," he says. (Oct. 1) AP.

President Trump , Canadian Prime Minister Justin Trudeau and Mexican President Enrique Pena Nieto take part in the signing of the U. S .- Mexico -Canada trade

The China problem isn’t how much it sells us but that it won’t allow U.S. companies or investors fair access to its markets — and that it steals every bit of intellectual property that it can.

Treasury Secretary Steven Mnuchin made this case Tuesday on CNBC: “We need better market access to China. We need reciprocal trade. And these are issues that our allies in the G-7 agree with us on. . . . This can’t be a one-way transaction where they have free trade here and we have no trade there.”

The Obama administration was heading in the right direction on this one, as well, by trying to negotiate a bilateral investment treaty with China that would open markets for American companies and protect them from theft. Trump chucked that, too, but he now seems to be reprising his own amped-up version.

Maurice Obstfeld, chief economist at the IMF, cautioned against “Pyrrhic” victories in trade in a recent Financial Times article. He explained: “The U.S. imports aluminum . . . which contributes to its trade deficit with China. But cheaper aluminum imports facilitate one of the U.S.’s biggest and most distinctive exports: aircraft. Restricting aluminum imports would not only hurt aircraft exports, it would make the global division of labor less efficient.”

Trump was elected by a country that doubted the global trading system was benefiting the ordinary worker. The answer to that popular anger wasn’t to wreck the system but to fix it. Too often during his presidency, Trump has looked like a wrecker. But this week, on Mexico, he claimed the unusual and welcome role of repairman.

If Trump slaps auto tariffs on Canada, here's what it'll cost the US

  If Trump slaps auto tariffs on Canada, here's what it'll cost the US A breakdown in NAFTA negotiations could lead to new auto tariffs -- and a hit to American pocketbooksLoad Error

The Agreement between the United States of America, the United Mexican States, and Canada is a signed but not ratified free trade agreement between Canada, Mexico , and the United States.

In announcing a trade agreement with Mexico on Aug. 27, President Trump called it “a big day for trade ” and said it would not be called NAFTA, which has a

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Read more:

Catherine Rampell: Has Trump ended NAFTA? Not just yet.

Paul Waldman: Once again, Trump declares victory long before getting the job done

The Post’s View: The big lesson from Trump’s truce on trade? Pushback works.

Robert J. Samuelson: Trump’s trade war may be fated to fail

Marc A. Thiessen: Trump is using tariffs to advance a radical free-trade agenda


Trump blasts trade talks with Canada: We shouldn't have to buy our friends .
President Trump appeared to slam trade talks with Canada in a tweet late Saturday evening, writing that the U.S. "shouldn't have to buy our friends" with "bad trade deals and free military protection.""We shouldn't have to buy our friends with bad Trade Deals and Free Military Protection!" Trump tweeted.

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