Canadian Parliament Starts Debate On USMCA While Coalition That Includes MSCI Calls For Ratification
Canada’s Parliament began consideration of the United States-Mexico-Canada Agreement (USMCA) last week. According to Reuters, while the pact enjoys strong support, “Canada’s main opposition Conservative Party has expressed a determination to examine what it calls potentially worrying aspects of the deal, but also says it has no intention of dragging the process out.” The Wall Street Journal also examined potential opposition, and the path forward in Parliament.
As a reminder, Canada is the last of the three countries to consider ratification of the agreement.
The Canadian Manufacturing Coalition (CMC), which MSCI is a part of, issued a statement calling for Parliament to quickly ratify the trade pact. The CMC said, “ Free trade is essential to Canadian manufacturing. That is why the CMC worked closely with the government throughout the NAFTA renegotiations to ensure that integrated manufacturing not only remained unharmed but strengthened. CUSMA achieved that objective and is a win-win-win for all three countries. … [Ratification] will enable manufacturers to maintain critical access to the American and Mexican markets and put an end to trade uncertainty.”
In the United States, meanwhile, President Donald Trump signed the USMCA into law on Wednesday, January 29. According to Politico, the same day the Trump administration also announced that it would provide the Mexican government with $27 million to help the country ensure it meets its commitments under the trade pact. The funding will be used to police workplace conditions, monitor secret-ballot union elections, and otherwise enforce USMCA labor provisions.