Issue link: https://maltatoday.uberflip.com/i/1191618
12.12.19 14 TRADE Agreement reached on Nafta trade deal replacement The US, Mexico, and Canada signed the revised NAFTA THE US, Mexico and Canada have fi- nalised a trade deal that will replace the 25-year-old North American Free Trade Agreement (Nafta). Representatives from the three coun- tries signed the pact in Mexico. ey met hours after Democrats in US Congress said they would support the deal after the White House agreed to strengthen the labour and environmen- tal rules. e three countries had concluded their talks more than a year ago. But the deal needs approval by legis- latures in the three countries before it can move forward. House Speaker Nan- cy Pelosi declared the revised pact "in- finitely better" than the deal the three countries announced last year. US President Donald Trump, who had accused the Democrats of holding up the deal, also declared victory. e US-Mexico-Canada Agreement (USMCA) will be "the best and most important trade deal ever made by the USA. Good for everybody - Farmers, Manufacturers, Energy, Unions - tre- mendous support," he tweeted. During his 2016 presidential cam- paign, Mr Trump promised to replace Nafta, which he and many Democrats blame for speeding the decline of US manufacturing. Talks started in 2017 and the three countries agreed to terms last year. Among the most eye-catching chang- es were new rules that require a higher share of North American-made parts for a vehicle to qualify for tariff-free treatment. Democrats, who control the House of Representatives, were also pushing for changes to strengthen enforcement of labour and environmental rules, and provide more flexibility governing drug pricing. On Tuesday, Democrats said they had reached an agreement with the White House on new provisions and were planning to support the deal in a vote. "ere is no question, of course, that this trade agreement is much better than Nafta but... it is infinitely better than what was initially proposed by the administration," Ms Pelosi said. Democrats' decision to advance the deal, known as USMCA, gives Mr Trump a victory on one of his signa- ture issues, trade. But it also serves to undercut criticism by Republicans that the Democrats are too focused on im- peachment to govern. e US business community said news that the deal would move forward was a relief and urged Congress to bring it to a vote quickly. Canada and Mexico are two of the US's biggest trade partners. "Farmers have been struggling in the face of bad weather and unpredictable trade policy," said Angela Hofmann, co-executive director of the lobby group, Farmers for Free Trade. "Passing USMCA will guarantee that our farmers' closest and most impor- tant markets, will remain free from tar- iffs and red tape." US President Donald Trump, who had accused the Democrats of holding up the deal, declared it a victory