Today is a federal holiday in the United States with the impeachment trial resuming tomorrow morning.
Even without those elements, the U.S. Congress passing the CUSMA | USMCA still would have little attention. The Senate voted 89-10 last week to approve the deal. The U.S. House passed the legislation 385-41 last month.
NAFTA 2.0, er, USMCA is a nightmarish trade deal for Canada
"Canada's existing cultural exemption is preserved under the new deal. This is in place to protect Canada’s cultural institutions from being bought out by U.S. business interests. Though as we’ve seen, U.S.-based hedge funds dominate control over Postmedia, the largest private newspaper company in Canada, with a reported 98% ownership level by U.S.-based hedge funds."
We go into garish length to say why this is a horrible trade deal for Canada. Victory is being defined as not losing important issues such as Canada's cultural exemption.
U.S. gets more access to Canada on the milk, eggs, chicken, and turkey markets and introduces the artificial growth hormone recombinant bovine somatotropin (rBST) allowed in American milk but banned for Canadian milk.
Clause 32 deals with any attempt by Canada to negotiate with a “non-market country” (i.e., China) and how Canada would have to keep the United States up to date in obnoxious detail. A cornucopia of petty for the U.S. and against Canada.
Just to be clear, Canada doesn't gain anything of advantage from the United States.
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The Trudeau Government has said good things about the trade deal. You have to smile when you are being extorted and sign a trade deal under the threat of bullying. Not an idle threat with the tariffs that came down. Still have a tariff on Canada on softwood lumber, which wasn't solved with NAFTA 2.0.
Canada is the only country that hasn't passed the trade deal. The prime minister has a minority government. The Liberals wouldn't get votes from the NDP and Greens. The Bloc Quebecois aren't likely to support the deal because of Quebec's aluminum industry, dairy industry, or both.
The Conservative Party could help get the trade deal over the threshold. Can't believe we're saying this, but the Conservatives would do Canada a great favour by refusing to accept the deal. Someone would have to translate what a minority government has to confront to Donald Trump.
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The Trudeau Government argued against a sunset clause, which could trigger uncertainty in trade. Canada has been living with uncertainty since 2017, which is part of the anguish of signing a bad trade deal. There is a sunset clause in this trade deal: a 16-year sunset clause. The deal is also subject to a review every 6 years. That is a long time to wait to fix a really horrible trade deal.
Parliament is back in session on January 27. Laws and regulations have to be adjusted based on elements in the new trade deal. The Senate will likely take its sweet time, as they are required to do. The new trade deal kicks in 90 days if Canada approves the deal.
photo credit: Government of Canada
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