Mexico, the U.S. and Canada sign USMCA at G20 summit

This morning, President Enrique Peña Nieto, U.S. President Donald Trump, and the Prime Minister of Canada, Justin Trudeau , signed the new trade agreement of North America, also called USMCA, in the framework of the G20 Summit which took place in Buenos Aires, Argentina .

Once ratified by each nation’s legislative power, the commercial agreement between the United States, Mexico, and Canada (USMCA) will replace the North American Free Trade Agreement (NAFTA) .

In presence of President Trump and Prime Minister Trudeau, in a message adressed to the media, President Peña Nieto claimed that the negotiation of the new U.S.-Mexico-Canada treaty, allowed to reaffirm the importance of economic integration in North America.

“In today’s world, the future of each country is firmly linked to the destiny of other nations. In North America, we have understood the importance of our relationship. We know that the prosperity of each of our nations will be greater every day and firm as ever if it is based on the prosperity of the entire region.”

“The act that we formalize today is proof that Mexico, the United States, and Canada, are bound together not only by territory, but by the values and yearnings we share. We are now ready to enter a new period of our shared history,” he stated.

President Enrique Peña Nieto made it clear before both North American leaders that “commercial agreements are not meant to remain immovable; they need to move forward in line with economic change and the needs of our societies.”

The Mexican president pointed out that the inclusion of provisions concerning e-commerce, communications technology, and trade facilitation were among the newest subjects included in the treaty. Peña Nieto also pointed out that around a third part of the agreement related to subjects that had not been included in NAFTA .

Peña Nieto claimed that the renegotiation of the agreement also allowed to route the region towards a more inclusive and comprehensive integration for the benefit of their societies’ demands. He added that, although NAFTA set a new standard for commercial agreements 24 years ago , today, the USMCA was the first commercial agreement to incorporate elements meant to address the social impact of international trade, enabling the participation of more economic sectors and the inclusion of SMEs in regional trade.

“It will provide expanded protection of workers’ rights while fostering the protection of the environment. It also includes a revision clause that will enable its constant update,” he claimed, acknowledging the hard work of all three nations’ negotiating committees.

“In the case of Mexico, I also want to acknowledge all the businessmen that accompanied the process and extend my appreciation to the incoming Mexican government that will assume office tomorrow morning. Their support and insight in the final phase contributed to the success of this renegotiation,” he claimed.

A new name for NAFTA: USMCA, TEUMECA or T-MEC?

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