74-657: The Agreement between the United States of America, Mexico, and Canada ( USMCA ) is a free trade agreement among the United States , Mexico , and Canada . It replaced the North American Free Trade Agreement (NAFTA) implemented in 1994, and is sometimes characterized as "NAFTA 2.0", or "New NAFTA", since it largely maintains or updates the provisions of its predecessor. USMCA is one of the world's largest free trade zones , with
148-668: A Juris Doctor in 1973. After graduating from law school, Lighthizer joined Covington & Burling in Washington, D.C. as an associate attorney . In 1978, Lighthizer left Covington & Burling to work for Senator Bob Dole (R- Kan .), who at the time was the Ranking Member of the Senate Finance Committee . When Dole became Chairman of the Finance Committee in 1981, Lighthizer became
222-449: A "neutral" third party. Mexico, which imports all of its aluminum, expressed opposition to provisions regarding American steel and aluminum contents in automobile components. Provisions of the agreement cover a wide range, including agricultural produce, homelessness, manufactured products, labor conditions, and digital trade, among others. Some of the more prominent aspects of the agreement include giving U.S. dairy farmers greater access to
296-518: A 114–4 vote, with three abstentions. The treaty was passed on its second and final reading by the Senate on December 12, 2019, by a vote of 107–1. On April 3, 2020, Mexico announced it was ready to implement the agreement, joining Canada, though it requested that its automotive industry be given extra time to comply. Manufacturing in Mexico accounts for 17% of GDP. However, Andrés Manuel López Obrador ,
370-621: A Chapter 20 dispute appeal. The US, Canada, and Mexico are all currently in compliance with these transparency requirements in addition to the substantive policy requirements which align with the International Monetary Fund Articles of Agreement. The USMCA will affect how member countries negotiate future free trade deals. Article 32.10 requires USMCA countries to notify USMCA members three months in advance if they intend to begin free trade negotiations with non-market economies. Article 32.10 permits USMCA countries
444-490: A certain portion of an automobile's value must come from within the governed region. In NAFTA, the required portion was 62.5 percent. The USMCA increases this requirement by 12.5 percentage points, to 75 percent of the automobile's value. The initial proposal from the Trump administration was an increase to 85 percent and an added stipulation that 50 percent of the automotive content be made by United States auto manufacturers. While
518-446: A deal that contained "the unprecedented inclusion of sexual orientation and gender identity language"; as a result, Trump ultimately signed a revised version that committed each nation only to "policies that it considers appropriate to protect workers against employment discrimination" and clarified that the United States would not be required to introduce any additional nondiscrimination laws. The Canadian government expressed concern about
592-466: A level playing field for U.S. companies, workers and farmers, an agreement that represents a fundamental rebalancing of trade relations between Mexico and Canada. With the draft statement on administrative measures submitted, Speaker Pelosi stated that U.S. Trade Representative Lighthizer should confirm that the draft wording of the USMCA would benefit U.S. workers and farmers and that although she agreed on
666-632: A minimum wage requirement in the automotive industry. Specifically, 40 to 45 percent of the automobiles manufactured in North America must be made in a factory that pays a minimum of US$ 16 per hour. This measure will be phased in during the first five years after USMCA ratification. The USMCA extends the copyright length in Canada to life plus 70 years, and 75 years for sound recordings. Furthermore, biotechnological firms would have at least 10 years exclusivity period for agricultural chemicals (double
740-420: A patent term extension where there is an "unreasonable curtailment" of a pharmaceutical's patent term stemming from delays in the regulatory or marketing approval process. USMCA accounts for data exclusivity of new pharmaceutical products. New pharmaceutical products are those that do not contain a chemical entity that has been previously approved by that party. Generic manufacturers are prohibited from relying on
814-571: A population of more than 510 million people and an economy of $ 30.997 trillion in nominal GDP — nearly 30 percent of the global economy. All sides came to a formal agreement on October 1, 2018, and U.S. President Donald Trump proposed USMCA during the G20 Summit the following month, where it was signed by him, Mexican President Enrique Peña Nieto , and Canadian Prime Minister Justin Trudeau . A revised version reflecting additional consultations
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#1732790581642888-589: A recession would affect his government's prospects during the 2019 Canadian federal election . The executive, who had been retained by Trump, was invited in January 2017 to address the Liberal Cabinet at a Calgary retreat, when the Cabinet would be unprotected by its Privy Council Office civil servants. As the negotiations reached their end on October 1, 2018, at a last-minute behind-the-scenes meeting at
962-461: A review period, the deadline for providing the agreed text was the end of September 30, 2018, which was reached on September 30. Negotiators worked around the clock and completed the agreement less than an hour before midnight of that date on a draft text. On October 1, 2018, the USMCA text was published as an agreed-to document. Lighthizer credited Jared Kushner with architecting the deal and rescuing it several times from collapse. The agreed text of
1036-571: A waiver of section 141(b)(4) of the Trade Act of 1974 , as amended, due to his brief representation of a foreign government in litigation 25 years prior. In March, White House Counsel Donald McGahn sent a letter to Senate leadership citing a Clinton-era opinion by the White House Counsel arguing that the statute was an unconstitutional limit on the president's ability to appoint his cabinet. At his confirmation hearing, Lighthizer
1110-412: Is based substantially on the North American Free Trade Agreement (NAFTA), which came into effect on January 1, 1994. The present agreement was the result of more than a year of negotiations including possible tariffs by the United States against Canada in addition to the possibility of separate bilateral deals instead. During the 2016 U.S. presidential election , Donald Trump 's campaign included
1184-511: Is broadly considered the most controversial of the settlement mechanisms. The Canadian negotiators effectively removed themselves from Chapter 11 in the USMCA version of this measure, Chapter 14. Canada will have a full exemption from ISDS three years after NAFTA has been terminated. In addition to building on the existing NAFTA fused with elements from the Trans-Pacific Partnership , the USMCA also incorporates elements from
1258-486: Is only "suspended", so in case parties fail to extend or renew it in 6 years, FTA would become the law. On April 24, 2020, Lighthizer gave official notice to Congress that the new trade deal was set to come into force on July 1, 2020, and notified Canada and Mexico to that effect. On June 1, 2020, the USTR released the "Uniform Regulations", which help interpret the different chapters of the USMCA, primarily chapters 4–7, paving
1332-400: Is the country-to-country resolution mechanism. It is often regarded as the least contentious of the three mechanisms, and it was sustained in its original NAFTA form in USMCA. Such cases would involve complaints between USMCA member states that a term of the agreement had been violated. Chapter 19 disputes manage the justifications of anti- dumping or countervailing duties . Without Chapter 19,
1406-573: The Biden administration . In late 2024, president-elect Trump stated that Lighthizer will serve as his "trade czar". Lighthizer was born on 11 October 1947 to Orville James and Michaelene Lighthizer in Ashtabula, Ohio , where his father practiced medicine. He attended Gilmour Academy in Gates Mills, Ohio , and later graduated from Georgetown University with a Bachelor of Arts in 1969 and
1480-517: The COVID-19 pandemic has shown that the United States must promote domestic manufacturing of medical supplies and reduce its reliance on foreign countries. Lighthizer lives in Florida. His wife, Cathy, died in 2014. He has two children, Robert and Claire, and three grandchildren. Lighthizer's brother, O. James Lighthizer , is an American Civil War expert. James Lighthizer is the president of
1554-557: The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), of which Canada and Mexico are signatories. Key changes from its predecessor include increased environmental and working regulations; greater incentives for automobile production in the U.S. (with quotas for Canadian and Mexican automotive production); more access to Canada's dairy market ; and an increased duty-free limit for Canadians who buy U.S. goods online. The United States–Mexico–Canada Agreement
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#17327905816421628-539: The G20 summit in Buenos Aires , as had been planned in the preceding months. However, continued disputes over labor rights, steel, and aluminum prevented ratification of this version of the agreement. Consequently, Canadian Deputy Prime Minister Chrystia Freeland, U.S. Trade Representative Robert Lightizer and Mexican Undersecretary for North America Jesus Seade formally signed a revised agreement on December 10, 2019, which
1702-646: The Problem Solvers Caucus , the Tuesday Group , and the Blue Dog Coalition in their efforts to gain support for ratification. The Trump administration has also backed down from the threat of withdrawing from NAFTA as the negotiations with Congress continued. On May 30, 2019, USTR Lighthizer submitted to Congress a draft statement on administrative measures concerning the implementation of the U.S.-Mexico-Canada Agreement (USMCA and
1776-755: The United Nations in New York City, Trudeau sacrificed the dairy industry to save the media industry and the automotive exemption. Chrystia Freeland , the Foreign Affairs minister from Trinity-Spadina riding in downtown Toronto whose constituents include many staff of the CBC and The Globe and Mail and the Toronto Star and the Toronto Sun , maps "Canadian culture" directly onto
1850-530: The United States Senate passed the trade agreement by a vote of 89 (Democratic 38, Republican 51) to 10 (Democratic 8, Republican 1, Independent 1 ) and the bill was forwarded to the White House for Trump's signature. On January 29, 2020, Trump signed the agreement into law (Public Law No: 116–113). It officially amended NAFTA but not the 1989 Canada–United States Free Trade Agreement which
1924-544: The "Beyond the Border" accord signed by former Prime Minister Stephen Harper and former president Barack Obama, most notably the "single window" initiative and folding the "Regulatory Cooperation Council" into the "Good Regulatory Governance" chapter 28 of the new accord. Additionally, there is a stipulation that the agreement itself must be reviewed by the three nations every six years, with a 16-year sunset clause . The agreement can be extended for additional 16-year terms during
1998-744: The Canadian market, guidelines to have a higher proportion of automobiles manufactured amongst the three nations rather than imported from elsewhere, and retention of the dispute resolution system similar to that included in NAFTA. The dairy provisions give the U.S. tariff-free access to 3.6%, up from 3.25% under the never-ratified Trans-Pacific Partnership , of the $ 15.2 billion (as of 2016) Canadian dairy market. Canada agreed to eliminate Class 7 pricing provisions on certain dairy products, while Canada's domestic supply management system remains in place. Automobile rules of origin (ROO) requirements mandate that
2072-716: The Mexican president believes that this trade deal will be a net positive for the Mexican economy by growing foreign investments, creating jobs, and expanding trade. On May 29, 2019, prime minister Justin Trudeau introduced a CUSMA implementation bill in the House of Commons . On June 20, it passed second reading in the House of Commons and was referred to the Standing Committee on International Trade. Free trade agreement Too Many Requests If you report this error to
2146-502: The Trump administration planned to include in the legislation approving the pact a provision that would allow the USTR to directly control how and where cars and parts are made by global automakers. On December 19, 2019, the United States House of Representatives passed the USMCA with bipartisan support by a vote of 385 (Democratic 193, Republican 192) to 41 (Democratic 38, Republican 2, Independent 1). On January 16, 2020,
2220-500: The U.S. Trade Representative as well as a waiver of section 141(b)(4) of the Trade Act of 1974. Lighthizer was confirmed as the 18th U.S. Trade Representative on May 11, 2017, by a margin of 82–14. He was sworn in by Vice President Mike Pence on May 15, 2017. Three days later, on May 18, Lighthizer notified Congress that President Trump intended to renegotiate the North American Free Trade Agreement (NAFTA), which would make him
2294-490: The U.S. agricultural sector announced their support for the USMCA and urged Congress to ratify the agreement. They also urged the Trump administration to continue upholding NAFTA until the new trade agreement is ratified. However, on March 4, House Ways and Means Chairman Richard Neal predicted a "very hard" path through Congress for the deal. Starting March 7, senior White House officials met with House Ways and Means members, as well as moderate caucuses from both parties, such as
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2368-507: The U.S. and Canada, resulting in the signing of the new trade agreement. Her work in hammering out the trilateral agreement raised her stock with the Trump administration. It was later revealed in a memoir published by Stephen Schwarzman , the CEO and founder of American LBO specialist The Blackstone Group , that he had incited Justin Trudeau to concede the protected dairy market in the USMCA negotiations. According to Schwarzman, Trudeau feared
2442-477: The US, with a greater likelihood of increased production costs for those vehicles. A new addition to the USMCA is the inclusion of Chapter 33 which covers Macroeconomic Policies and Exchange Rate Matters. This is considered significant because it could set a precedent for future trade agreements. Chapter 33 establishes requirements for currency and macroeconomic transparency which, if violated, would constitute grounds for
2516-417: The USTR released its key negotiating objectives document on July 7, 2017. Negotiations began on August 16, 2017, and continued with eight formal rounds of talks until April 8, 2018. Lacking any resolution, Lighthizer stated on May 2, 2018, that by the end of the month, no deal was reached, negotiations would be halted until 2019. This statement was motivated by the pending change of government in Mexico, in which
2590-551: The United States raised its de minimis threshold for all countries to US$ 800 (from US$ 200) per person per day to save on enforcement costs.) For goods transported to Canada by courier from the United States or Mexico, Canada increased the threshold from C$ 20 (approximately US$ 16) to C$ 40 for taxes ( GST , HST , PST ), and to C$ 150 for customs duties ( tariffs ). Some goods do not have an exemption, such as alcohol and tobacco. Mexico maintained its de minimis threshold at US$ 50 for taxes, and it agreed to provide duty-free shipments up to
2664-748: The United States, it is called the United States–Mexico–Canada Agreement ( USMCA ); in Canada, it is officially known as the Canada–United States–Mexico Agreement ( CUSMA ) in English and the Accord Canada–États-Unis–Mexique ( ACEUM ) in French; and in Mexico, it is called Tratado entre México, Estados Unidos y Canadá ( T-MEC ). The agreement is sometimes referred to as " New NAFTA " about
2738-494: The Wikimedia System Administrators, please include the details below. Request from 172.68.168.150 via cp1114 cp1114, Varnish XID 957537190 Upstream caches: cp1114 int Error: 429, Too Many Requests at Thu, 28 Nov 2024 10:43:01 GMT Robert Lighthizer Robert Emmet Lighthizer ( / ˈ l aɪ t h aɪ z ər / ; born October 11, 1947) is an American attorney and government official who
2812-660: The World Trade Organization. In testimony before the US-China Economic and Security Review Commission in 2010, Lighthizer said that "USTR (U.S. Trade Representative) should pursue WTO litigation with respect to all such examples of non-compliance. If necessary, Congress should give USTR additional resources to increase its ability." Lighthizer called for reforming the WTO during a testimony to Congress on June 17, 2020. In March 2020, Lighthizer stated that
2886-438: The ability to review any new free trade deals members agree to go forward. Article 32.10 is widely speculated to be targeting China in intent. In fact, a senior White House official said in connection to the USMCA deal that "We have been very concerned about the efforts of China to essentially undermine the U.S. position by entering into arrangements with others." The USMCA countries are to abide by IMF standards aimed to prevent
2960-438: The agreement was signed by leaders of all three countries on November 30, 2018, as a side event to the 2018 G20 summit in Buenos Aires, Argentina. The English, Spanish, and French versions would be equally authentic. The agreement would take effect after ratification from all three states through the passage of enabling legislation . U.S. Ambassador to Canada Kelly Craft played a leadership role in trade negotiations between
3034-402: The approval date. Biologics are defined as a product that is "produced using biotechnology processes and that is, or contains, a virus, therapeutic serum, toxin, antitoxin, vaccine, blood, blood component or derivative, allergenic product, protein, or analogous product, for use in human beings for the prevention, treatment, or cure of a disease or condition". This period would have been longer than
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3108-604: The board of the Overseas Private Investment Corporation . In 1985, Lighthizer joined the law firm Skadden, Arps, Slate, Meagher & Flom LLP (Skadden) as a partner. He practiced international trade law at Skadden for over 30 years, representing American workers and businesses ranging from manufacturing to financial services, agriculture, and technology. While at Skadden, Lighthizer worked to expand markets to U.S. exports and defended U.S. industries from unfair trading practices. He defended
3182-409: The changes evolving within the USMCA agreement. On December 2, 2018, Trump announced he would begin the six-month process to withdraw from NAFTA, adding that Congress needed either to ratify the USMCA or else revert to pre-NAFTA trading rules. Academics had debated whether the president can unilaterally withdraw from the pact without Congressional approval. On March 1, 2019, organizations representing
3256-663: The committee's staff director and chief of staff. While working for the committee, he helped shepherd through President Ronald Reagan 's tax cuts and Social Security reform. In the 1980s, Lighthizer hired fellow Georgetown Hoya Patrick Ewing as an intern. In 1983, during the administration of President Ronald Reagan, Lighthizer was nominated and confirmed to serve as Deputy U.S. Trade Representative under William Brock . During his tenure, Lighthizer negotiated over two dozen bilateral international agreements, including agreements on steel, automobiles, and agricultural products. As Deputy USTR, Lighthizer also served as vice chairman of
3330-557: The core conservative goal of making markets more efficient? Markets do not run better when manufacturing shifts to China largely because of the actions of its government." In a 1997 op-ed in The New York Times , Lighthizer advocated against allowing China to join the World Trade Organization . He suggested that the U.S. should bring more cases against China for failure to comply with the regulations of
3404-536: The country of China of unfair trade practices, and he believes China needs to make substantive and structural changes to its trade policies, as opposed to only minor changes it has offered in the past. He wrote, "The icon of modern conservatism, Ronald Reagan, imposed quotas on imported steel, protected Harley-Davidson from Japanese competition, restrained import of semiconductors and automobiles, and took myriad similar steps to keep American industry strong. How does allowing China to constantly rig trade in its favor advance
3478-757: The current 5), and industrial designs' period would "jump" from current 10 to 15 years. Compared to NAFTA , USMCA would require criminal penalties and civil remedies to be available for both satellite and cable theft, reaffirm the Doha Declaration on the TRIPS Agreement and Public Health , contain the strongest due process and transparency requirements for geographic indicator protection systems in any FTA, require criminal procedures and penalties for recording copyrighted movies in movie theaters, and require ex officio authority for customs officials to stop suspected counterfeit goods. USMCA provides for
3552-416: The deal's text did not include the more demanding version of this provision, there is concern that the increased domestic sourcing, aimed at promoting U.S. employment, will come with higher input costs and disruptions to existing supply chains. To facilitate cross-border trade, Mexico and Canada agreed to raise their de minimis exemption thresholds for the application of taxes and customs duties. (In 2016,
3626-399: The debate surrounding the virtues and faults of the USMCA is similar to that surrounding all free trade agreements (FTAs); for instance, the nature of FTAs as public goods, potential infringements of national sovereignty, and the role of business, labor, environmental, and consumer interests in shaping the language of trade deals. The agreement is referred to differently by each signatory—in
3700-628: The equivalent of US$ 117. USMCA Annex 23-A requires Mexico to pass legislation that improves the collective bargaining capabilities of labor unions. The specific standards Mexico is required to comply with are detailed in the International Labour Organization 's Convention 98 on freedom of association and collective bargaining. The administration of Mexico's president, Andrés Manuel López Obrador , introduced legislation in late 2018 that pursues compliance with these international standards. Other labor-related measures include
3774-410: The exclusivity periods of both Canada and Mexico, but shorter than that of the United States. This provision was heavily criticized for its potential to limit access to biological medications and make them unaffordable. Thus, biologics were covered in the definition of "new pharmaceutical products" and are instead eligible for a minimum five-year protection period. The USMCA sunset clause would eliminate
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#17327905816423848-512: The first USTR to renegotiate a major U.S. free trade agreement . According to multiple reports, Lighthizer became one of the most influential Trump Administration officials and the lead figure in formulating the administration's trade policy. The reports noted his agreement with Trump on trade issues. Lighthizer played a key role in the administration's renegotiation of NAFTA and the United States' trade war with China . Lighthizer has stated that using tariffs to promote American industry
3922-494: The innovator's previously undisclosed safety/efficacy testing for at least five years from the date marketing approval was first granted. Mexico agreed to extend its data protection of new pharmaceutical products. Canada's data protection regime already offered an eight-year exclusivity period for innovative drugs and thus was not required to make changes. Initially, the parties contemplated creating an exclusivity period for new products containing biologics for at least ten years from
3996-561: The legal recourse for managing these policies would be through the domestic legal system. Chapter 19 specifies that a USMCA Panel will hear the case and act as an International Trade Court in arbitrating the dispute. The Trump administration attempted to remove Chapter 19 from the new USMCA text, though it has thus far endured in the agreement. Chapter 11 is the third mechanism, known as investor-state dispute settlement , wherein multinational corporations are enabled to sue participating governments over allegedly discriminatory policies. Chapter 11
4070-419: The manipulation of exchange rates. The agreement calls for public disclosure of market interventions. The IMF can be summoned to act as a referee if the parties dispute. State-owned enterprises , which are favored by China as levers for exercising its dominance, are prevented from receiving unfair subsidies when compared to private enterprises. The USMCA was signed on November 30, 2018, by all three parties at
4144-515: The media industry. Robert Fife in an election cycle article failed to obtain any comment from other than the Liberal party. Fox News reported on December 9, 2019, that negotiators from the three countries reached an enforcement agreement, paving the way for a final deal within 24 hours and ratification by all three parties before the end of the year. Mexico agreed to the enforcement of a minimum wage of US$ 16/hour for Mexican automotive workers by
4218-444: The need for companies to establish headquarters in any other USMCA country. It will encourage cross-border business by excluding U.S. companies from the need to localize data and open a Canadian or Mexican HQ. For example, McDonald's Canada or Apple Canada could both cease to exist and the surviving entities would be a North American McDonald's or Apple. There are three primary dispute settlement mechanisms contained in NAFTA. Chapter 20
4292-511: The need to revise NAFTA, stricter enforcement of labor and environmental protection standards was needed. President Donald Trump warned on September 25, 2019, that an impeachment inquiry against him could derail congressional approval of USMCA, dragging down Mexico's peso and stock market as investors fled riskier assets. The U.S. House of Representatives was proceeding with work on USMCA, U.S. House Speaker Nancy Pelosi said on September 26, 2019. Bloomberg News reported on October 29, 2019, that
4366-430: The needs of working people", and he described the U.S.-Mexico-Canada Agreement he negotiated the "model deal." Speaking at a July 2020 event at Chatham House , Lighthizer stated that bilateral trade agreements and a multilateral system conflict with each other, and that one of those two options should be chosen over the other. Politico describes Lighthizer as "a decades-long skeptic of Beijing". Lighthizer has accused
4440-685: The new NAFTA) by the Presidential Trade Promotion Authority (TPA) Act 2015 (Statement of Administrative Action). The draft would allow USMCA implementation legislation to be submitted to Congress after 30 days, thus on or after June 29. In a letter sent to Nancy Pelosi, Speaker of the House of Representatives, and Kevin McCarthy, House Minority Leader, Lighthizer said that the USMCA is the gold standard in U.S. trade policy, modernizing U.S. competitive digital trade, intellectual property, and services provisions and creating
4514-492: The previous trilateral agreement it is meant to supersede, the North American Free Trade Agreement (NAFTA). † Including Guam, Puerto Rico, and the U.S. Virgin Islands. ‡ Including Puerto Rico. The formal negotiation process began on May 18, 2017, when the U.S. Trade Representative (USTR) , Robert Lighthizer , notified Congress that he intended to renegotiate NAFTA starting in 90 days. By Trade Promotion Authority statutes,
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#17327905816424588-555: The promise to renegotiate NAFTA or cancel it if re-negotiations were to fail. Upon election, Trump proceeded to make a number of changes affecting trade relations with other countries — withdrawing from the Paris Agreement , ceasing to be part of negotiations for the Trans-Pacific Partnership , and significantly increasing tariffs with China — reinforcing that he was serious about seeking changes to NAFTA, while drawing wide criticism as well. One journal article noted that much of
4662-442: The six-year reviews. The introduction of the sunset clause places more control in shaping the future of the USMCA in the hands of domestic governments. However, there is concern that this can create greater uncertainty. Sectors such as automotive manufacturing require significant investment in cross-border supply chains. Given the dominance of the United States consumer market, this will likely pressure firms to locate more production in
4736-472: The steel industry in particular. Lighthizer served in a senior position in the 1988 presidential campaign of U.S. senator Bob Dole. In 1996, he served as the treasurer of the Dole campaign. On January 3, 2017, Donald Trump announced that he planned to nominate Lighthizer as U.S. Trade Representative, a cabinet-level position. On January 23, press reports speculated that Lighthizer's nomination might require
4810-587: The then-incoming president, Andrés Manuel López Obrador , disagreed with much of the negotiated language and might be unwilling to sign the deal. Separately, on May 11, 2018, Speaker of the House Paul Ryan set May 17 as a deadline for Congressional action. This deadline was disregarded, and the deal with Mexico was not reached until August 27, 2018. Canada had not agreed to the presented deal. Because Mexico's outgoing president, Enrique Peña Nieto , left office on December 1, 2018, and 60 days are required as
4884-633: The way for the Agreement to take effect domestically; NAFTA was consequently replaced the following month, on July 1, 2020. On November 27, 2018, the government of Mexico said it would give to Jared Kushner its highest civilian honor, the Order of the Aztec Eagle , for his work in negotiating the USMCA. On June 19, 2019, the Senate of Mexico passed the treaty's ratification bill on first reading in
4958-454: Was a Republican tenet dating back to the pro-business politicians who established the party. He has called for a "new American System " of trade policy that uses tariffs to offset the United States's trade deficit and restore the manufacturing sector in the United States. In a 2008 op-ed, he also defended protectionism . Lighthizer believes that a good trade agreement must "strike a balance among economic security, economic efficiency, and
5032-401: Was confirmed by the U.S. Senate to be Deputy U.S. Trade Representative for President Ronald Reagan . In 1985, Lighthizer joined the Washington office of Skadden, Arps, Slate, Meagher & Flom as a partner and led the firm's international trade group. On January 3, 2017, President-elect Donald Trump announced his intention to nominate Lighthizer as his U.S. Trade Representative. Lighthizer
5106-486: Was confirmed by the Senate on May 11, 2017, by a vote of 82–14. Lighthizer was an architect of American trade policy during Trump's first presidency. A protectionist and a trade skeptic, his policies are oriented toward protection of manufacturing in the United States. Lighthizer played a key role in the administration's renegotiation of NAFTA and the United States' trade war with China . Many of these trade policies have been preserved, and in some cases extended, by
5180-505: Was introduced by former senator Bob Dole and U.S. senators from Ohio Sherrod Brown and Rob Portman . In introducing Lighthizer, Brown said, "Mr. Lighthizer is eminently qualified, as Senator Dole said, for this job. He has a long history of fighting on behalf of American manufacturers, and I would add, American workers." On April 25, the Senate Finance Committee unanimously approved Lighthizer's nomination to serve as
5254-532: Was ratified by all three countries by March 13, 2020. Domestic procedures for ratification of the agreement are governed by the Trade Promotion Authority legislation, otherwise known as "fast track" authority. Growing objections within the member states about U.S. trade policy and various aspects of the USMCA affected the signing and ratification process. Mexico stated they would not sign the USMCA if steel and aluminum tariffs remained. There
5328-415: Was signed on December 10, 2019, and ratified by all three countries, with Canada being the last to ratify on March 13, 2020. Following notification by all three governments that the provisions were ready for domestic implementation, the agreement came into effect on July 1, 2020. USMCA is primarily a modernization of NAFTA, namely concerning intellectual property and digital trade, and borrows language from
5402-567: Was speculation after the results of the November 6, 2018 U.S. midterm elections that the Democrats' increased power in the House of Representatives might interfere with the passage of the USMCA agreement. Senior Democrat Bill Pascrell argued for changes to the USMCA to enable it to pass Congress. Republicans opposed USMCA provisions requiring labor rights for LGBTQ and pregnant workers. Forty Congressional Republicans urged Trump against signing
5476-478: Was the U.S. Trade Representative in the Trump administration from 2017 to 2021. After he graduated from Georgetown University Law Center in 1973, Lighthizer joined the firm of Covington and Burling in Washington, D.C. He left the firm in 1978 to work as chief minority counsel and later staff director and chief of staff of the U.S. Senate Committee on Finance under Chairman Bob Dole . In 1983, Robert Lighthizer
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