Trump Announces New Trade Deal With Canada, Mexico

REUTERS/Leah Millis

Saagar Enjeti White House Correspondent
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President Donald Trump announced a new trade deal between the U.S., Canada, and Mexico to replace the North American Free Trade Agreement, in a Monday morning tweet.

“Late last night, our deadline, we reached a wonderful new Trade Deal with Canada, to be added into the deal already reached with Mexico,” Trump tweeted. “The new name will be The United States Mexico Canada Agreement, or USMCA.” (RELATED: PESO, CANADIAN DOLLAR RALLY AFTER TRUMP SECURES NEW NORTH AMERICAN TRADE DEAL)

“It is a great deal for all three countries, solves the many deficiencies and mistakes in NAFTA, greatly opens markets to our Farmers and Manufacturers, reduces Trade Barriers to the U.S. and will bring all three Great Nations together in competition with the rest of the world,” he continued. “The USMCA is a historic transaction!”

Trump announced that the deal would be known as the U.S.-Mexico-Canada Agreement or USMCA. The deal will supersede NAFTA and fulfills a signature campaign promise of the Trump 2016 campaign. Trump frequently clashed with Canada and Mexico throughout the nearly two year renegotiation process on the deal.

The new deal “will give our workers, farmers, ranchers and businesses a high-standard trade agreement that will result in freer markets, fairer trade and robust economic growth in our region,” U.S. and Canadian trade representative’s announced in a joint statement Sunday evening.

The deal eases restrictions on U.S. farm goods exported to Canada, a major sticking point between Trump and Canadian Prime Minister Justin Trudeau.

The Trump administration will now submit the new deal to Congress for approval where it must ratified.