New North American trade pact to take effect July 1

U.S. Trade Representative Robert Lighthizer on Friday said he has notified Congress that the new U.S.-Mexico-Canada trade agreement will take effect on July 1, a month later than initially proposed. In a statement, Lighthizer said both Mexico and Canada had taken measures necessary to comply with their commitments under the U.S.-Mexico-Canada Agreement (USMCA), which replaces the 26-year-old North American Free Trade Agreement (NAFTA). Some industries, including automakers, had been arguing for a delayed implementation because of the difficulties they are facing from the coronavirus pandemic. Mexico had asked the United States and Canada for a longer transition period for the auto industry to certify that it was meeting new, more stringent North American content rules. Lighthizer said his office would work to ensure a smooth implementation of the new trade rules...MORE