Language against trade talks with China in the U.S.-Mexico-Canada Agreement is not surprising, according to a Chinese editorial. The South China Morning Post, an English language newspaper based in China, says the policy is perhaps the worst feature of the USMCA for Beijing, as it may become a template for future trade talks Trump holds with allies such as Japan, India and the European Union.
Article 32.10 in the preliminary agreement gives the U.S. “virtual veto power” over any bilateral deal Canada or Mexico may wish to reach with “a non-market country,” being China. The editorial calls the policy a “last minute demand” by the U.S., adding that ” there was probably little Canada and Mexico could or would do to resist it.” China is Canada’s second-largest trading partner and the fourth-largest trading partner for Mexico.
In other USMCA news, Dairy Farmers of Canada have rejected a meeting request from Canadian Prime Minister Justin Trudeau. The organization rejected the meeting because of the “absence of details on measures to mitigate the impact of the concessions” made in the U.S.-Mexico-Canada Agreement. Dairy Farmers of Canada is the national policy, lobbying and promotional organization representing Canada’s farmers.
The Association announced its displeasure with the agreement last week, saying the trade deal sacrifices the livelihoods of Canada’s dairy industry. Canada’s dairy farmers are facing now three recent trade agreements that have eased restrictions to its dairy market to other nations. USMCA follows CETA, the EU-Canada Comprehensive Economic and Trade Agreement, and the CPTPP that replaced the Trans-Pacific Partnership.
Source: NAFB News Service