(Canadian Press)

Canada signs onto new NAFTA on sidelines of high-stakes G20 summit

The signing of the trade agreement is largely ceremonial, because it will still need to be ratified by all three countries

After much anticipation, Canada signed the revamped NAFTA in Buenos Aires on the sidelines of the high-profile G20 summit Friday.

Prime Minister Justin Trudeau joined U.S. President Donald Trump and outgoing Mexican President Enrique Pena Nieto at a hotel to formally sign the United States-Mexico-Canada Agreement.

“The new agreement lifts the risk of serious economic uncertainty that lingers throughout the trade renegotiation process — uncertainty that would have only gotten worse and more damaging had we not reached a new NAFTA,” Trudeau said.

“There is much more work to do in lowering trade barriers and in fostering growth that benefits everyone, but reaching a new free trade agreement with the United States and Mexico is a major step for our economy.”

READ MORE: World eyes trade tension as Trudeau arrives at high-drama G20 summit

Trump, standing in between his Canadian and Mexican counterparts, said the new deal was a model agreement that would stop auto jobs from going overseas, protect intellectual property rights and provide robust protections for digital trade and financial services.

U.S. tariffs on steel and aluminum remain in place, but a Canadian official said an advantage to signing onto the agreement now is an auto side letter exempting Canada of potential tariffs on exports of up to 2.6 million vehicles — well above current levels.

Friday marked an important deadline for the trade pact.

A new Mexican president takes over Saturday, who might not honour the tentative deal struck by his predecessor.

The signing of the trade agreement is largely ceremonial, because it will still need to be ratified by all three countries before it can formally take effect.

U.S. lawmakers have already indicated they don’t expect to tackle the USMCA until after the new Congress is sworn in early next year.

The deal — 32 chapters, 11 annexes and 12 side letters — sets new rules for the auto sector, including a higher threshold for North American content and rules requiring 40 per cent of car parts be made by workers paid at least $16 an hour.

It preserves a contentious dispute-resolution system the U.S. dearly wanted gone, extends patent protections for biologic drugs and allows U.S. farmers a 3.6-per-cent share of Canada’s famously guarded market for poultry, eggs and dairy products — a concession that dismayed Canadian dairy producers.

Despite the symbolism of Friday’s signing, Trump has no meetings with Trudeau scheduled while the two are in Argentina.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

AMBER ALERT: Alert cancelled after child located safe and unharmed

Alert cancelled after child located safe and unharmed

Fighting financial fraud against seniors

Alberta Securities Commission hoping to curb seniors being taken for granted

Dual credit benefiting WCPS students

School division working on expanding program into nursing, business studies

VIDEO: Acknowledging skeptics, finance minister vows to build Trans Mountain project

Bill Morneau said he recognizes ‘huge amount of anxiety’ in Calgary over future of oil and gas sector

New RCMP policy is a little hairy

Members now allowed to grow beards and goatees

Wildfires have forced more than 9,000 people from homes in northern Alberta

People in other communities remain on evacuation alert and could be told to leave quickly

Pride divided: Edmonton leadership under pressure as LGBTQ community looks to future

Most of the conflict can be traced back to 2016 Toronto Pride when Black Lives Matter staged a protest

Federal cabinet ministers visit Edmonton, Calgary, in wake of TMX approval

Natural Resources Minister Amarjeet Sohi is set to visit Trans Mountain Corp.’s terminal in Edmonton

Statistics Canada reports annual pace of inflation rises in May to 2.4%

Transportation prices gained 3.1 per cent as the cost of air transportation added 8.9 per cent

Demonstrators on either side of Trans Mountain debate clash in Vancouver

Crowd heard from member of Indigenous-led coalition that hopes to buy 51% of expansion project

Work on splash park close to completion

Work at the “mercy of the weather”

High Level on alert, as wildfires put more people on the run in northern Alberta

Thousands in High Level were just allowed back home, and now must get ready to leave again

Most Read