(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.

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Coulson makes teddy bear donation to Port Alberni Toy Run

Toy Run selling teddy bears to make up for lost revenue during COVID-19

Visitors and non-residents entering closed Hesquiaht territories

With limited resources, they say they don’t have any authority or power to enforce the closures

Median maintenance planned for Johnston Road

Drivers can expect delays on Friday, Aug. 7

ALBERNI GOLF: Stewart beats out Rasmussen in a count back

40 members came out during the B.C. Day long weekend

LOOK BACK: Shave and a haircut in 1912

Take a peek at Alberni Valley history with the Alberni Valley Museum

371 British Columbians battling COVID-19, health officials confirm

Thursday (Aug. 6) saw a second straight day of nearly 50 new confirmed cases

Statistics Canada says country gained 419,000 jobs in July

National unemployment rate was 10.9 per cent in July, down from the 12.3 per cent recorded in June

Canada vows retaliatory measures as Trump restores tariff on Canadian aluminum

The new Canada-United States-Mexico Agreement that replaced NAFTA went into force on July 1

Canada ‘profoundly concerned’ over China death sentence for citizen in drug case

Police later confiscated more than 120 kilograms of the drug from Xu Weihong’s home

Cowichan RCMP use spike belts to end car chase — man in custody

The driver was arrested at the scene a short distance from his vehicle

Island youth starts virtual race against racism

Cailyn Collins says people can take part in the cause from anywhere

COVID-19 tests come back negative for remote First Nation

“There are no suspected cases in the community at this time.”

Answers to 5 common questions facing families for the COVID-19 school year

COVID-19 protocols are likely to vary even more at the school board level, and even and school-to-school.

UBC loses appeal on Fisheries Act convictions

BC Supreme Court upholds order to pay $1.55-million fine

Most Read