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Trade pact wins praise from all sides

FAIRMONT — Congressman Jim Hagedorn of southern Minnesota is praising news of a bipartisan agreement to bring the United States-Mexico-Canada Agreement on trade to a vote on the floor of the U.S. House.

He’s not alone.

Democrat Dan Feehan, who narrowly lost to Hagedorn in 2018 and who is running again in 2020, also backs the compromise, saying it will open markets for farmers, ensure that American workers are on a level playing field and protect the environment.

In a statement, Hagedorn said: “USMCA will open new markets, expand economic opportunity and create new high-wage jobs; build momentum for trade deals with China and other nations; and help protect and promote our rural way of life in southern Minnesota.”

“I expect USMCA to pass with overwhelming bipartisan support in the House, and I hope the Senate will move quickly to ratify the deal and send it to President Trump’s desk so that the agreement can be implemented as quickly as possible for the American people,” the first-term Republican added.

The Associated Press reported this week that House Democrats and White House negotiators reached a deal on the trade pact, which modifies the existing North American Free Trade Agreement.

The AP reported that NAFTA eliminated most tariffs and other trade barriers involving the United States, Mexico and Canada. Critics, including Trump, labor unions and many Democratic lawmakers, branded the pact a job killer for the United States because it encouraged factories to move south of the border, capitalize on low-wage Mexican workers and ship products back to the U.S. duty free. Trump made the first move to reform NAFTA, resulting in USMCA.

But Democrats did not leap on board. Instead, House Speaker Nancy Pelosi worked to modify what Trump had negotiated, to gain the support of labor leaders. What has emerged is a trade deal that is more protectionist and labor-friendly than NAFTA.

According to the AP, the pact contains provisions designed to nudge manufacturing back to the United States. For example, it requires that 40% to 45% of cars eventually be made in countries that pay autoworkers at least $16 per hour — that is, in the United States and Canada and not in Mexico.

The AP reports that a U.S. House vote is likely before Congress adjourns for the year and the Senate is likely to vote in January or February.

National business and labor groups have hailed the breakthrough. USMCA also has the support of groups in Minnesota.

“On behalf of our members, we hope this paves the way for final agreement,” said Doug Loon, president of the Minnesota Chamber of Commerce. ” Trade with our North American partners means prosperity for Minnesota farmers, manufacturers, small businesses and their employees. This agreement will create confidence in the markets and create new opportunities for workers across a range of industries.”

“Minnesota Farm Bureau applauds the progress that has been made on the United States-Mexico-Canada Agreement (USMCA), and the leadership shown by the Minnesota Congressional delegation and the administration to get to this point,” said Farm Bureau Federation president Kevin Paap. “Minnesota farmers and ranchers depend on a reliable trading relationship with our two closest neighbors.

“By ratifying USMCA, this will signal to our trading partners across the world that the U.S. is back in business in the international marketplace. Minnesota Farm Bureau will continue to diligently work to protect and expand market opportunities and get USMCA across the finish line.”

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