Trump signs ‘new NAFTA’
Trade deal with Mexico, Canada must overcome opposition from Congress
BUENOS AIRES, Argentina — President Donald Trump and his Mexican and Canadian counterparts sought to put the acrimony of the past two years behind them on Friday as they signed a new trade agreement governing hundreds of billions of dollars in commerce that underpins their mutually dependent economies.
Meeting for the first time since the revised North American Free Trade Agreement was sealed, Trump, President Enrique Peña Nieto of Mexico and Prime Minister Justin Trudeau of Canada hailed the results as a boon for workers, businesses and the environment, even as they alluded to the harsh talks that had preceded this day.
But Trump faces a daunting challenge at home, where Congress must approve the deal before it can take effect.
The complicated politics of trade would have made the task formidable enough even before the midterm elections, but it will grow only more so once Democrats assume control of the House in January.
Some pro-trade lawmakers complain that the revised agreement puts too many limits on the free flow of goods and services across borders, while trade skeptics maintain that it does not do enough to safeguard American jobs, encourage higher wages and protect the environment.
Submission to Congress will open a frenzy of fresh negotiations over legislation to enact the agreement, potentially unraveling the careful balance achieved with Mexico and Canada.
In signing the agreement Friday, Trump sought to ratchet up the pressure on President Xi Jinping of China, with whom he will meet on Saturday amid an escalating trade war.
Trump has already imposed tariffs of 10 percent on many Chinese goods and has threatened to raise them to 25 percent. He signaled as late as Friday that he may reach an understanding with Xi during a dinner to forestall such a move.
The agreement with Canada and Mexico is a signature achievement for Trump, who has long derided nearly every major trade deal that the United States has entered.
Negotiators reached a last-minute deal in September after months of rancorous talks. Trump repeatedly assailed his counterparts and threatened to scrap NAFTA altogether.
The appearance of the three leaders side by side in Buenos Aires at the Group of 20, or G-20 summit, was meant to paper over the bitterness, but the hard feelings were still evident.
“We worked hard on this agreement,” Trump said. “It’s been long and hard. We’ve taken a lot of barbs and a little abuse, and we got there. It’s great for all of our countries.”
Trudeau pointedly referred to the accord as the “new North American Free Trade Agreement” despite Trump’s effort to rebrand it as the United StatesMexico-Canada Agreement.
He also used the occasion to press Trump on steel and aluminum tariffs.
“Make no mistake, we will stand up for our workers and fight for their families and their communities,” Trudeau said. “And Donald, it’s all the more reason why we need to keep working to remove the tariffs on steel and aluminum between our two countries.”