NAFTA
The USMCA: Something New or #JustAnotherNAFTA
The North American Free Trade Agreement (NAFTA) finally got a major overhaul, something campaigned on by President Trump and negotiated in Congress for the past three years. There are a number of significant changes about which American businesses need to be aware. Below we'll discuss 5 key differences between USMCA and NAFTA. When NAFTA came into force on January 1, 1994, it was seen as a way to foster economic growth [...]
Is Your Company Capitalizing on Free Trade Agreements (FTAs)?
The primary purpose of free trade agreements (FTAs) is to lower or remove tariff barriers that hamper the active trade of goods and services between countries and to protect intellectual property rights. The U.S. alone has more than 12 FTAs, and there are more than 400 regional trade agreements worldwide; even so, it appears that many companies fail to leverage this opportunity to open up foreign markets to their products. Based on [...]
Official Network of Automotive Manufacturing Clusters in Mexico
In a response to changes in the international economic environment, such as the trade war between the United States and China and the implementation of the new free trade treaty between the US, Mexico, and Canada (USMCA), nine of the country’s automotive manufacturing clusters in Mexico have joined together to create a formal associative network. [...]
Do You Know What IMMEX Stands For?
It is common to hear that auto part manufacturers with plants in Mexico that export their final products or that sell them to Mexican Original Equipment Manufacturers (OEMs), operate under trade facilitation programs that allow them to import into Mexico raw materials, machinery and equipment with certain benefits. Most of the manufacturers operate as IMMEX [...]
Mexico becomes first country to pass USMCA
Mexico’s Senate on Wednesdaypassed the USMCA, making it the first country to ratify the new North American trade pact. "USMCA passes! Mexico goes first with clear signal that our economy is open," Jesús Seade, Mexico's undersecretary for foreign affairs, wrote on Twitter. "We're confident that our partners will soon do the same," Seade added. Passage in Mexico [...]
NAFTA, Explained With a Toy Car
NAFTA made your car cheaper, USMCA could change that.When the North American Free Trade Agreement began in 1994, auto companies in the US, Canada and Mexico could trade parts and cars without paying tariffs. And they could source parts and labor from the cheapest places. That is a big reason why US car prices have only risen seven percent in 25 years. But the proposed US Mexico Canada Agreement — or USMCA for short — could change that; President Trump’s new deal would increase the regulations that car manufacturers need to meet in order to sell tariff-free cars. We built a Ford Mustang to explain.
All About That Base(line): How to Interpret the International Trade Commission Report on USMCA
On or around April 18, the U.S. International Trade Commission (ITC) is expected to release a report assessing the expected effects on the U.S. economy of the United States-Mexico-Canada Agreement (USMCA). Interpreting the report is going to be… complicated. This report is required under the Bipartisan Trade Priorities and Accountability Act of 2015 (known as [...]
What Happens If The USMCA Doesn’t Happen?
If you can't move production to avoid tariffs like the companies in the story below, make sure to get the training you need. Make sure you are properly classifying products and applying the correct tariff rates. Don't take a risk, get training here. Executive Summary The U.S. Congress has not yet ratified the United States-Mexico-Canada [...]
8 Strategies GE is Using to Mitigate Tariff Cost
If you can't move production to avoid tariffs like the companies in the story below, make sure to get the training you need to make sure you are properly classifying products and applying the correct tariff rates. Don't take a risk, get training here. HOUSTON — GE was blindsided when President Donald Trump's tariffs on [...]
US/Mexico/Canada Agreement Strengthens American Workers and Competitiveness – Heidi Heitkamp
If you can't move production to avoid tariffs like the companies in the story below, make sure to get the training you need. Make sure you are properly classifying products and applying the correct tariff rates. Don't take a risk, get training here. At 25 years old, the North American Free Trade Agreement (NAFTA) is [...]