{"id":7927,"date":"2020-06-20T08:38:14","date_gmt":"2020-06-20T13:38:14","guid":{"rendered":"http:\/\/www.iisd.org\/itn\/?p=7927"},"modified":"2024-08-09T18:30:58","modified_gmt":"2024-08-09T16:30:58","slug":"uscma-to-enter-into-force-on-july-1-following-canadas-rushed-ratification-earlier-this-year","status":"publish","type":"post","link":"https:\/\/www.iisd.org\/itn\/2020\/06\/20\/uscma-to-enter-into-force-on-july-1-following-canadas-rushed-ratification-earlier-this-year\/","title":{"rendered":"USCMA to Enter into Force on July 1 Following Canada\u2019s Rushed Ratification Earlier This Year"},"content":{"rendered":"<p>On April 24, 2020, USTR Robert Lighthizer <a href=\"https:\/\/ustr.gov\/about-us\/policy-offices\/press-office\/press-releases\/2020\/april\/usmca-enter-force-july-1-after-united-states-takes-final-procedural-steps-implementation\">announced<\/a> that the <span class='tooltipsall tooltipsincontent classtoolTips20'>USMCA<\/span> would enter into force on July 1 of this year, <a href=\"https:\/\/www.reuters.com\/article\/us-health-coronavirus-trade-usmca\/u-s-senators-urge-coronavirus-delay-to-june-1-usmca-trade-deal-start-date-idUSKBN21I01J\">one month later<\/a> than was previously agreed upon.<\/p>\n<p>The agreement, which replaces the <span class='tooltipsall tooltipsincontent classtoolTips19'>NAFTA<\/span>, was ratified by Mexico in June 2019. Following changes to the text to address <a href=\"https:\/\/www.iisd.org\/itn\/2020\/03\/10\/trump-signs-usmca-bringing-naftas-replacement-closer-to-entry-into-force\/\">concerns<\/a> raised by US Democrats related to the stringency of labour and environmental provisions, the United States House of Representatives passed the agreement on December 19, 2019.<\/p>\n<p>Following a delayed parliamentary vote due to the country\u2019s 2019 election, the agreement was tabled for debate in the Canadian Parliament in January 2020. While the agreement faced opposition from the Conservative party, with the support of the left-leaning NDP the ruling Liberals managed to <a href=\"https:\/\/www.ctvnews.ca\/politics\/liberals-get-ndp-support-to-fast-track-nafta-bill-through-committee-1.4817405\">fast-track a vote<\/a> on the agreement before Parliament before was suspended on March 13, 2020, over concerns regarding the COVID-19 pandemic.<\/p>\n<p>However, in light of the global pandemic, some <a href=\"https:\/\/www.reuters.com\/article\/us-health-coronavirus-trade-usmca\/u-s-senators-urge-coronavirus-delay-to-june-1-usmca-trade-deal-start-date-idUSKBN21I01J\">US Senators<\/a>, automakers\u2019 associations, and <a href=\"https:\/\/www.reuters.com\/places\/mexico\/article\/us-usa-trade-usmca-mexico\/mexico-asks-u-s-canada-to-grant-automakers-transition-for-usmca-rules-idUSKBN21P33E\">Mexican officials<\/a> have requested a delay in implementation of the agreement until January 2021, citing time needed to update supply chains to comply with new rules of origin requirements in the new agreement. Under the agreement, <a href=\"https:\/\/ustr.gov\/trade-agreements\/free-trade-agreements\/united-states-mexico-canada-agreement\/fact-sheets\/rebalancing\">75% of auto content<\/a> must be produced in North America. However, the pandemic has shuttered many auto factories across the continent, which may create difficulties for manufacturers in complying with the initial requirements of the agreement.<\/p>\n<p>To date, no delay has been agreed upon.<!--more--><\/p>\n<script type=\"text\/javascript\"> toolTips('.classtoolTips19','North American Free Trade Agreement'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips20','United States\u2013Mexico\u2013Canada Agreement'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips32','International Institute for Sustainable Development<!--more-->'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips33','Institut international du d\u00e9veloppement durable'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips34','Instituto Internacional para el Desarrollo Sostenible'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips60','Investment Treaty News'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips67','Energy Charter Treaty'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips70','free trade agreement'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips72','Investment Court System'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips76','multilateral investment court'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips110','inversi\u00f3n extranjera directa'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips116','European Commission'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips117','European Union'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips118','Union europ\u00e9enne'); <\/script><script type=\"text\/javascript\"> toolTips('.classtoolTips119','Uni\u00f3n Europea'); <\/script>","protected":false},"excerpt":{"rendered":"<p>On April 24, 2020, USTR Robert Lighthizer announced that the <span class='tooltipsall tooltipsincontent classtoolTips20'>USMCA<\/span> would enter into force on July 1 of this year, one month later than was previously agreed upon.<script type=\"text\/javascript\"> toolTips('.classtoolTips20','United States\u2013Mexico\u2013Canada Agreement'); <\/script><\/p>\n","protected":false},"author":1,"featured_media":15869,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[397],"tags":[1964,1965],"class_list":["post-7927","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-nafta","tag-usmca-cusma-aceum-t-mec"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/posts\/7927","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/comments?post=7927"}],"version-history":[{"count":0,"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/posts\/7927\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/media\/15869"}],"wp:attachment":[{"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/media?parent=7927"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/categories?post=7927"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.iisd.org\/itn\/wp-json\/wp\/v2\/tags?post=7927"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}