USMCA, the North American trade deal designed to replace NAFTA, was supposed to be law by now. But the White House and Democrats keep failing to settle all their differences, and now Mexico is beginning to balk. Dan digs in with Politico's Sabrina Rodríguez.
Richard Neal and Nancy Pelosi. Photo: Tom Williams/CQ-Roll Call, Inc via Getty Images
Speaker Nancy Pelosi (D-Calif.) and House Ways and Means Chairman Richard Neal (D-Mass.) announced Tuesday that House Democrats plan to back the United States-Mexico-Canada Agreement (USMCA).
Why it matters: Completing the trade deal, designed to replace NAFTA, is one of President Trump's biggest policy goals for 2019. Democrats' decision to back it — despite unveiling articles of impeachment against the president only an hour prior — highlights how they want something to bring home to their constituents ahead of 2020 as well.
Illustration: Sarah Grillo/Axios
Mexico is considering a U.S. proposal to leave biologics protections out of the new trade deal between the two countries and Canada, Bloomberg reports.
Why it matters: The change could help the trade agreement get across the finish line by garnering Democratic support, but it'd be a big loss for the pharmaceutical industry.
Speaker Nancy Pelosi and Ways and Means Chairman Richard Neal announce the USMCA compromise. Photo: Mark Wilson/Getty Images
Fed chair Jerome Powell said Wednesday that the new U.S. trade deal with Mexico and Canada should remove some trade policy uncertainty, and that it's a positive factor for the economy.
Yes, but: However, the U.S. Chamber of Commerce and other groups have been registering their unhappiness with the trade deal in recent days.