December 21, 2018: In his presidential proclamation, President Trump announced that he was ending the Islamic Republic of Mauritania on January 1, 2019 as a beneficiary of the African Growth and Opportunity Act (AGOA). [Policy document] [Trade Agreements] April 12, 2018 During a meeting with Republicans from agricultural countries, President Trump instructed his advisers to consider whether the United States could negotiate its path to the Trans-Pacific Partnership (TPP) that he left in 2017. Many say that the TPP would be an economic and strategic lever vis-à-vis China, which is not a member of the TPP. In his April 12 tweet, Trump said that “if the TPP would only join if the agreement was significantly better than the deal offered to President Obama. We have already concluded bilateral agreements with six of the eleven nations in the TPP and we are working to reach an agreement with the largest of these nations, Japan, which have been hitting us hard in trade for years! However, other TPP members expressed skepticism about the U.S. return to the trade pact. [Trade Agreement] April 19, 2019: The U.S. International Trade Commission (USITC) releases its independent assessment report on the likely economic impact of the U.S.-Mexico-Canada Free Trade Agreement (USMCA). The USITC found that the USMCA is broadly a balanced agreement for the textile and clothing sector, particularly with regard to the rules of origin (RoO) debate. The USITC also indicated that the changes made by the USMCA to the level of tariff preferences (TpL) would not have a major impact on related trade flows. In accordance with the Bipartisan Congressional Trade Priorities and Accountability Act of 2015 (TPA-2015), the Trump administration will have to work with Congress after the release of the USITC`s Economic Assessment Report to develop legislation for the passage and implementation of the agreement. While the U.S.
Congress has 90 days to discuss and vote on the USMCA, as requested by TPA-2015, there is no specific deadline for the introduction of the USMCA Implementation Act. [Policy document] [Trade agreements] On the basis of the USTR statement, it is possible, even if not confirmed, that the level of tariff preferences (PLA) in the new NAFTA may be more limited. On the other hand, it is not clear whether Canada will participate again in the NAFTA negotiations and when. [Trade Agreements] 3 For a detailed analysis of NAFTA-specific breaches, see “NAFTA at 20,” available at: aflcio.org/reports/nafta-20. Globally, countries are competing for market share in high-income sectors based on innovation. Unfortunately, as this global race for innovation intensifies, many countries have turned to “innovation mercantilism” – a strategy that seeks prosperity by imposing protectionist and trade strategies that reverse market scales to expand domestic technology production. July 26, 2018: At the Meeting of the General Council of the World Trade Organization (WTO), U.S. Ambassador Dennis Shea presented a paper entitled “China`s Economic Model That Disrupts Trade.” The paper focuses on China`s state-led and mercantilist approach and raises concerns that the Chinese government and the Communist Party continue to control or influence the price of key factors of production, including country, labour, energy and capital, and that means of production are not sufficiently allocated or taken into account according to market principles. The document demonstrates the Trump administration`s strong commitment to addressing the roots of the U.S.-China trade dispute: China`s industrial policy, which uses massive market-distorting subsidies and provides other forms of financial support to targeted domestic industries. [WTO] September 30, 2018: The United States has reached an agreement with Canada on the updated North American Free Trade Agreement (NAFTA), now known as the U.S.-Mexico-Canada Agreement (USMCA). According to the fact sheet published by the Office of the U.S.
Trade Representative (USTR), the U.S.