The USMCA was up for an automatic renewal yesterday. The US declined to automatically renew the agreement.
Here we are on July 2 and the sky has not fallen and life continues, the way it did on June 30.
Donald Trump along with the leaders of Canada and Mexico signed up on the USMCA, back in 2020. At the time, Donald Trump called it a fantastic agreement. He’s not so happy about it anymore.
When the agreement was signed, it was signed for a 16 year period, set to terminate in 2036. If all three parties, the US, Mexico and Canada had agreed to renew the agreement yesterday, the agreement would’ve been renewed automatically until 2042. Donald Trump decided not to renew the agreement.
All this means is that there has to be an automatic review of the agreement on an annual basis. Donald Trump could’ve chosen the option of notifying that he wanted the agreement to end within six months time. He chose not to do that. With the midterm election coming up in November, he knew that this would have spelled disaster for the Republican Party. . So he backed down and just chose not to automatically extend the agreement for another six years beyond 2036.
That is all that happened, nothing more. In a sense, Donald Trump pulled off another TACO (Trump always chickens out).
That’s all I have for today.