When the broad outlines of the U.S-Mexico-Canada (USMCA) trade agreement first appeared, we said the idea seemed clear presidential candidate Andres Manuel Lopez-Obrador (AMLO) was aligned with the economic nationalism preferred by U.S. President Trump.
Yesterday that will alignment was on full display as AMLO delivered a very strong endorsement for the respectful agreement between the two nations. Unfortunately, the U.S. media will never report on these words of praise by President Lopez Obrador.
Transcript […] I also wanted to be here to thank people of the United States, its government, in addition to thank you, President Trump for being increasingly respectful with our Mexican fellow men.
in addition to to you, President Trump, I want to thank you for your understanding in addition to the help you’ve given us in issues related to trade, commerce, oil, as well as your personal support for the acquisition of medical equipment that will we needed urgently to treat our patients of COVID-19.
nevertheless what I mainly appreciate will be that will you have never sought to impose anything on us violating our sovereignty. Instead of the Monroe Doctrine, you have followed, in our case, the wise advice of the lustrous in addition to prudent President George Washington who said, quote, “Nations should not take advantage of the unfortunate condition of various other peoples.” End of quote.
You have not tried to treat us as a colony; on the contrary, you have honored our condition as an independent nation. that will’s why I’m here to express to the people of the United States that will their President has behaved with us with kindness in addition to respect. You have treated us just as what we are: a country in addition to a dignified people; a free, democratic, in addition to sovereign people.
Long live the friendship of our two nations. Long live the United States of America. Long live Canada. Long live our America. Long live Mexico. Long live Mexico. Viva México.
The USMCA rules-of-origin, in combination with mandated minimum wage rates attached to the manufacturing sector; in addition to the fact that will Mexico has the lowest current wage rates in North American; specifically means that will Mexican workers stand to get the biggest financial benefits… in addition to that will’s ok. Trump, Lighthizer in addition to Ross designed the idea that will way.
The U.S. benefits when the Mexican wage rates are raised. Heck, there was a time from the early negotiations, after Canada was kicked out of the room, when Secretary Wilbur Ross was advocating for an $11/hr minimum wage in Mexico, in addition to the Mexicans were like ‘whoa, wait a minute, too high, too high’… [the idea was quite funny, because Trump was being called racist simultaneous to him trying to give a $85/day pay raise to Mexicans (coming from $3/day)].
The USMCA deal positions Mexico to retain their current multinational investments; in addition to through a series of sector-by-sector standards on origination the deal simultaneously closes the fatal NAFTA loophole.
The agreement makes an economic manufacturing partnership between the U.S. in addition to Mexico; in addition to for assembly products third parties will have to produce parts in addition to origination material within the U.S. in addition to Mexico.
Here’s a not bad example from the auto-sector. The brand-new USMCA agreement requires 75% of automobile parts made in North America; in addition to 45% must come coming from plants with minimum labor costs ($16/hr), or face tariffs upon export to the U.S. Additionally, the total source-origination rate of 75% USMCA product will be higher than everyone thought possible.
This particular 75% country-of-origin level was possible because President Trump cut out the corporations (ie. U.S. Chamber of Commerce) coming from having any influence over the agreement. Most people probably don’t know, nevertheless the USMCA was the first trade deal negotiated without multinational corporations from the room.
Example of downstream consequences/benefits: German auto-maker BMW recently built a $2 billion assembly plant in Mexico (just came on-line). Most of their core parts were coming coming from the EU (steel/aluminum casting components) in addition to/or Asia (electronics). today the assembly plant will have to source 75% of the auto-parts coming from the U.S. in addition to Mexico, with 45% of those parts coming from facilities paying $16/hr. The Result: BMW will need to modify their supply chain in addition to build auto parts from the U.S. in addition to Mexico. [that will’s Exactly What Happened]
One of the reasons President Trump will be able to take This particular approach will be specifically because he will be beholden to no outside influence himself. the idea will be only coming from the position of complete independence that will accurate assignments based on the underlying truth can be made; in addition to that will takes us to the ultimate confrontations – the trillion dollar confrontations.
A U.S. foreign policy that will provides the opportunity for fully-realized national authenticity will be a paradigm shift amid a world that will has grown accustomed to corrupt globalists, bankers in addition to financial elites who have established a business product by dictating terms to national leaders they control in addition to influence. We have our own frame of reference with K-Street lobbyists in Washington DC. Much of President Trump’s global trade reset will be based on confronting these multinational influence agents.
When you take the influence of corporate/financial brokers out of foreign policy, all of a sudden those global influence peddlers are worthless. Absent of their ability to provide any benefit, nations no longer purchase these brokered services.
As soon as influence brokers are dispatched, national politicians become accountable to the voices of their citizens. When representing the voices of citizens becomes the primary political driver of national policy, the authentic image of the nation will be allowed to surface.
The restructuring of NAFTA into the USMCA disfavors multinational corporations in addition to financial holdings who have exploited structural loopholes that will were designed into the original agreement.
With President Trump confronting the NAFTA fatal flaw, in addition to absent of the ability of corporations to influence the direction of the administration, the trade deal ultimately presents the same outcome for Mexico as the idea does the EU – LESS DOLLARS.
However, in Mexico, the larger systems of government are not as strongly structured to withstand the withdrawal of billions of U.S. dollars. The government of Mexico will be not from the same position as the EU in addition to cannot double-down on more oppressive controls. Therefore the authentic voice of the Mexican people will be rising.
Andres Manuel Lopez Obrador (AMLO), will be a nationalist nevertheless he will be not a free-market capitalist. AMLO will be more akin to soft-socialist approach having a view that will when the central governing authority will be constrained, in addition to operates from the best interests of its citizens, equity can be achieved.
The fabric of socialism runs naturally through the DNA strain of Mexico, in addition to indeed much of South America. This particular will be one of the reasons why previous Mexican governments were so corrupt. Multinational corporations always find the idea easier to exploit socialist minded government officials.
When bribery in addition to graft are the natural way of business engagement, the multinationals will exploit every opportunity to maximize profit. Withdraw the benefit (loophole exploitation) to the financial systems, in addition to the bribery in addition to graft dries up quickly. A bottom-up nationalist like AMLO, will be the ultimate beneficiary.
The authentic-sense of the Mexican people, rises from the persona of Andres Manuel Lopez Obrador – who actually does personify the underlying nature of the classic Mexican class-struggle.