Pelosi Is Skeptical U.S.-Canada-Mexico Trade Deal Will Pass This Year
November 21 2019 - 4:49PM
Dow Jones News
By William Mauldin and Andrew Duehren
WASHINGTON -- House Speaker Nancy Pelosi cast doubt Thursday on
whether Congress will be able to pass President Trump's
renegotiated North American trade agreement this year.
"I'm not even sure if we came to an agreement today that it
would be enough time to finish -- it just depends on how much
agreement we come to," Mrs. Pelosi told reporters at a
briefing.
Mrs. Pelosi (D., Calif.) is working with U.S. Trade
Representative Robert Lighthizer on changes to the pact that the
Trump administration negotiated with Canada and Mexico.
Her comments marked a shift from remarks a week ago, when Mrs.
Pelosi said Democrats were on the verge of reaching a consensus
that could be put to a vote.
Organized labor and progressive Democrats want to see stronger
provisions to enforce labor and environmental provisions in Mr.
Lighthizer's pact, known as the U.S.-Mexico-Canada Agreement, or
USMCA. The new deal would replace the North American Free Trade
Agreement, or Nafta.
After her briefing Thursday, Mrs. Pelsoi and House Ways and
Means Committee Chairman Richard Neal (D., Mass.) met Mr.
Lighthizer on Capitol Hill in the latest effort to reach a
consensus on changes to the pact.
"We've made progress," Mrs. Pelosi said upon leaving the
meeting. "I think we're narrowing our differences."
Mr. Neal said after the meeting that the two sides were working
on resolving about three remaining issues, down from five
previously.
A spokesman for Mrs. Pelosi said that Democrats can reach an
agreement on USMCA after Mr. Lighthizer makes the agreement's labor
provisions enforceable, to the benefit of American workers.
Business groups, farmers and officials from border regions that
trade heavily with Canada and Mexico have urged U.S. lawmakers to
pass USMCA quickly in 2019, since trade agreements, which typically
rely on complicated bipartisan support, are notoriously difficult
to pass during presidential election years.
Mr. Trump has also repeatedly threatened to withdraw from Nafta,
effectively terminating North America's free-trade zone.
Democrats and labor groups have applauded the new labor rules in
USMCA but want to make sure there are strong provisions to ensure
that Mexico follows through with enforcement.
Mrs. Pelosi and other Democrats who voted for Nafta are
disappointed in that the original North American deal didn't
sufficiently improve working conditions and salaries in Mexico,
allowing the country to lure manufacturing jobs from the U.S.,
aides say.
In his negotiations with Canada and Mexico, Mr. Lighthizer
didn't close a key enforcement loophole highlighted by Democrats
that concerns how disputes involving the three nations would be
resolved.
Labor unions, Democrats and their allies say they are waiting on
the Trump administration to follow through with acceptable
proposals in writing to shore up USMCA in areas important to them
before the House will allow the trade agreement to come to a vote.
Any changes would also need approval in Mexico City and Ottawa.
If Democrats and the Trump administration reach an agreement
acceptable to the two trading partners, then Congress could quickly
vote on it this year or next year under so-called fast track
legislation that allows for passing trade agreements without
amendments or procedural delays.
Passage of a renegotiated North American trade agreement would
mark a major victory for Mr. Trump, who promised in the 2016
election campaign to terminate or renegotiate Nafta.
Write to William Mauldin at william.mauldin@wsj.com and Andrew
Duehren at andrew.duehren@wsj.com
(END) Dow Jones Newswires
November 21, 2019 16:34 ET (21:34 GMT)
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