New CPA Analysis: Decade of Failed Trade Concessions Exposes ‘Fortress North America’ as a Mirage
New CPA article documents a decade of failed tariff policy concessions to accommodate Canada and Mexico’s promised “Fortress North America.”
New CPA article documents a decade of failed tariff policy concessions to accommodate Canada and Mexico’s promised “Fortress North America.”
The collapse of the U.S.-Canada trade deal is providing a rare glimpse into the secret world of international trade negotiations. Beyond just the insider view, we are being given hope that the mirage of “Fortress North America” can be put to rest.
The July goods deficit hit a record for the year at $119.59 billion, according to Thursday’s data from the U.S. Bureau of Economic Analysis (BEA). If oil and gas export values are removed, the goods gap with the world for July comes in at $128.55 billion.
In one August week, Washington reopened the border to Mexican cattle, expanded low-tariff beef imports, and finally turned to the packers. Only one targets the real problem.
Mexico’s top trade diplomat, Marcelo Ebrard, was in Washington for several days last week [from Aug. 24 to Aug. 26] but quietly left empty handed on Wednesday.
The collapse of the U.S.-Canada trade negotiation on August 21 drew headlines and criticism aimed at Washington. What the criticism misses is that the deal on the table would have undercut a key plank of U.S. reindustrialization policy and a vital supply line for national security.
New data showing a sharp increase in Mexican heavy-duty truck production and exports to the United States underscores the importance of maintaining strong tariff protections that encourage commercial vehicle production and investment in the United States.
President Trump was right to strengthen the Section 232 tariffs on steel and aluminum, and the breakdown of these negotiations should put an end to proposals to weaken them.
If Canada wants a deal, there is no shortage of things Ottawa can put on the table — America’s national security tariffs on aluminum and steel are not among them
The report documents how goods subject to higher U.S. tariffs are routinely rerouted through lower-tariff countries, undermining both tariff enforcement and American manufacturing.