Feigenbaum Law

NAFTA

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NAFTA

Following Newly Signed Trade Agreement, Debates Over Tariffs Continue

Canadian Foreign Affairs Minister told the press today that President Donald Trump’s steel and aluminum tariffs contradict a key component of the new Canada-United States-Mexico Agreement (CUSMA), which will be replacing NAFTA. “CUSMA” Finalized After more than a year of often uncertain and highly charged negotiations, Mexico, Canada and the U.S. finally reached an agreement on tripartite trade earlier this fall. The agreement… Read More

USMCA

NAFTA

Introducing the USMCA: Goodbye NAFTA

After more than a year of negotiations and mere hours before a midnight deadline, Canada, the U.S., and Mexico have reached a tripartite trade deal. No longer known as NAFTA, the new agreement is called the United States-Mexico-Canada Agreement, or USMCA. In a joint statement, Canadian Foreign Affairs Minister Chystia Freeland and U.S. Trade Representative Robert Lighthizer said, about the new agreement: It will strengthen the middle class, and… Read More

NAFTA

NAFTA

NAFTA Uncertainty Continues in the Wake of Cross-Border Trade Dispute

Despite President Trump indicating his intention not to sign a renegotiated NAFTA deal until after the U.S. midterm elections this November, and with an unprecedented and still unfolding cross-border dispute over tariffs, Ottawa continues to push for intensive trilateral talks to continue this summer. A government official familiar with the negotiations told the National Post that: “Our priority has always been to conclude a mutually beneficial agreement as quickly as… Read More

Rules of origin

NAFTA

NAFTA Discussions Continue with Focus on the Automotive Sector

Ongoing NAFTA discussions resumed today, with a continued focus on the automotive sector. Canada’s Foreign Affairs Minister, Chrystia Freeland, met with U.S. Trade Representative Robert Lighthizer and Mexican Economy Minister Ildefonso Guajardo today,  told the media that she believes strongly that the rules of origin for autos in the highly integrated industry lie at the heart of the negotiations. Rules of Origin for Autos Freeland predicts that the parties getting these rules… Read More

Investment

Corporate Tax Planning

Head of One of Canada’s Largest Banks Warns of a Significant Investment Exodus to the U.S

Dave McKay, the president and CEO of RBC has told the Canadian Press that the federal government must act to staunch the flow of investment capital from Canada to the U.S. His concerns come as Ottawa has already been facing pressure from business leaders to respond to the recent tax overhaul south of the border. Capital Flow Out of the Country May Be Followed by a Brain Drain One… Read More

Auto industry

NAFTA

Key Auto Industry Concessions Made in Ongoing NAFTA Discussions

CBC News is reporting on a breakthrough in ongoing NAFTA discussions, welcome news to many who believed that the U.S. would withdraw from the trilateral trade agreement. This week, U.S. negotiators abandoned their previous demand that all vehicles made in Canada and Mexico that are bound for the U.S. market must contain at least 50% American-made components. This had been a highly contentious sticking point in prior discussions and… Read More

Davos

NAFTA

Economic Discussions Conclude at Davos: What is the Prognosis for NAFTA and the TPP?

The World Economic Forum took place this week in Davos, Switzerland. Global business and political elite gathered to set the agenda for international commerce. The theme of this year’s forum was “Creating a Shared Future in a Fractured World” Canada’s Agenda In a speech to Davos delegates, Prime Minister Trudeau noted that Canada is working hard to “make sure ‘our neighbour to the south’ realizes that protecting NAFTA is in everyone’s best interests”. In a… Read More

MLI

NAFTA

Business Groups Warn that U.S. Tax Reform May Have More Impact on Canada than End of NAFTA

Canadian business associations have warned that the recently announced tax changes in the U.S. may end up negatively impacting the Canadian economy more than the possible termination of NAFTA. Much attention has been focused on the Republican’s decision to decrease corporate taxes to levels comparable to Canada’s. The Business Council of Canada John Manley, the President of the Business Council of Canada has said that he believes that the fallout of the tax changes… Read More

NAFTA

NAFTA

Life After NAFTA: Some Predictions

The fifth round of NAFTA negotiations finished in Mexico City last week. At the end of the talks, Canadian Foreign Affairs Minister, Chrystia Freeland, stated that several stumbling blocks remained in the ongoing talks, including the U.S’ continued insistence on a five-year sunset clause and stiffer content rules for the auto sector. With major differences remaining unresolved, there is doubt as to whether a deal can be reached by the end of March 2018 as… Read More

NAFTA negotiations

NAFTA

NAFTA Negotiations Resume This Week for Fifth Round of Talks

After a month away from the negotiating table, NAFTA talks resumed this week for the fifth round of deliberations. The most recent round began today in Mexico City and was focused on technical discussions, with more fulsome negotiations to begin Friday and last until November 21st. This session is expected to review smaller elements of NAFTA but leave the most high-profile and contentious U.S. demands for later rounds. For the first time, no Cabinet-level… Read More