Graves: It is critical for Congress to approve new NAFTA agreement

(From Sixth District Congressman Sam Graves)

President Trump has made it no secret that he isn’t a fan of the North American Free Trade Agreement (NAFTA) and other trade deals he considers unfair to the United States.

I agree with the President that we need to have fair trade deals that are beneficial to our country. According to the Office of the U.S. Trade Representative, the U.S. goods and services trade deficit with Mexico alone was $63.6 billion in 2017. That’s unacceptable.

At the same time, we can’t just throw out a deal completely. Not only is Mexico the number one destination for Missouri corn exports, it’s reported that the U.S. economy earns more than $127 billion from the revenue generated from NAFTA trade.

We’ve seen some very positive results from NAFTA and we’ve seen some very harmful side effects especially locally. After 24 years, renegotiation was necessary not only to make sure we had the best deal, but to compete in the 21st century.

Earlier this week, the White House announced that a new agreement had been reached with Canada and Mexico on a renegotiated NAFTA. A 21st century NAFTA will better serve American farmers, manufacturers and workers.

Agriculture already saw many benefits under the old agreement. However, with this new agreement, they will see even greater benefits. Canada will no longer be able to undersell U.S. dairy products. Additionally, dairy products, eggs and poultry from the United States will gain new access in the Canadian market. These are all big wins for agriculture.

Another key provision in the new agreement deals with automobiles. Now, more cars and trucks will be made in North America by workers who are being paid a decent wage. There will be less incentive to move auto plants to Mexico. American workers win as a result of the new agreement.

This improved version of NAFTA has been a long time coming. It’s obvious that our trade agreements have to be in line with the economy as it exists today while working toward improving the American economy of tomorrow. I commend the President and his administration for working tirelessly with Canada and Mexico to come to terms on this deal. It just proves that that, with a little patience, diligence, and hard work, we can change the status quo and bring even greater benefits to our country. It’s critical that Congress works together to approve this deal in the very near future.