Donald Trump’s Trade Strategies. A Few Reflections on the Process of Transformation of NAFTA in the USMCA Cover Image

Strategie Handlowe Donalda Trumpa. Kilka refleksji nad procesem transformacji NAFTA w USMCA
Donald Trump’s Trade Strategies. A Few Reflections on the Process of Transformation of NAFTA in the USMCA

Author(s): Rett R. Ludwikowski
Subject(s): Economy, Economic policy, International relations/trade, Globalization
Published by: Oficyna Wydawnicza KA AFM
Keywords: globalizations and regionalization;antiglobalism;strategic trade;protectionism and isolationism;multilateral and bilateral agreements;“America First”;“Buy American” principle; NAFTA;USMC;

Summary/Abstract: This article is largely a continuation of the research of the Jagiellonian University Professor, Michał Chorośnicki on the development of trade relations between the countries of North and Central America (the United States, Mexico and Canada). This research resulted in the publication of Professor Chorośnicki’s outstanding book North American Free Trade Agreement. NAFTA. Decade of Transformation. This article consists of three main parts. Part one develops Professor Chorośnicki’s concerns that NAFTA, as a free trade deal, was poorly balanced, mainly by Mexico’s membership as the most economically vulnerable partner of the pact.Part two examines President Donald Trump’s trade maneuvers which were supposed to replace multilateral agreements by bilateral agreements and the policy of globalization by the concept of strategic trade developed according to the protectionist motto “America First”, that generally emphasizes American nationalism and unilateralism.Part three examines the process of transformation of NAFTA – in Trump’s opinion – a “disaster” for the United States into the “phenomenal” USMCA pact. This section focuses on several of the most important differences between the two agreements (the introduction of the so-called America content value clause into USMCA; the elimination of future “panel decisions” in the resolution of anti-dumping and countervailing disputes; the extension of the Buy American Act provision, which requires the parties to prefer US-made products in their purchases and finally changes to the so-called sunset formula)

  • Issue Year: XVI/2019
  • Issue No: 4
  • Page Range: 213-222
  • Page Count: 10
  • Language: Polish