Donald Trump is undergoing massive pressure to remove tariffs on steel and aluminum as the white house pushes for approval of the Mexico-Canada deal.
Chuck Grassley who is a Republican senator says that the Congress does not even have the zeal to debate about the agreement as long as there are tariffs on aluminum and steel. Grassley wrote in a column that as long as the levies are still in place the trade deal is dead.
The pressure to do away with the tariffs are also coming from abroad. All the three countries must approve the Mexico- Canada deal. However, leaders from Canada and Mexico say that they do not see the sale going through if the levies are still in place.
Daniel Ujczo an attorney based in Ohio said that the agreement will not be advancing in any of the three countries if the aluminum and steel tariffs are still there.
Some labor groups and other congressional Democrats are requesting for other changes before the deal can be approved. They want a mechanism to be put in place which will ensure that the new labor rules Mexico can adapt under the current trade rule to make sure that the workers’ rights are protected.
The deal offers new rules governing the movement of goods from the three countries and which will replace the NAFTA agreement.
The NAFTA agreement removed all forms of tariffs on many of the products which were traded by the three states Washington, Mexico City, and Ottawa.