A new addition to the USMCA is the inclusion of Chapter 33, which covers macroeconomic policies and exchange rate issues. This is considered important because it could set a precedent for future trade agreements.  Chapter 33 sets out requirements for currency and macroeconomic transparency that, in the event of a breach, would be grounds for litigation under Chapter 20.  The United States, Canada and Mexico currently meet all of these transparency requirements in addition to substantive policy requirements that comply with the international Monetary Fund`s articles.  The renegotiated agreement contains a chapter on macroeconomic policies and exchange rate issues, with new political and transparent monetary commitments. The chapter will address unfair monetary practices by requiring high-level commitments to avoid any devaluation of competition and to target exchange rates, while significantly increasing transparency and providing accountability mechanisms. This approach is unprecedented in the framework of a trade agreement and will contribute to strengthening macroeconomic stability and exchange rates. The U.S.-Mexico-Mexico Agreement (USMCA) is a trade agreement between these parties. The USMCA replaced the North American Free Trade Agreement (NAFTA). In particular, the chapter has the strongest trade secrets protection of a previous U.S. trade agreement. It includes all the following safeguards against the misuse of trade secrets, including by state-owned enterprises: civil proceedings and remedies, criminal proceedings and sanctions, prohibitions on obstruction of the licensing of trade secrets, judicial proceedings to prevent the disclosure of trade secrets during the judicial proceedings and sanctions against government officials for unauthorized disclosure of trade secrets. In summary, the USMCA contains many provisions that advance public health and FDA regulatory approaches.
Now that the agreement has come into effect, we will continue to follow what it means for the FDA, for public health and for our regulated industries. The United States, Mexico and Canada have agreed on the most advanced, comprehensive and highest environmental chapter of a trade agreement. Like the work chapter, the “Environment” chapter puts all environmental provisions at the heart of the agreement and makes them applicable. In 1994, the United States, Mexico and Canada, with the North American Free Trade Agreement (NAFTA), created the world`s largest free trade region, which generated economic growth and helped improve the living standards of the people of the three member countries. By strengthening trade and investment rules, this agreement has proven to be a solid foundation for building Canada`s prosperity and has provided a valuable example of the benefits of trade liberalization for the rest of the world. The new Canada-U.S.-Mexico agreement will strengthen Canada`s strong economic ties with the United States and Mexico. Before work, here`s some background. The World Trade Organization (WTO) is the multilateral organization that has established the basic rules of trade among its 164 member states, including the United States. Within the WTO, there are two non-tariff agreements that directly affect FDA regulators: the Agreement on the Application of Health and Plant Health Measures (SPS), which includes food and animal safety measures essential to the protection of human and animal health, and the agreement on technical barriers to trade or the CTA, which covers the technical rules necessary to ensure compliance with FDA requirements (and packaging).
transparency, normative measures and compliance assessment.