that will be the name i guess that 99% of the time we ll be hearing, usmca. has a good ring to it. i have long contended that nafta was perhaps the worst trade deal ever made. since nafta s adoption the united states racked up trade deficits totaling more than $2 trillion and it s a much higher number than that with dcanada ad mexico it lost vast amounts of money and lost 4.1 million manufacturing jobs and one in four auto jobs. lost about 25% of our auto jobs, even more than that. throughout the campaign i promised to renegotiate nafta and today we have kept that promise. but for 25 years as a civilian, as a businessman, i used to see how could anybody have signed a deal like nafta. i watched new england and so many other places where i was just the factories were leaving the jobs were leaving.
that will be the name, i guess, that 99% of the time we ll be hearing, usmca. has a good ring to it. i have long contended that nafta was perhaps the worst trade deal ever made. since nafta s adoption, the united states racked up trade deficits totaling more than $2 trillion, and it s a much higher number than that. with canada and mexico, it lost vast amounts of money. and lost 4.1 million manufacturing jobs and 1 in 4 auto jobs. lost about 25% of our auto jobs, even more than that. throughout the campaign, i promised to renegotiate nafta and today we have kept that promise. but for 25 years as a civilian, as a businessman, i used to say how could anybody have signed a deal like nafta? and i watched new england and so many other places where i was just the factories were leaving,
around what donald trump wanted. he wants more auto jobs in the united states. that means canadian workers have to make more money. that seems to be in this deal. in terms of the north american content the actual parts of a vehicle that actual three come to north america, that s come up to 75% now. all good. there is a sunset clause, which was a deal breaker for both mexico and canada. mexico at least has agreed to say look, okay, we have moved the they say we have moved the united states on this. they don t have to have the trump administration agreed to review the is upset clause every year but it won t automatically die. these are major issues that have been settled and it is significant but it is not a threeway deal. pena nieto who is outgoing was on the phone with trudeau. and trudeau said he is
detroit. look at steel. they saved a few jobs in the steel industry. they offed opportunities for people buying steel companies to make a lot of money out of bankrupt steel companies that then did better. but what they cost was hundreds of us thats of auto jobs, automobile jobs. actually, the very tariffs that we thought would help manufacturing jobs in the steel industry hurt jobs in those industries which were larger and much more broad based that consumed the steel, in auto sectorer and the trucking sector. this is important the look at, the trade-off that you are getting by protecting. it is a tax. an aggressive tax where consumers who earn less are hit harder. it s also a tax that is at the expense of other jobs, more jobs than it saves. at the end of the day even though there are legitimate reasons to deal with the disputes we have there is a better way to deal with them. there is also a different traitoff. i mentioned this with the cap. the chinese cap in theory is
senator toomey, coming out and saying this is a terrible idea. the reason is that these policies are going to hurt trump voters. we re talking about auto jobs, farm jobs, textile jobs. these are the people that are going to get hurt by the policies that donald trump is pushing through. so howie, what do you think? wise move or big mistake? what the washington establishment fails to understand, when he makes aggressive moves, even against his allies, it s his negotiating style. it s part of an opening bid. he did it in real estate. granted, it s harder to do it on the world stage. in the end, i predict he ll back off to some degree, he ll predict victory, there won t be a trade war, but meanwhile he s moving the ball because if you take a rough position, even with your friends, that gives you room to ultimately make a deal. it s an argument among family members. we ll see. thanks, you guys.