Tuesday, October 02, 2018

The new trade agreement with Mexico and Canada (CAMUS) is basically the same as NAFTA. The American worker is NOT receiving a benefit because the car manufacturers have assembly plants in Mexico. Assembly plants that receive their parts from other countries do not have to abide by CAMUS. Then if the assembly plant workers are not receiving $16.00 per hour there is a tariff placed on each car assembled in Mexico as they cross the US border. That tariff will not effect the profits of the car companies and will be passed on to the consumer. However, the tariff will go to the US Treasury and therefore the tariff is a tax car buyers will pay for Trump tax cuts.