Speaking to reporters in Ottawa, Trudeau says the revamped NAFTA deal - renamed the United States-Mexico-Canada Agreement - is successful in maintaining fairness and balance between Canada and the US, a trading partner 10 times its size. Most important was fighting off the Trump administration's attempt to raze NAFTA's dispute-settlement chapter, an imperfect shield from Washington's liberal use of punitive tariffs, but a shield all the same.
Canadian negotiators "have done an outstanding job of getting us into the agreement", said Mark Nantais, head of the Canadian Vehicle Manufacturers' Association, which speaks for Ford Motor Company, General Motors Company and Fiat Chrysler Automobiles.
Over time it will force auto companies to spend billions of dollars to produce more of their future products in the USA or Canada to meet new requirements that 40 to 45 percent of a vehicle's value content come from high-wage areas. "We still have more work ahead of us before anything is final, and I will continue working with the administration as we craft legislation needed to implement an updated NAFTA".
But those principles of "fairness" and "reciprocity" can look very different depending on which workers or industries you're talking about.
From a strategic standpoint, the agreement announced Sunday night will benefit America's dairy sector because it preserves the overall structure of the 24-year-old North American Free Trade Agreement (NAFTA).
Canada, the United States' No. 2 trading partner, was left out when the USA and Mexico reached an agreement last month to revamp the Nafta.
U.S. Trade Representative Robert Lighthizer told reporters in Washington that the United States would be willing to discuss the matter "after we take a few days to catch our breath".
The deal does not include any changes to separate U.S. tariffs on steel and aluminum levied earlier this year on Canada, Mexico, China, the European Union and others. It reached a deal with the administration in August that was intended, among other things, to shift some manufacturing and investment away from low-priced Mexico to the United States. Meanwhile, Canada and Mexico tend to be more focused on consumer protections.
"This is a pretty narrow deal".
"Our supply managed producers will be fully compensated, because that is the fair thing to do", she said without providing details on planned compensation. "It actually complicates certain aspects of the auto sector production and trading".
The US dairy industry has for many years produced a huge surplus of milk, to the point where dairy farmers have had to dump millions of gallons of milk into the garbage, and the government has even had to purchase huge quantities of surplus cheese.
That morning, before Trump's news conference, U.S. Ambassador David MacNaughton spoke at an event in Toronto with U.S. -based website Politico, where on a scale of one to 10, he put the chances of the two sides being able to reach a deal at "five".
"Class 7 milk pricing in Canada caused problems for US manufacturers in two different ways", said Eric Meyer, the president of HighGround Dairy in Chicago. USMCA requires Canada to remove a policy that made it cheaper for Canadian processors to buy domestic ultra-filtered milk, an ingredient of yogurt and cheese, along with powdered milk and milk proteins, Bloomberg reports.
"On Tuesday, all the rumblings were that Trump and Trudeau were going to meet at the General Assembly - in fact, senior-level USA officials were telling stakeholders that at private dinners, luncheons, receptions in Canada and the US", the source said.
The agreement reached Sunday gives US farmers greater access to the Canadian dairy market. "We fail to see how this deal can be good for the 220,000 Canadian families that depend on dairy for their livelihood". Experts warn that this could cost the health care system by pushing up the price of generic drugs. US President Donald Trump imposed taxes on imports from Mexico and Canada, and the two countries retaliated.