FTAs

Trump announces 'termination' of NAFTA

US President Donald Trump announced Aug. 27 that the US and Mexico have reached an agreement on a new trade deal called the United States-Mexico Trade Agreement, which will ultimately terminate the North American Free Trade Agreement (NAFTA). While sitting at the resolute desk, Trump called Mexican President Enrique Peña Nieto to announce the new pact, which Trump described as "a really good deal for both countries [and] something that is very special for our manufacturers and farmers." Among a number of changes to NAFTA, both parties agreed to a provision that would require a significant portion of vehicles to be made in high-wage factories, a measure aimed to discourage factory jobs from leaving the US. Peña Nieto agreed with Trump while on speaker phone, stating, "I think this is something very positive for the United States and Mexico." The Mexican president further stated that he wanted Canada to be involved in the agreement.

Podcast: First they came for the immigrants....

In Episode 13 of the CounterVortex podcast, Bill Weinberg deconstructs Trump's executive order ostensibly ending the policy of family separation on the southern border, and demonstrates how it actually lays the groundwork for indefinite detention of migrants on military bases. The Central American peasantry, expropriated of its lands by state terror, CAFTA and narco-violence, is forced to flee north—now into the arms of Trump's new gulag. The judiciary may yet pose an obstacle to enforcement of Trump's order, but this brings us to the Supreme Court's upholding of Trump's Muslim travel ban and the grim implications of Justices Anthony Kennedy's imminent resignation. With Congressional calls mounting for putting off confirmation of Kennedy's replacement while Trump remains under investigation over the 2016 electoral irregularities, a constitutional crisis is imminent.

Mexico: AMLO-Trump populist convergence?

Andres Manuel Lopez Obrador—known by his initials AMLO—will be Mexico's next president, following his victory in the July 1 election. By any measure, this is historic—it is the first time a candidate of the left has had his victory honored, after three tries. In 1988, Cuauhtémoc Cárdenas of the Democratic Revolutionary Party (PRD) almost certainly had his victory stolen by fraud. Then, in 2006, AMLO himself, then running with the PRD, claimed his victory was similalry stolen. His supporters launched a protest occupation of Mexico City's central plaza, the Zocalo, and there was talk of forming a "parallel government." Now AMLO, running with his new vehicle, the National Regeneration Movement (Morena), has made it. There is a sense of a real break with Mexico's traditional political parties, The once-hegemonic Institutional Revolutionary Party (PRI) is again discredited, as narco-violence only escalated under the incumbent President Enrique Peña Nieto. AMLO's old vehicle the PRD meanwhile formed an unlikely coalition with the right-wing National Action Party (PAN). 

Plunging potato prices provoke protests in Peru

Potato farmers across Peru's sierras blocked roads with their tractors and trucks for weeks starting in mid-January, demanding a subsidized distribution system for the staple crop in the face of plummeting prices. The National Commission of Potato Producers (Conapropa) struck a deal with the government Jan. 10, but wildcat protests continued in Huancavelica, Huánuco, Junín, Ayacucho and Arequipa regions. Finally, farmers advanced on Lima in a cross-country motorcade. This forced Conapropa leader Fernando Gutiérrez back to the table, meeting with Agriculture Minister José Arista in early February  to strike a better deal. Huancavelica regional governor Glodoaldo Álvarez denied government claims of over-production by farmers, and pointed to massive imports since the 2009 Free Trade Agreement with the US. Farmers at the roadblocks carried banners with slogans such as "¡Abajo el TLC!" (Down with the FTA!). (Peru21, La República, Feb. 2; TeleSur, Feb. 1; El Comercio, Jan. 12)

Chileans protest signing of rebooted TPP

Chilean activists protested in Santiago March 7 against the signing of the new Trans-Pacific Partnership agreement, now rebranded as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), or TPP-11. Protesters outside La Moneda Palace, headquarters of the Chilean government, held banners reading "No to modern slavery, no to the TPP-11" and "The TPP and TPP-11 are the same!" Lucía Sepúlveda, leader of the organization Chile Mejor Sin TPP, said the agreement would "deliver full guarantees to foreign investors" at the expense of "rights and national interests."

Trump's vision for USA: shithole of racism

So by now we've all heard. President Trump, in an Oval Office meeting with a bipartisan group of senators, apparently referred to "shithole countries" whose nationals should not be welcomed in the US. The meeting was ostensibly on possibilities for a compromise immigration deal to protect the now suspended DACA program in exchange for Democratic support for some version of Trump's border wall. But the comment evidently came up regarding Trump's decision to end Temporary Protected Status for folks from Haiti, El Salvador and several African countries. According to sources speaking to the Washington Post, Trump said: "Why are we having all these people from shithole countries come here?” Trump suggested the US should instead bring more people from countries such as (white) Norway. "Why do we need more Haitians?" Trump is reported to have said. "Take them out."

Peru and Australia sign free trade pact

Peru and Australia signed a free trade pact Nov. 10 that does away with 99% of tariffs on imported goods from Australia, while securing Peruvian exports greater access to Australian markets. The Peru-Australia Free Trade Agreement (PAFTA) was signed in Danang, Vietnam, at the 25th summit of the Asia-Pacific Economic Cooperation (APEC) forum. Peru's President Pedro Pablo Kuczynski (PPK) announced the deal on Twitter, boasting that the agreement will boost employment and attract investment. Speaking at the APEC summit, PPK reiterated his support for free trade and warned about the dangers of protectionism.

China's rise threatened by 'de-globalization'?

The China Institute in New York City on Oct. 5 featured a discussion with Harvard scholar William C. Kirby, author of Can China Lead? Reaching the Limits of Power and Growth, on the question: "Can China Lead in the Age of De-Globalization?" Although he didn't state it explicitly, his answer appeared to be "no." Kirby began by echoing the prediction that as the 19th century saw Great Britain as the dominant world power, and the 20th saw the United States of America, the 21st could belong to China. But Kirby sees this succession as now threatened by the "destabilization of global norms" and the rise of "anti-globalist neo-authoritarian movements everywhere." He invoked the Brexit, the rise of Le Pen in France—and finally Donald Trump, who, Kirby noted, is rather obsessed with China.

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