Thursday, October 04, 2018

Trade agreements

Austin Bay has an article on how the new Mexico/Canada/US trade agreemnt might impact China.(!?)

Cheap Chinese car parts can't evade US tariffs anymore by being imported into Mexico, changing the lable, and then being sent into the US as "mexican" parts... and the trade agreement means it could be cost effective for Mexico to manufacture these parts.

How Chinese cars get "manufactured" in Mexico.  Import Chinese parts of course, have Mexico put the parts together, and then they get into the US under NAFTA as Mexican made.

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