NAFTA’s rules of origin for the automotive industry were seen to discourage auto manufacturing and investment within the United States. The new agreement, USMCA, is designed to shift automotive factories and supply chains back onto U.S. soil. USMCA is predicted to boost investment in the U.S. automotive sector by $34 billion, add 76,000 U.S. automotive jobs over five years, and mean $23 billion worth of automotive parts (particularly steel and aluminum) will be purchased from U.S. manufacturers within five years.

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