Insurer and reinsurer Chubb has issued a statement of support for the United States-Mexico-Canada free trade agreement (USMCA), which it believes will provide many important protections for the financial services and re/insurance industries.
Leaders of the US, Mexico and Canada sign the USMCA at the 2018 G20 Summit . Source: AP Photo/Pablo Martinez Monsivais
In the US, House Democrats reached an agreement to advance the USMCA earlier this week, following months of negotiations.
The USMCA comes as a result of a 2017-2018 renegotiation of North American Free Trade Agreement (NAFTA) by the three member states.
It was signed by United States President Donald Trump, Mexican President Enrique Peña Nieto, and Canadian Prime Minister Justin Trudeau on November 30, 2018 as a side event of the 2018 G20 Summit in Buenos Aires.
If ratified, Chubb believes the USMCA will preserve and enhance the existing trading relationships that underlie the free flow of goods and services across North America.
The re/insurer noted several provisions that are important to the financial services industry, including protections for the free flow of data, which could provide greater certainty during the transition into a digital economy.
Chubb also pointed to important intellectual property and fair competition protections provided by the agreement, which it argues will encourage investment and job creation across North America.
“While there is always room for improvement in trade agreements, we applaud the substantial enhancements to free trade included in USMCA,” the statement from Chubb said.
“Chubb appreciates the long effort and commitment of the Administration, Congress and the Mexican and Canadian governments to reach this Agreement.”
