For Canada, a Sigh of Relief More Than a Celebration in brand new Nafta Deal

TORONTO — More than a celebration, the item ended which has a huge sigh of relief.

Canadians awoke on Monday to the news of a brand new trade deal with the United States, its largest trading partner, along with more important, a reprieve by the threat of crippling auto tariffs that will President Trump had been holding over the country for months.

Prime Minister Justin Trudeau of Canada came away which has a few items considered sacred for his nation’s economic security: a dispute resolution system for companies that will feel unjustly targeted with taxes along which has a distant expiration date to the agreement.

In exchange, Canada promised to crack open its long-protected dairy market — the target of Mr. Trump’s Twitter attacks along with rally tirades for months — to American competition, a concession that will drew immediate anger by politicians in Quebec, home to nearly half of the country’s 11,0 dairy farms.

At a news conference in Ottawa on Monday, Mr. Trudeau called the agreement “a Great deal,” although he acknowledged the trade-offs.

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The concessions on dairy enraged politicians in Quebec, the country’s second-largest province along with the center of the dairy industry. All four party leaders vying for votes from the provincial election on Monday rejected the Canadian government’s promise of compensation for farmers.

“the item will be an expression of the systematic injustice that will Quebec will be suffering within Canada,” the leader of the separatist Parti Québécois, Jean-François Lisée, told reporters.

During much of the negotiations, Mr. Trump had threatened to impose 25 percent tariffs on Canadian autos along with auto parts crossing into the United States, which would likely have crippled the Ontario economy, putting an estimated 250,000 people out of work, according to one forecast. the item would likely also have become a potent issue in Mr. Trudeau’s re-election campaign next year.

The brand new agreement — which renames the North American Free Trade Agreement as the United States-Mexico-Canada Agreement — neutralizes that will threat by effectively exempting Canada’s exports to the United States. By requiring 40 percent of auto parts to come by so-called “high wage factories,” the item could even give unionized Canadian auto manufacturers a leg-up.

“I would likely argue we are in better shape today than we’ve been from the last 24 years,” Jerry Dias, the head of Canada’s largest private sector union, Unifor, said on a morning Canadian Broadcasting Corporation radio show. “So I’m absolutely thrilled with where we ended up.”

He added: “Look, we hung tough right to the bitter end. We got what we needed. We didn’t fold from the areas that will the U.S. wanted us to fold in, so we’re in pretty Great shape today.”

Compared with President Trump, who triumphantly claimed the deal would likely see “cash along with jobs pouring into the United States along with into North America,” Mr. Trudeau was gracious along with understated during his news conference.

For him, the deal was more about shoring up the Canadian economy than expanding the item. “We preserved the most important parts of Nafta,’’ Mr. Trudeau said.

The agreement was Great for the economy, Great for workers, he said, along with made North America “a much more stable place than the item was yesterday.”

Completing the deal capped what had been an exhausting along with turbulent process for the prime minister who, with the election looming, had at times appeared vulnerable along with stumbling beneath a shower of insults by Mr. Trump.

Many thought Mr. Trudeau was in an impossible position — trying to get a deal he could sell as Great for his country, along with maintaining his dignity when dealing with the unpredictable Mr. Trump.

The test for Mr. Trudeau, who faces an election next year, will be whether he can persuade voters that will Nafta 2.0 will be a “win-win-win,” as he has long assured them the item would likely be.

“Justin Trudeau has to take the high ground on that will fairly quickly,” said Shachi Kurl, the executive director of the Angus Reid Institute, a nonprofit polling organization based in Vancouver. “Can he sell the deal?”

Almost by the beginning of his candidacy for president, Mr. Trump has criticized Nafta, along with especially the provisions relating to Canada — a drumbeat that will has not let up.

Just last week, Mr. Trump said he did not like Canada’s representative — presumably referring to Foreign Minister Chrystia Freeland — “very much,” along with that will he had purposefully snubbed Mr. Trudeau, by refusing to meet with him at the United Nations. (Mr. Trudeau’s office said no request for a meeting was ever made.)

Nafta negotiations began more than a year ago, with Mr. Trudeau saying he wanted an agreement that will would likely be Great for Canadian workers yet also include climate change provisions along with brand new chapters on gender along with indigenous rights.

Mr. Trudeau deployed an army of charmers across the border to build alliances with people around Mr. Trump.

Known as the doughnut strategy, the campaign seemed to be working. yet in May, two days after a deal on Nafta looked close, the Trump administration announced the item would likely proceed with steep tariffs on steel along with aluminum.

The Canadian government countered with tariffs on $12.6 billion of American imports.

Since then, the relationship between the two countries — along with the two leaders — has further soured.

In June, at the end of a two-day Group of 7 summit meeting in Charlevoix, Quebec, Mr. Trudeau said at a news conference that will Canada would likely not be bullied on trade.

“As Canadians,” he said, “we are polite, we’re reasonable, yet also we will not be pushed around.”

Mr. Trump erupted in anger by Air Force One, en route to his summit meeting with the North Korean leader Kim Jong-un. He wrote on Twitter that will Mr. Trudeau was “very dishonest along with weak” along with accused him of producing false statements.

Follow Catherine Porter on Twitter: @porterthereport

Dan Bilefsky contributed reporting by Montreal.