On-Again Off-Again Canada U.S. Mexico Trade Agreement

Aggressive Trade Agenda of the U.S. Shakes Existing Arrangements

The conflicts surrounding the Canada U.S. Mexico Trade Agreement (CUSMA) reflect the inter-imperialist collusion and contention of competing sections of the global financial oligarchy. This collusion and contention posits the very grave danger of an inter-imperialist world war involving the militaries of the big powers. Canadians face the social responsibility to denounce and isolate the pro-war fanatics of the cartel parties in power in the federal Parliament and make Canada a zone for peace.

Fortress North America under the dictate of U.S. imperialism appears to be having trouble getting its act together. The contradictions within the ruling elite arising from competing private interests keep bubbling to the surface, causing a civil war. Meanwhile the working people are increasingly coming forward to lay the claims on society which they must and speak in their own name.

Soon after his election, President Trump announced the three countries of North America would have to negotiate a new NAFTA or the U.S. would unilaterally withdraw from it. Those negotiations became a daily melodrama filled with competing political personalities promoting themselves and their careers, which only recently produced a tentative agreement.

Before the CUSMA could be presented to the respective legislatures for ratification, the U.S. executive authority derailed it by imposing tariffs on Canadian and Mexican steel and aluminum citing reasons of "national security." The U.S. removed those duties on May 17, without explaining how the threat to U.S. national security had been resolved but with a proviso that they could return at a moment's notice.

But once again, before the process of ratification of CUSMA even began, President Trump disrupted the process by threatening tariffs on all Mexican exports to the U.S. unless the Mexican authorities stopped migrants from approaching and crossing into the United States.

Then, on June 7, President Trump announced via Twitter that an agreement had been reached with Mexico to reduce the flow of migrants to the southwestern U.S. border and therefore the tariffs scheduled to be imposed on June 10 had been indefinitely suspended.

U.S. Imperialist Agreements Not Worth the Paper They Are Printed On

It would seem that broad trade agreements are quickly becoming passé, as big players of the financial oligarchy, especially the U.S. imperialists, want flexibility to act outside any general arrangement. How else to explain the sudden use of national security as an excuse for the U.S. to impose steel and aluminum tariffs on its supposed partners within North America to derail CUSMA, much less an issue involving immigration.

All international arrangements -- including the United Nations, NATO, the World Trade Organization, European Union and International Court -- are under attack from their own powerful members, as being too restrictive of what are called national interests. Those national interests represent in fact the private interests of competing financial oligarchs who have global reach and power.

For example, the requirement of NATO members to purchase mainly U.S. weaponry is being challenged by NATO member Turkey with its purchase of a Russian missile defence system, the S-400. More importantly the restrictions within NATO are being challenged by members within old Europe. They have formed their own European military alliance called the Permanent Structured Cooperation (PESCO) outside NATO and without Britain. The new European military structure has published what U.S. officials call "restrictive measures," which amount to rules declaring that most weapons for PESCO members must be produced and purchased within Europe. This is a direct challenge to U.S. dominance in global weapons sales and has predictably infuriated the U.S. imperialist ruling elite.[1]

CUSMA Is but One Drama of Imperialist Collusion and
Contention Amongst Many Worldwide

The infighting and histrionics regarding CUSMA reflect the competition amongst members of the financial oligarchy and their specific global companies seeking to dominate their sectors not only within North America but in Europe and beyond. For the Trudeau government and its Foreign Minister and media to repeat over and over that its one success story is to have defended Canada's interests is disinformation. It is all about the striving for hegemony by powerful narrow private interests. The global contention in the technology sector is a case in point. It has become particularly intense in the technology sector as U.S.-based dominance is being challenged. Disputes are also underway in agriculture, vehicle production, oil and natural gas, steel, aluminum, commercial airplanes and armaments.

These conflicts between specific U.S.-led companies with competitors centred in China, Russia and Europe are significant, involving a wide range of competing private interests throughout the world. These inter-monopoly conflicts also involve the striving of the imperialist powers to control not only specific economic sectors but entire regions. The U.S. imperialists, with their hundreds of military bases and naval armadas throughout the world, are determined to preserve their dominance throughout the Americas and Caribbean, Europe, Asia and Africa and push back against the growing influence of developing global powers such as China, Russia and others.

The U.S. imperialists have set aflame West Asia and North Africa in regime change, war, and destruction of those powers it cannot control. Elsewhere the U.S. imperialists have put the Democratic People's Republic of Korea, Cuba and Venezuela under a genocidal blockade. They have declared that Latin America remains their exclusive region of influence following the tradition of the nineteenth century imperialist Monroe Doctrine, with sovereign nations being treated as having no right to chart their own course of development.

U.S. Oligarchs Launch Attack on Technology Competitor Huawei

The U.S., with the apparent conciliation of Canadian authorities, has banned the Chinese-led technology company Huawei and its products from the U.S. and from any cooperation with U.S. companies and threatens all those who continue to do business with Huawei with severe penalties. This has met resistance throughout the world as Huawei products and advanced technology are already widely used in Europe and elsewhere, including in Britain and Canada. In the context of the global campaign against the rising competitor Huawei, the U.S. ordered Canada to arrest Huawei executive Meng Wanzhou while she was transiting the Vancouver airport heading for Mexico. She remains detained under the threat of extradition to the U.S. for allegedly violating the U.S. trade embargo against Iran.

How quickly these attacks and events can spill over into other sectors is shown by trade statistics between the U.S. and China. The decline of Chinese imports of U.S. agricultural products has been precipitous, falling from an annual amount of $25.7 billion in 2014 to $21.8 billion in 2017, and, since U.S. imperialism unleashed its most sustained attacks on competitor Huawei and other Chinese-centred interests, down to a forecast of just $6.5 billion for 2019. As a consequence of Canada being an active accomplice of the U.S. imperialists in this attack on a global competitor, Canadian companies have also seen a decline in exports to China of mainly agricultural products, and problems in other joint ventures.

U.S. Imperialism Breaks the 2015 Joint Comprehensive
Plan of Action with Iran

In 2018, the U.S. unilaterally broke the 2015 international nuclear arrangement with Iran. The U.S. demands all others follow suit and not have any economic or other relations with Iran. Economic entities violating the U.S. boycott of Iran are forbidden from entering the U.S. market or having any dealings with companies connected with the United States on penalty of punishment under U.S. law, similar to the persecution of Huawei executive Meng Wanzhou. The re-imposition of a U.S. boycott of Iran after the dispute had been resolved has unleashed significant conflicts globally.

U.S. Attacks Competing Russian Natural Gas

The U.S. boycott of Iranian oil and gas has been extended to a campaign against Russian gas exported to Europe. The U.S. wants to derail the new Russia/Europe joint venture, the Nord Stream 2 twin pipeline, to supply Russian natural gas directly to the EU market through the Baltic Sea, thus evading the territory of Ukraine.

U.S. oil oligarchs connected with fracking in the U.S. are now exporting fracked gas as liquefied natural gas (LNG) worldwide and want exclusive rights in Europe without competition from cheaper non-LNG piped Russian gas. They call U.S. LNG "freedom gas" and insist all must buy it instead of "repressive gas" from Russia and Iran.

CUSMA Within the Global Contention and Collusion of the
U.S.-Dominated Imperialist System of States

The fashioning of a new NAFTA and ratification of its replacement, called CUSMA, is unfolding within the intensifying contention and collusion of competing sections of the global financial oligarchy. The U.S. oligarchs in their striving for world hegemony have come up against the uneven development of the productive forces under imperialism. New forces in the global economy, such as China, India and Indonesia, and old players that have regained their strength, such as Russia and others in Europe are demanding a  position and are increasingly refusing to buckle under to the once unchallenged U.S. financial oligarchy and its mercenary and state military power.

Whether CUSMA is ratified or not holds less importance for the U.S. imperialists in this period when international agreements are routinely ignored according to the demands of particular private interests. The threat of ever larger wars is increasing as contention and its companion collusion intensify amongst powerful sectors of the international financial oligarchy as they, and the respective states and militaries they control, battle for positions that favour them.

The modern world of socialized productive forces and global trade demands cooperation amongst all humanity and their sovereign countries. New arrangements must be created based on mutual benefit, development and cooperation amongst all sovereign nations without interfering in the right of any nation to build its future according to its own thought material and social consciousness.

The social responsibility of Canadians is to extricate the country from the dominance and control of U.S. imperialism and its interference and aggression against the world's peoples as it strives to eliminate all competing forces in its campaign to retain control of the world. Central within this social responsibility in a world fraught with the increasing danger of a world war is to make Canada a zone for peace, isolate the pro-war fanatics of the cartel parties in Parliament, and build new social, economic and political institutions in conformity with the modern conditions that guarantee the well-being, security and rights of all.

Note

1. The possibility for Member States of Europe to engage in PESCO -- on a voluntary basis -- was introduced by article 42(6) of the Lisbon Treaty on European Union in December 2017, which provides that those Member States whose military capabilities fulfil higher criteria, and which have made more binding commitments to one another in this area, shall establish a permanent structured cooperation within the EU framework. (From PESCO Website: https://pesco.europa.eu/)

(Photos: TML, Code Pink)


This article was published in

Volume 49 Number 22 - June 15, 2019

Article Link:
On-Again Off-Again Canada U.S. Mexico Trade Agreement: Aggressive Trade Agenda of the U.S. Shakes Existing Arrangements - K.C. Adams


    

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