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Deal with our neighbor to the south. >> we used to call it nafta, now we call it the united states mexico trade agreement and we will get rid of the name nafta which has bad connotation because the united states was hurt badly by nafta. >> reporter: the outgoing mexican president was as enthusiastic about the deal as donald trump was, even saying he would like to give donald trump a big hug. he acknowledged getting to it was tough. >> and negotiation that has been difficult and a hard negotiation. >> the biggest change in a trade relationship, rules of origin for cars, 75% of components used t...
People and in canada. the latest goes to the eu japan economic partnership that accounts for one third of the world economy. it's a brand new trade deal that leaves the u.s. out in the cold. here's the new deal that's been agreed to, tariffs on agricultural products traded between the united states and mexico will remain at zero. the new requirements focus on car parts and production. 75% of auto content must be made in the united states and mexico. that's up from the original nafta requirement of 62.5%. 40 he 40% to 45% of auto content must be made by workers earning at least $16 an hour. aut...
President later this year which could blow it up before it's even real. negotiations could be forced to start all over again. susan lee is here. what is in this agreement that we should never call nafta? >> this is a bilateral agreement between the u.s. and mexico. 16 years. a review after six years. the sunset clause is very controversial. that basically terminates the deal after a first amount of time, this is a review period where they have consultations and tweaks. autos was a big sticking point. so in this deal, 75% of auto content has to be from the u.s. or mexico. higher wages. 40 to 45...
It has a bad connotation because he had as it was hurt very badly by nafta for many years. >> . >> outgoing mexico president was enthusiastic as the deal is president trump, he even said he would like to give president trump a big hug. he acknowledged getting to an agreement was tough. >> very grateful mr. president . a negotiation that has taken months. it is been difficult, complex. ed has been a hard negotiation altogether. >> the biggest change of the trade relationship as rules of origin for cars, 75% of components used to build cars must be made in either mexico or the u.s. 40 to 45% of ...