Though it still needs Congress’ approval, the USMCA would increase GDP by $68.2 billion and add 176,000 jobs — a slight bump of roughly one-tenth of one percent. That’s according to new analysis from the United States International Trade Commission. The deal would also set new North American content requirements for automobile manufacturing, a key industry in the region.
“The new USMCA really positions the Arizona-Sonora region to grow considerably when it comes to the manufacture of automobiles,” said Glenn Hamer, head of the Arizona Chamber of Commerce and Industry.
Electric vehicle manufacturing shows special promise, according to Hamer.
The USITC analysis found that under the deal U.S. automotive jobs would increase slightly, by around 28,000 jobs. However, costs for vehicles could also rise, spelling potential sales declines. Sonora, the Mexican state to Arizona’s south, is home to one of Ford’s largest manufacturing facilities.
Read the full report here.
