The new USMCA is scheduled to take effect July 1, barring delays due to COVID-19. Experts say that there are subtle, but significant differences than the measures contained in NAFTA. One industry directly affected by USMCA is the auto sector. At least 75% of parts in an automobile must be North American, up from 62% required under NAFTA. And in a concession to organized labor, the agreement stipulates at least 40% of workers in the North American auto supply chain must be paid at least $16 an hour.
Auto industry adjusting to USMCA rules