The United States-Mexico-Canada Agreement (USMCA) took full effect Wednesday (July 1).

The agreement includes digital trade provisions that tech companies say appropriately promote cross-border data flows and storage.

Social media platforms will continue to be held harmless for third-party content on their websites under the agreement, though according to the compromise, House Speaker Nancy Pelosi (D-Calif.), and other Dems, had wanted it scrubbed.

Language in the USMCA maintains that the civil liability carve-out "enhances the economic viability of these engines of growth that depend on user interaction and user content."

The Motion Picture Association (MPA) was applauding the milestone.

“The Motion Picture Association congratulates President Trump, Ambassador Lighthizer, and leaders from Mexico and Canada for entry into force of the USMCA," said MPA Chairman Charles Rivkin. "The film and television industry accounted for $16.3 billion in exports last year alone, and registers a positive trade balance in every major market in the world. As this agreement begins to take full force, we will have better tools to address the global threat of piracy while also facilitating the growth of the legal, digital market for creative content. We look forward to working with the governments to ensure the full and effective implementation of all intellectual property and market access commitments under the agreement, while continuing to further improve protections for creators in today’s constantly evolving digital landscape.”

"The agreement will drive job creation and includes the strongest, most advanced, and comprehensive set of labor provisions of any United States trade agreement," said White House Press Secretary Kayleigh McEnany.

The United States-Mexico-Canada Agreement (USMCA) took full effect Wednesday (July 1).

The agreement includes digital trade provisions that tech companies say appropriately promote cross-border data flows and storage.

Social media platforms will continue to be held harmless for third-party content on their websites under the agreement, though according to the compromise, House Speaker Nancy Pelosi (D-Calif.), and other Dems, had wanted it scrubbed.

Language in the USMCA maintains that the civil liability carve-out "enhances the economic viability of these engines of growth that depend on user interaction and user content."  

The Motion Picture Association (MPA) was applauding the milestone.

“The Motion Picture Association congratulates President Trump, Ambassador Lighthizer, and leaders from Mexico and Canada for entry into force of the USMCA," said MPA Chairman Charles Rivkin. "The film and television industry accounted for $16.3 billion in exports last year alone, and registers a positive trade balance in every major market in the world. As this agreement begins to take full force, we will have better tools to address the global threat of piracy while also facilitating the growth of the legal, digital market for creative content. We look forward to working with the governments to ensure the full and effective implementation of all intellectual property and market access commitments under the agreement, while continuing to further improve protections for creators in today’s constantly evolving digital landscape.”

President Trump's signing of the United States-Mexico-Canada Agreement (USMCA), the trade agreement that supplanted NAFTA, triggered praise from the Motion Picture Association, the Computer & Communications Association (CCIA) and the veritable host of others. 

Canada has yet to ratify it, but is expected to shortly. 

The bill includes digital trade provisions that tech companies say appropriately promote cross-border data flows and storage. 

"USMCA contains new protections for American intellectual property, ensuring strong, effective protection for American innovators and creators," said the White House. " 

Included in USMCA is a first-of-its-kind chapter on digital trade, which the decades-old NAFTA was never updated to address," it said. "The digital trade provisions included in this agreement will foster economic growth and innovation for years to come."

Related: USMCA Passes Senate 

Another reason computer companies are pleased was that the agreement preserved language related to edge provider's Sec. 230 exemption from liability for third-party content posted on their platforms. There was a bipartisan, but unsuccessful, effort to strike that language by legislators on both sides of the aisle, including House Speaker Nancy Pelosi (D-Calif.). 

Related: USMCA Passes House 

Increasingly legislators are challenging the provision, which gives online platforms like Google and Facebook copyright liability protection from third-party content. But language in the USMCA pact maintains that the civil liability carve-out "enhances the economic viability of these engines of growth that depend on user interaction and user content."   

Presidential candidate Bernie Sanders immediately slammed the deal and said it would not stand if he became President. "As the only leading presidential candidate to oppose Trump’s NAFTA 2.0, I am pledging today that upon being sworn in as president, I will immediately begin renegotiating this disastrous deal," he said.  

Hollywood producers were not on the same page as Sanders.  

“The Motion Picture Association congratulates President Trump, Ambassador Lighthizer, Leader McConnell, and Speaker Pelosi for their leadership in passing USMCA," said MPA chairman Charles Rivkin. "This important, bipartisan trade agreement ensures a bright future for the creative community. The film, television, and streaming content industry already accounts for $17.2 billion annually in exports and registers a positive trade balance with nearly every country in the world. USMCA will help facilitate the growth of the legal digital market for creative content while addressing the multi-billion dollar threat of online piracy. We look forward to working with the Administration and Congress on future trade deals that build on USMCA and further improve protections for creators in this constantly evolving digital landscape.” 

“CCIA applauds the Administration and members of Congress that worked to get USMCA across the finish line," said CCIA president Matt Schruers. "This bipartisan modernization of the North American Free Trade Agreement for the digital age is a win across the board and sets the standard for trade agreements going forward.”  

The Information Technology Industry Council (ITI) saw it the same way. 

"The signing of the bipartisan USMCA represents a significant step forward for U.S. leadership in innovation and digital trade and sets a global precedent for modern, rules-based trade," said ITI president Jason Oxman. "Its first-of-its-kind, cutting-edge digital trade provisions recognize the reality of the 21st century economy and provide certainty and predictability to businesses across all sectors in North America and beyond. Importantly, the pact boosts the U.S. economy and competitiveness globally while preserving and strengthening the United States’ economic relationship with Canada and Mexico—two of its largest trading partners. We urge Canada to ratify this agreement soon and remain committed to seeing all three countries implement the agreement’s provisions to ensure that the North American economy can reap the benefits of this high-standard agreement going forward.”

Tech companies were celebrating the Senate's passage Thursday (Jan. 16) of the U.S.-Mexico-Canada Agreement (USMCA), which includes key digital trade provisions. 

Tech trade group ITI had sent a letter Wednesday (Jan. 15) to all the members of the Senate urging that passage. 

The bill, which passed the House last month, includes digital trade provisions that those companies say appropriately promote cross-border data flows and storage.  It now goes to the President's desk for his signature.

Related: Sec. 230 Language Remains in USMCA 

Social media platforms will continue to be held harmless for third-party content on their web sites under the agreement, though according to the compromise, though House Speaker Nancy Pelosi (D-Calif.), and other Dems, had wanted it scrubbed.  Sen. John Warner (D-Va.) was one of those.  He said the section "has allowed internet intermediaries to ignore misuse of their platforms by bad actors." 

Increasingly legislators are challenging the provision, which gives online platforms like Google and Facebook copyright liability protection from third-party content. 

Language in the compromise USMCA maintains that the civil liability carve-out "enhances the economic viability of these engines of growth that depend on user interaction and user content."  

“The Motion Picture Association applauds the Senate for passing the USMCA today," said MPA Chairman Charles Rivkin. "Currently, the U.S. film, television, and streaming content industry accounts for $17.2 billion annually in exports and registers a positive trade balance with nearly every country in the world. The USMCA will help the future of our industry look brighter, particularly in Mexico. This deal includes provisions that facilitate the growth of the legal, digital market for creative content while improving tools to address the threat of online piracy, which costs the industry up to $71 billion of revenue lost annually." 

He said he hoped future trade deals would similarly account for a "constantly changing digital landscape." 

“The North American Free Trade Agreement will receive a welcomed update in the form of USMCA," said Computer & Communications Industry Association President Matt Schruers. "The parties are bringing North American commerce into the digital age with robust rules that will prove critical to the continued growth of the Internet economy.” 

"“Ratification of the USMCA offers first-of-its-kind, cutting-edge digital trade provisions that recognize the reality of the 21st century economy and represents a key step forward for U.S. leadership in innovation and digital trade,” said ITI President Jason Oxman. "Half of all value created in the global economy over the next decade will be created digitally, yet North America’s current trade pact mentions the telegraph – but not the internet. We applaud the U.S. Senate for ratifying the USMCA and setting a new standard that will assure a thriving, innovative North American economy.”  

"This agreement includes important digital trade updates — a ban on data localization requirements, prohibition on duties on electronic commerce and intermediary liability protections— that are important for American small businesses," said Consumer Technology Association President Gary Shapiro.  

The House has voted to approve the compromise USMCA trade bill.  

It now goes to the Senate for ratification.  

Related: ITI Tells Hill That USMCA Is Key Vote 

The bill includes first-of-its-kind, cutting-edge digital trade provisions," according to tech group ITI. Those include promoting cross-border data flows, allowing data storage "where it makes most sense," preventing tariffs and tech taxes, protecting source code and algorithms by disallowing divulging those as a condition of doing business, and creating consistent testing and certification of tech goods.  

Related: Sec. 230 Language Remains in USMCA 

“The North American Free Trade Agreement received a welcomed update in the form of USMCA, bringing the agreement into the digital age with strong rules that are critical to the continued growth of the Internet economy," said CCIA president Ed Black. "We applaud House Leadership for working with the Administration to get a deal, and the House of Representatives for their votes today. We encourage the Senate to move quickly in the new year on USMCA.” 

"We applaud the House’s swift vote today on USMCA—the new NAFTA," said Consumer Technology Association president Gary Shapiro. "The Senate now needs to do its part—carry this critical free trade agreement across the finish line and vote on final passage. 

"In addition to facilitating trade with our neighboring countries, the new NAFTA’s digital trade provisions – importantly intermediary liability protections, forced data localization prohibitions and balanced copyright provisions – are especially critical for small businesses. They will provide a solid platform for expanding trade and investment around the innovative technology products America is known for." 

"The USMCA reflects the importance of data, technology, and innovation to the North American economy,” said ITI president Jason Oxman.

Tech companies are telling their representatives that voting for the compromise U.S.-Mexico-Canada [trade] Agreement (USMCA) is a "key vote."  

That came in a letter from the Information Technology Industry Council (ITI) to House Speaker Nancy Pelosi (D-Calif.) and Republican Leader Kevin McCarthy (R-Calif.), with copies to all House members. 

Related: Sec. 230 Language Remains in USMCA 

The association scores items that are must yes votes in terms of the interests of its tech constituency. 

ITI cites "first-of-its-kind, cutting-edge digital trade provisions." Those include promoting cross-border data flows, allowing data storage "where it makes most sense," preventing tariffs and tech taxes, protecting source code and algorithms by disallowing divulging those as a condition of doing business, and creating consistent testing and certification of tech goods. 

"[W]e urge you and your colleagues to support the implementing legislation for the agreement when it comes to the House floor," wrote ITT President Jason Oxman. "American companies of all sizes and across all industries leverage technology, and can expect to benefit from the USMCA’s digital trade and other tech-focused provisions." 

ITI members include Amazon, Apple, eBay, Google, Twitter and Microsoft. 

Social media platforms will continue to be held harmless for third-party content on their web sites according to the compromise on the U.S Mexico Canada Agreement trade deal announced by House Speaker Nancy Pelosi (D-Calif.) Tuesday (Dec. 10). 

The revised version of the Trump-backed USMCA was needed if the Democratically controlled House and Repubican-controlled Senate are going to sign off on it, but one thing that was retained was the liability-related language. 

Related: Big Tech's Sec. 230 Sweetheart Deal Must End 

Pelosi last week had tried to get that language cut as legislators from both sides of the aisle continue to ponder whether web giants still need that liability protection, but was not about to jeopardize the deal over the issue. 

She said it was her one disappointment that she came in too late with that 230 ask. "I lost," she said flatly in a press conference following the agreement's announcement. But she was in some ways the author of her own defeat. "They had 230 in the agreement, which she called the wrong way to go and a "gift to big tech." But she had told the U.S. Trade Representative that she was not going to add any more issues to the discussion.   

She had gotten a letter from the chairman and ranking member of the House Energy & Commerce Committee both asking that the language be removed, but that it came after she had pledged not to raise any more issues, so her Sec. 230 ask had to go unanswered or else she would have been moving a line she had herself agreed to draw.  

USMCA said that maintaining the civil liability carve-out "enhances the economic viability of these engines of growth that depend on user interaction and user content." 

Pelosi has a curious political ally in her skepticism of Sec. 230.  

Attorney General Bob Barr, who has challenged the underpinnings of the impeachment effort Pelosi has pushed forward, agrees that there are Sec. 230 issues that need a hard look, a point he made in a speech in Washington this week.