A quick summary of the Trump trade war and how it could affect your stock portfolio

­­During his presidential election, Donald Trump pledged to ‘Make America Great Again.’ He promised to boost economic growth and ‘be the greatest job-producing president in U.S. history’. To do that, he needs to create more than 21.5 million jobs in eight years if he plans to beat record-holder, Bill Clinton.

To bring jobs back to America, Trump recently renegotiated the North American Free Trade Agreement (NAFTA) which is now set to be replaced by the United States-Mexico-Canada Agreement (USMCA).

The agreement will affect a range of industries, but the biggest changes are in the automotive industry. Automakers have to increase the percentage of car components manufactured in Canada, Mexico, or the U.S. from 62.5% to at least 75%. And 30% of vehicles must be made with workers earning at least US$16 an hour (40% by 2023), more than twice what a Mexican auto-worker makes. Tariffs …