Canada's Trudeau to tell Trump: we're not your problem at NAFTA
Canada's Trudeau to tell Trump: we're not your problem at NAFTA
US unveils proposal to boost autos content in NAFTA -sources
13 October, 2017, 00:43
"The companies represented at the Business Roundtable are very concerned with reports that the Trump administration will weaken NAFTA with drastic changes that would disrupt supply chains that have greatly benefited USA businesses, workers and consumers over the last two decades", Josh Bolten, BRT's president and CEO of the group, wrote in a blog post.
"Thus far, we have made good progress, and I look forward to several days of hard work", Lighthizer said. "So we'll see what happens with NAFTA", Trump said, adding that it "has to be fair to both countries".
In his meeting with Trump, Trudeau was expected to remind the president that Canada is the United States' biggest export customer, with largely balanced two-way goods and services trade, and is not the cause of USA manufacturing jobs lost under NAFTA, Canadian officials said. All the while, the president has continued threatening to withdraw the United States from the trade agreement.
Asked by a reporter if he would make a trade pact with Canada if he can not reach agreement with Mexico in the NAFTA negotiations, Trump said: "Oh sure, absolutely". Those include U.S. demands to adjust the rules of origin, which would increase the percentage of the content of vehicle parts and other materials that would come from NAFTA countries in order for a good to qualify as duty free - a specific concern for the North American auto industry. Still, to this day, President Trump has seemed more interested in placing "poison pills" and renewing reckless threats to withdraw entirely from this mutually beneficial trade agreement, rather than working with our worldwide allies and neighbors to find solutions that directly aids American production and labor.
Trade with Canada and Mexico supports 14 million jobs in the United States, and over 125,000 small and medium-sized American businesses export to Canada and Mexico, the US Chamber says. Trump left open the possibility that the U.S. would seek to establish bilateral deals with Canada and Mexico if talks were to break down.
"These will be met with widespread opposition from Canada and Mexico".
The United States is pushing for automobiles to include more USA -made parts as well as more content from Canada and Mexico overall.
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Current NAFTA rules require cars have at least 62.5 percent of their parts made in the U.S., Canada or Mexico.
Rules of origin will be discussed by negotiators today, Sunday and Monday, according to an agenda obtained by Bloomberg.
Some trade observers said it is hard to see how negotiators could reach an agreement given USA demands that many see as nonstarters.
As many as 50,000 workers at auto parts suppliers could lose their jobs due to increased tariffs if the USA pulls out of the North American Free Trade Agreement, according to a study released Thursday by the Motor and Equipment Manufacturers Association, which lobbies for suppliers in Washington.
Higgins serves as vice-ranking member on the House Committee on Ways and Means, where he also serves as a member of the subcommittee on trade.
"Mexico is much bigger than NAFTA", Foreign Minister Luis Videgaray told the Mexican Senate earlier this week.
Mexico and Canada do some $20 billion a year in bilateral trade.
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