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12 October 2017, 09:11 | Glen Norman
He sounds like he really means
But what he wants from requiring that more auto production be made-in-America to shifting more government contracts to US companies will likely be unacceptable to America's two NAFTA partners, Mexico and Canada.
Prime Minister Trudeau says he's ready for the end of NAFTA if no satisfactory deal can be achieved with the US.
"My optimism toward NAFTA, toward a renegotiation, isn't based on personality or reading political tea leaves", Trudeau said following his talks with Trump. Trudeau has said he is optimistic about the deal's fate but admitted there was room for improvement.
In his Oval Office comments, Trump added that "we have to protect our workers, and in all fairness, the prime minister wants to protect Canada and his people also".
One of the most contentious USA proposals is around so-called rules of origin for vehicles, which govern what share of a auto must be built within NAFTA countries to receive the pact's benefits.
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Trump even said that the North American Free Trade Agreement (NAFTA) can be scrapped to make the bilateral deal, leaving out Mexico. Raising Mexican wages is one U.S. negotiating objective, a U.S. Trade Rep's fact sheet says, along with eliminating the ISDS.
Both Canada and the United States differ in the climate change.
President Donald Trump remained non-committal about the future of the North American Free Trade Agreement on Wednesday as he welcomed Canadian Prime Minister Justin Trudeau to the White House amid simmering disputes over trade between the two North American neighbors.
The Chamber estimates that about 14m U.S. jobs depend on trade with Canada and Mexico, and more than $1bn in commerce is conducted daily across the southern and northern borders. We're going to do well.
But U.S. and Mexican corporate chief executives gathered in Mexico City said they would be better off with no NAFTA than be saddled with a "bad agreement".
However, a study released on Thursday by the Motor Equipment Manufacturers Association, which represents USA auto parts makers, showed the higher content requirements would lead to the loss of up to 24,000 U.S.jobs, as some companies would forego NAFTA's tariff-free benefits and ship in more components from other countries.
People briefed on US proposals to be presented this week said Washington was seeking to sharply lift North American content threshold in vehicle manufacturing.
"These will be met with widespread opposition from Canada and Mexico".
"The latest round of NAFTA re-negotiations represents a real opportunity for the Trump Administration to make meaningful progress in essential negotiations". But Mexico strongly opposes a USA -specific content requirement, which would limit the growth of its own auto industry.
According to a schedule seen by Reuters, meetings on government procurement, cross-border services trade, environmental issues and state-owned enterprises were set to conclude for the current round on Thursday. The negotiations were extended on Wednesday by two days to Oct 17. But some agricultural products would be slapped with with far higher duties, including a 25% hike on shipments of beef, 45% on turkey, 75% on chicken, potatoes and high fructose corn syrup sent to Mexico from the US.
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