Trump hails Nafta talks with Mexico, says Canada must wait

NAFTA talks with Mexico drag on due to autos sticking points - Autoblog

Auto industry officials familiar with the talks said the Trump administration wants the ability to impose national security tariffs on future Mexican production from new auto assembly and parts plants.

Trump then sent a warning to Ottawa: "Their Tariffs and Trade Barriers are far too high.

Discussions appear to have taken on a surprising urgency of late, with the United States focused on ironing out its differences with Mexico, while apparently freezing Canada out of the talks", ING analysts note. Canada is expected to re-join the negotiations for that, while reports that Nafta would be replaced with bilateral agreements between the three countries, a move that Mexico and Canada have previously resisted, seem premature. "Will tax cars if can't make a deal!"

'Canada must wait, ' Trump posted to Twitter.

U.S. and Mexican officials will continue to work on bilateral issues before their Canadian counterparts rejoin the discussions on modernizing the 24-year-old trade deal, Guajardo said Friday.

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President Trump harsh words for Canada, the other partner in the North American Free Trade Agreement (NAFTA).

Of course, the trade talks are only bilateral at this time because Canada is not included in the talks between the US and Mexico. "And in June, Trump called Prime Minister Justin Trudeau very dishonest and weak" shortly after he left the G7 meeting in Quebec. It seems that new sticking points have emerged over Trump's threat to impose steep automotive tariffs. But the US negotiators do not want to apply the same guarantees to new Mexican auto plants, the officials said, as the potential threat of 25-percent tariffs would discourage new automotive investment in Mexico to serve the USA market.

US Trade Representative Robert Lighthizer and Mexican Economy Minister Ildefonso Guajardo have been meeting in Washington for the last two weeks, with talks focused on rules for how much North American content should be included in cars, a pivotal issue in the discussions.

"Our focus is unchanged, ' Canada responded with a statement Friday".

A 3-way NAFTA deal is still possible if all nations show flexibility, Canada still opposes U.S. proposals for a Sunset Clause on the agreement and wants an independent dispute-resolution process.

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