Nafta: Donald Trump says U.S. 'not getting along' with Canada

NAFTA: Lighthizer hints Mexico pact may need to be reopened if delayed

As he held a news conference at the UN U.S. President Donald Trump claimed he denied Trudeau a one-on-one meeting because of our tariffs.

"His tariffs are too high and he doesn't seem to want to move, and I told him forget about it", Trump said.

Asked about the challenge that autos tariffs would pose, Trudeau said Canada would need to feel confident "about the path forward as we move forward - if we do - on a NAFTA 2.0".

That appeared to be a reference to Foreign Affairs Minister Chrystia Freeland, a former journalist and careful tactician whose star turn in Trudeau's government has earned her deep respect in the Liberal caucus and beyond.

Negotiations for possible exemptions for Mexico and Canada from US steel and aluminum tariffs imposed earlier this year will take place after the new Nafta deal is agreed on, Lighthizer said.

Mexico is prepared to advance a bilateral trade agreement with the United States that Canada could join within the next few weeks, a top Mexican negotiator for the North American Free Trade Agreement said Wednesday. The Trump administration could face barriers in Congress if it tries to advance a deal without Canada.

The two sides are still far apart on major issues such as how to settle disputes and United States demands for more access to Canada's protected dairy market.

"I'm not making it anything near what they want to do", he said.

While some lawmakers have ratcheted up pressure on Canada to sign, others such as Nancy Pelosi have said the Trump administration should reach a trilateral deal. Canada's dairy market has remained largely closed to the U.S. ever since American dairy farmers were caught excessively dumping products inside of Canada's markets several decades ago. It's the first time in his presidency Trump has clearly voiced support for creating separate Israeli and Palestinian nations.

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Trudeau also said a good and fair deal is still "very possible".

"That's the motherload, that's the big one", Trump told reporters.

On Tuesday, Lighthizer - also in NY for the UN General Assembly - said while the two sides remain far apart on a number of issues, the two sides have agreed for now to deal with the issue of 232 tariffs separately. Craft said that she respected her, as did Lighthizer and the USA team.

"We are continuing to work on getting to a right deal for Canada, a right deal for Canadians".

The official declined to be named because the matter has not yet been made public.

That led Trudeau to suggest that Trump was trying to bully Canada June during a June meeting of the Group of 7 leading economies.

"We'll see where it goes, but so far it's been tough", he said.

The comments also mark a new low in relations between the two leaders. "It's been long and exhausting, but I think we've narrowed the gap".

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