President Trump's tough stance on trade forces Mexico, Canada to make choices

27 September, 2018, 11:14 | Author: Shannon Aguilar
  • NAFTA: Lighthizer hints Mexico pact may need to be reopened if delayed

After a meeting on Monday between US President Donald Trump and Japanese Prime Minister Shinzo Abe, the two countries agreed to a framework on Tuesday to expand trade, which would include negotiations on tariffs, The Japan Times reported.

Trump and several of his top aides have said Canadians were refusing to rework NAFTA because they want to continue protecting their local dairy industry through a controversial management program.

Congress, wary of upcoming midterms that are widely expected to inject more Democrats into the current power balance on Capitol Hill, is agitating for Canada to join an existing U.S. -Mexico deal before a self-imposed deadline of Sunday. "Very bad for us", said Trump, who refused to use the name NAFTA for a new deal.

"If Canada doesn't make a deal with us, we're going to make a much better deal", he said.

Talks have become increasingly hostile.

Trump has repeatedly threatened to cut Canada out of a trade agreement if the country does not agree with his terms. This will also mean that the United States can impose 25 percent tariffs on Canada's auto and dairy imports and exports.

"Yeah I did", Trump said, adding it was "because his tariffs are too high and he doesn't seem to want to move and I've told him forget about it and frankly we're thinking about just taxing cars coming in from Canada".

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"We're unhappy with the negotiations and the negotiating style from Canada", he said.

He did not rule out the possibility of a deal, but made it clear he had little interest in compromising. "Canada has treated us very badly". "We don't have any comment beyond that".

Returning to criticizing Canada, he ripped America's neighbor to the north for a long-imposed tariff of almost 300 percent on some dairy products. Fox Business reporter Susan Lee asked Trump in a press conference at the United Nations General Assembly in NY.

"I don't like NAFTA".

Freeland's spokesman, Adam Austen, said Canada would only sign a good deal. I've never liked it, it's been very bad for the United States.

"We're going to go ahead with Mexico", he added. It's been great for Canada. Supporters of Mexico's incoming government, which takes office December 1, are not especially fond of NAFTA, which is why both countries want the deal done before then.

The 2 nations have been locked in negotiations for a year on a rewrite of the 25-year-old continental trade deal that Trump blames for losses of United States jobs and industry. "We will put billions and billions of dollars into our Treasury".

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