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Trump Administration Announces Plans to Renegotiate NAFTA

Trump Administration Announces Plans to Renegotiate NAFTA

However, the Mexican foreign secretary said that the new trade deal must preserve the existing trilateral structure to ensure a fair deal.

Lighthizer's statements Thursday morning offered few if any details on what specifically the administration hoped to change.

He refused to say if leaving NAFTA was still on the cards.

"Since the signing of Nafta, we have seen our manufacturing industry decimated, factories shuttered, and countless workers left jobless.", he said.

"We know why President Trump is president of the United States", said Kaptur. The administration aims to improve "effective implementation and aggressive enforcement" of NAFTA commitments, and will introduce additional provisions to address intellectual property rights, regulation, services, labor, environment and other issues, he said. In fact, a draft letter the administration circulated on Capitol Hill earlier this year, before Lighthizer was confirmed, was far more detailed.

"Right now a company could move out of the USA or Canada into Mexico and establish operations in Mexico, could build the product and still have duty-free movement into Canada and the U.S market", Patridge said.

U.S. Commerce Secretary Wilbur Ross said Thursday that he is sending a letter to Congress that is meant to "notify not just Congress, but all our trading partners, that free and fair trade is the new standard for U.S. trade deals". "Congress looks forward to working hand-in-hand with the Trump administration to achieve the best deal possible for American workers and our economy".

"Canada is not low-wage, low-benefit or low on environmental regulation".

"But for us", Tillerson said, "Mexico wouldn't have the trans-criminal organized crime problem and the violence that they're suffering".

"Trade across the NAFTA countries serves both consumers and deeply connected supply chains, providing significant jobs not only in agriculture but in processing and distribution", Robert Guenther, senior vice president of public policy for United Fresh, said in the statement.

"I would note that many of these negotiations will be bilateral and numerous issues are bilateral, but our hope is that we will end up with a structure that is similar to what we have now", he said.

Freeland said it was premature to speak about the timelines for the talks. "As with every trade deal, I'll hold this Administration's approach to NAFTA to the same standard I've always used: does it put OH workers first?"

"He said that was quite intentional", she said.

Trump has voiced a preference for bilateral trade talks as the best way for the U.S.to exact a good deal from a trading partner. Chapter 19 denies US industries their constitutionally protected rights of due process and judicial review.

Mexico also said it expects a "constructive" negotiation.

Luis Videgaray, Mexico's foreign minister, said at an event in Washington Thursday that his country is ready for the talks. After that, it will be tricky for Mexico to continue negotiations because the new president doesn't take office until December 1, Antonio Ortiz-Mena, who formerly served as the Mexican Embassy's top economic affairs official in Washington, noted.

Has the United States started a lumber trade war with Canada?

"NAFTA was negotiated 25 years ago, and while our economy and businesses have changed considerably over that period, NAFTA has not".

"As a starting point for negotiations, we should build on what has worked in NAFTA and change and improve what has not", Lighthizer told reporters in a conference call, Reuters reports.


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