US to push for lower trade gaps in Nafta talks

WASHINGTON: The US on Monday said it would work to shrink trade deficits with Canada and Mexico in talks to renegotiate the landmark 1994 North American Free Trade Agreement (Nafta).

The Trump administration has focused on boosting domestic manufacturing while cutting trade deficits – which it sees as damaging to the economy – a move that casts doubt on the free trade efforts of prior administrations.

The US Trade Representative said that when Nafta talks begin next month, Washington also will seek to lower trade barriers for produce and industrial goods – while eliminating subsides US officials say are unfair in trade with the two neighbouring nations.

“President Donald Trump continues to fulfil his promise to renegotiate NAFTA to get a much better deal for all Americans,” US Trade Representative (USTR) Robert Lighthizer said in a statement. “Too many Americans have been hurt by closed factories, exported jobs, and broken political promises.”

USTR released the Nafta negotiating objectives as required prior to the start of the talks, which will be held under a pressing political timeline due to next year’s US and Mexican elections.

Trump retreated from his threat to exit Nafta, but has described the agreement as a “disaster” that has drained the US of wealth and jobs. – AFP