Canada has ‘very special status,’ not a Nafta target
CALGARY: Canada has a “very special status” and is unlikely to be hit hard by changes the United States wants to make to the Nafta trade accord, the head of a business advisory council to US President Donald Trump said on Monday.
Stephen Schwarzman made his remarks after addressing Canadian Prime Minister Justin Trudeau and his cabinet, who are holding a twoday retreat in Calgary, Alberta to discuss US ties, in particular Trump’s demands to renegotiate the North American Free Trade Agreement.
Canada sends about 75 per cent of its exports to its southern neighbour.
Schwarzman, named by Trump to a lead a forum that includes a variety of major US corporations to advise on job creation, said Canada was wellplaced to deal with any changes.
“Canada finds itself, frankly, in a really very special status,” Schwarzman told reporters after addressing cabinet.
Schwarzman’s message will undoubtedly please Canadian officials, who have been trying hard to persuade the new US administration that focusing on their border to the north makes no sense given how closely the economies are linked.
US officials say Trump is more focused on large US trade deficits with countries such as China and Mexico, the third signatory of Nafta.
Senior US and Mexico officials will meet this week to discuss trade, security and immigration.
Mexican President Enrique Pena Nieto and Trump will meet at the end of January.
On Monday, Trump said that he plans to renegotiate Nafta “at the appropriate time.”
A senior Canadian official on Sunday expressed concern the country could suffer collateral damage as the US targeted Mexico, a prospect Schwarzman dismissed. “I don’t think he should be enormously worried because Canada is held in very high regard,” he said, referring to Trudeau.
Schwarzman is Chief Executive of major investment firm Blackstone Group LP.