Mexico and Canada insist on three-way NAFTA deal
MEXICO CITY: Canadian and Mexican officials insisted that the North American Free Trade Agreement remain a trilateral pact and reiterated their opposition to US calls for a so-called “sunset clause” that could end the deal after five years.
After a meeting in Mexico City, Canadian Foreign Minister Chrystia Freeland and Mexican Economy Minister Ildefonso Guajardo said they remained optimistic about the progress of the negotiations to revamp the 24-year-old trade pact.
Negotiations began in August but stalled in the run-up to the Mexican presidential election. That was due, at least in part, to US demands for sweeping changes in the auto sector and a for sunset clause, which would put the deal forming one of the world’s largest trading blocs up for renewal every five years.
US President Donald Trump has repeatedly threatened to withdraw from the pact if he cannot renegotiate it to better serve his country’s interests.
Freeland and Guajardo struck an upbeat tone at a joint press conference, with Guajardo saying that about twothirds of the agreement has been ironed out.
In Washington, US Agriculture Secretary Sonny Perdue raised the prospect on Wednesday that NAFTA could be negotiated separately with Canada and Mexico, in order to reach an agreement first with Mexico by September.
Although Mexican officials are heading to Washington this week to meet with their US counterparts, Guajardo stressed that a deal between all three countries remained the goal.
“The fact that we are going to Washington to participate in bilateral talks is to reinforce the concept of the trilateralism of this agreement,” he said. “The essence of this agreement is trilateral, and it will continue being trilateral.”
Support for a three-way agreement was also voiced by Freeland, who noted she had spoken with US Trade Representative Robert Lighthizer on Monday.— Reuters