‘Nafta not in’ Trump’s annual speech plans

montreal — US President Donald Trump doesn’t plan to use his first State of the Union address to announce a formal intent to withdraw from Nafta, say people familiar with the administration’s plans.

Trump speaks on Tuesday, a day after the sixth round of North American Free Trade Agreement talks is set to conclude in Montreal. The latest round has shown progress, and at Davos, Switzerland, last week Trump saw a “good chance” for a deal. Still, the president left open the possibility that he’ll pull out of the 24-year-old pact if discussions aren’t favourable enough to the US.

Key lobbying groups, including farm organisations and the US Chamber of Commerce, have voiced their support for Nafta, putting pressure on Trump to not give the six-months’ notice necessary to quit the deal (a country isn’t obliged to withdraw from Nafta, even after giving formal notice to do so). Stakeholders had privately feared that a deadlock in Montreal could lead Trump to pull the trigger.

The president doesn’t plan to use the annual speech to Congress to make such a move, said the people, who weren’t authorised to speak publicly as negotiations continue. The State of the Union is typically watched by tens of millions of Americans and would be a prominent venue to make good on one of Trump’s signature campaign promises. — Bloomberg