Albuquerque Journal

PRESSURE’S ON CANADA

Neighbor faces tight deadline, tariff threat

- BY PAUL WISEMAN

WASHINGTON — President Donald Trump’s drive to revamp the North American Free Trade Agreement has taken an unexpected turn — one that complicate­s his effort to replace that deal with one more favorable to American workers.

Canada, America’s longtime ally and No. 2 trading partner, was left out of a proposed deal Trump just reached with Mexico and is scrambling to keep its place in the regional free-trade bloc — and fend off the threat of U.S. taxes on its vehicles.

By contrast, Mexico, long the target of Trump’s ire, has cut a preliminar­y deal with the United States to replace NAFTA with a pact that’s meant, among other things, to shift more manufactur­ing into the United States.

In announcing the deal Monday, Trump said he wanted to call it the “United States-Mexico Trade Agreement,” pointedly omitting Canada.

Canadian Foreign Affairs Minister Chrystia Freeland hurried to Washington on Tuesday to try to repair the damage. But she doesn’t have much time.

U.S. Trade Rep. Robert Lighthizer intends to formally notify Congress of the deal on Friday. This would begin a 90-day countdown that would allow Mexico’s outgoing president, Enrique Peña Nieto, to sign the new pact before leaving office Dec. 1. Otherwise, Presidente­lect Andres Manuel Lopez Obrador might want to reopen the negotiatio­ns and further complicate the prospects for a new agreement.

To intensify the pressure on Canada, Trump threatened Monday to slap taxes on Canadian auto imports. As a result, said Philip Levy, a senior fellow at the Chicago Council on Global affairs and a White House trade adviser in the administra­tion of President George W. Bush, Freeland is negotiatin­g “under threat of auto tariffs or the

Newspapers in English

Newspapers from United States