Trump Adminnistration to Renegotiate NAFTA

Economy

Renegotiating NAFTA: Let the Games Begin

The coming negotiations are an opportunity to make the agreement even stronger. The Conservative party, which is pro-free trade, says the NAFTA deal could be modernized to include digital commerce and to upgrade rules around new technologies. "No business community member, no enterprise, no farm group ever asked for this". "The answer is no", says Ottawa-based trade global trade strategist Peter Clark, who was involved in the NAFTA and Canada-US free trade negotiations. With Canada, on the other hand, the United States holds a $12.5-billion (U.S.) trade surplus, when goods and services are combined. "That means having a transparent process in which working families have a seat at the table, and ensuring our freedom to stand together is protected and that all of us can receive a fair return on our hard work", Trumka said. They'll know we're bluffing. They have exploited Mexico's weak labor and environmental laws and low wages to export 700,000-1 million U.S.jobs - mostly well-paying factory jobs, but also call center jobs - south of the U.S. -Mexico border.

"I actually think NAFTA's going to be very similar to what we've seen in these other proposed trade policies in the sense that my understanding is that the U.S.is walking in, tabling text on a dozen or more areas.saying this is what we want".

Meanwhile, Labor, trade deficits, rules of origin, currency manipulation and immigration also top the list of issues to watch during the renegotiation.

And if and when the Trump administration is successful of arriving at an agreement, it will face another impediment: getting it through Congress. John Cornyn, the No. 2 Senate Republican, who has urged Trump to modernize the pact, not end it. Mexico and Canada were among the TPP countries.

"It might be a problem", said Kho, who was lead counsel on Buy American/procurement issues at USTR and now works at the Akin Gump firm.

"How we do it" - bargain a new NAFTA - "matters". That resemblance also could force supporters to jump ship.

USA chief negotiator John Melle has sung NAFTA's praises in the past. "First and foremost, do no harm".

That suggests we have a balanced trading relationship.

That point was underscored by 32 freshman House Republicans in a recent letter to U.S. Trade Representative Robert Lighthizer. Trump's apparent disdain for NAFTA is more in line with many Democrats' views than Republicans'.

"We can have the best language in the world on labour standards, but if there isn't a mechanism to uphold it, to make sure it's being enforced, it's not worth as much".

"We must pursue progressive trade agreements that are win-win, helping workers both at home and overseas to enjoy higher wages and better conditions", Ms Freeland said. But that won't be simple for Trump; like most things in D.C., a cast of competing characters and interests can make new trade talks a long slog.

In fact, Kahan believes the negotiations, if executed well, could lead to gains for the American economy - a development that would ultimately benefit promotional product distributors, too. The lobbyist spoke on condition of anonymity to protect his clients.

"Trump has this sort of old-fashioned theory of negotiations, which is that the big guy always wins".

Later Monday, Freeland will testify before a parliamentary committee on worldwide trade and hold a news conference.

Mexico would like negotiations completed early next year, before its presidential elections.

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