Economy

US, Canada to resume Nafta talks

US, Canada to resume Nafta talks

Trump sounded a more upbeat note earlier, and said he expected to know whether a deal could be struck to include Canada in the next few days.

Canada's parliament unanimously condemned the personal attacks on Trudeau on Monday, as the famously polite nation simmered over the United States weekend broadsides.

Uncertainly over the future of NAFTA, which underpins $1.2 trillion in trade, is weighing on markets as well as the Canadian and Mexican currencies. A study commissioned by the Canadian Embassy says 9 million jobs "spread across every congressional district" are supported by the Canada-U.S. economic partnership.

"We're just interested in breaking those barriers and having a solid relationship with our partners to the north".

"We agreed that it would be useful to continue talking today, so we're back for more negotiations", Freeland told reporters as she entered the USTR offices in Washington.

USA president Donald Trump threatened Friday to impose a 20 per cent tariff on cars if a NAFTA agreement can't be reached with Canada.

Canadian Foreign Minister and US Trade Representative (USTR) Robert Lighthizer will meet on Tuesday to try to hammer out the final complex details of a North American agreement with the aim of including all three countries in the 24-year-old deal, reports The Hill. It also wants significant new access to Canada's sheltered dairy industry and seeks the relaxing of foreign ownership restrictions on Canadian media companies.

States Prepare for ‘Storm of a Lifetime’ as Hurricane Florence Looms
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He and other American politicians have long demanded Canada's system of domestic dairy protections either be abolished or heavily modified to give USA exports a bigger share.

The two sides have so far been unable to resolve their differences over USA access to the Canadian dairy market, a cultural exemption for Canada and the Chapter 19 dispute resolution mechanism. "At the end of the day, neighbors help each other when they need help". "The previous two trade deals gave away a little bit and a little bit more, and so we don't want to go down the path of death by a thousand cuts".

Dairy farmers, who number about 11,000, have an outsized influence in Canadian politics, being concentrated in the vote-rich provinces of Ontario and Quebec.

"For this government to go out and be seen as giving too much to the American side on agriculture, and dairy in particular, would be ... nearly suicidal politically", Charest said.

In Windsor, Mayor Drew Dilkens pointed to the impact on the city's largest employer - Fiat Chrysler Automobiles, which produces the Chrysler Pacifica and Dodge Grand Caravan at the Windsor Assembly Plant - if the Trump administration were to impose 25 percent tariffs on Canadian automobiles, as the president has repeatedly threatened.

The hope is for a trilateral agreement in principle that Congress can approve before Mexico's new president takes office on December 1.


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