Thursday, 21 November, 2019

Mexico sees risk in talks as U.S. hints at abandoning NAFTA

The flags of the United States and Mexico share a flagpole Mexico sees risk in talks as U.S. hints at abandoning NAFTA
Christy Curtis | 02 September, 2017, 00:52

As President Donald Trump in recent weeks has resumed threats of terminating the North American Free Trade Agreement (NAFTA), Mexico is looking to formulate a backup plan.

Trump then turned to Niinistö and said, "I guarantee you, Mr. President, Finland would never have signed NAFTA with Russian Federation or whoever you wanted to".

Trump has argued that he will get Mexico to pay back the money for building the wall, but that it is vital construction not wait for this to happen.

"I believe you will probably have to at least start the termination process before a fair deal can be arrived at", Trump told reporters during a joint press conference with the president of Finland at the White House.

On the morning of Sunday August 27 Trump tweeted out that with NAFTA being "the worst trade deal ever made", his administration "may have to terminate".

Mexico doubled down on its refusal to pay for President Trump's proposed border wall "under any circumstances", the country's foreign ministry said in a statement. The new tariffs on US dairy exports "intentionally undercuts US dairy protein exports to other world markets, and at the same time, hurts dairy farmers in the US, Mexico and around the world by artificially lowering world market prices", Mulhern added.

Mexico sees risk in talks as U.S. hints at abandoning NAFTA

The news outlet added citing a statement of the two ministries that Videgaray would meet his US counterpart Rex Tillerson, as well as US National Security Adviser Herbert McMaster to discuss bilateral relations.

"Believe it or not, this is the least important thing that we are talking about, but politically this might be the most important talk about", the USA head of state told Peña Nieto.

The Republican majority wants to cut taxes and pass a costly infrastructure bill, but Trump has threatened to trigger a government shutdown unless it funds his wall.

"I don't think the business community has any appetite at all to have the US withdraw from NAFTA", Wise said.

Experts said Trump is trying to signal a willingness to walk away, one of his trademark negotiation tenets, and that the possibility would have varied consequences.

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