Canada-based Global News reports U.S. President Donald Trump may terminate the North American Free Trade Agreement to get more from Mexico and Canada during the ongoing renegotiation effort. Round two of the negotiations started Friday in Mexico City, Mexico.
Most analysts believe the heated rhetoric is a negotiating tactic – but that doesn’t mean Trump won’t actually start the process of terminating the agreement. President Trump could trigger the process and then stop it at the last minute. Any move to begin the termination process would be met with stiff U.S. opposition, including opposition from the Agriculture industry, as Mexico and Canada are two of the industry’s biggest trading partners.
Further, Carla Hills, who presided over the original NAFTA talks for the U.S., says Trump is not likely to terminate the deal “anytime soon.” She says those in the Trump Administration assure her the President was referring to a mechanism that could be enacted five years from now, after an assessment had been made into whether all three parties had met their commitments. The current round of trade negotiation wraps up Today (Tuesday, September 5th).