Sunday, 24 June, 2018

Canada Preparing For US To Pull Out Of NAFTA Trade Deal

Canada talks tough with free trade talks looming TOP NEWS: Canada Preparing For US To Pull Out Of NAFTA Trade Deal
Ellis Copeland | 13 January, 2018, 05:51

With only couple of months left in the now scheduled rounds of talks, Canada will be keeping an ever-closer eye on the US president, who has repeatedly said it might be necessary to start the withdrawal process in order to gain leverage and win concessions. Mnuchin said, "we are expecting that will be re-negotiated or we will pull out".

The Canadian dollar fell 0.9% to $1.2574 against the greenback at 3:05 p.m.in Toronto. Congressional Republicans, especially those from border states whose economies depend on trade, have urged the Trump administration to modernize NAFTA, rather than risking the economic consequences of ending it.

"They're getting smarter on this", Donohue said of the White House's trade strategy.

Trump has repeatedly threatened to walk away from NAFTA unless Canada and Mexico agree to major changes Washington says are.

Numerous bread-and-butter, business chapters are reaching a closing stage, and officials are developing new, creative ideas to respond to "unconventional" US proposals, Freeland said Thursday.

"It's a pretty cheeky move, it's not appreciated by the US negotiators, but it is showing a desire to get tough on the Canadian side".

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Saskatchewan Trade and Export Partnership CEO Chris Dekker said he also shares Wall's concern, noting that uncertainty is weighing down the Canadian dollar and the stock markets while renegotiation talks, which "have not progressed to anyone's satisfaction", continue. "Most likely the Canadians are reacting to the President's negotiating posture".

As long as there's forward momentum at the upcoming talks in Montreal, which get underway January 23, he said it's less likely Trump will touch the exit button. Mexico has previously said it would walk away if Trump formally announced Washington meant to quit. Negotiations are due to wrap up at the end of March.

Speaking to reporters ahead of a cabinet retreat in London, Ontario, on Friday, Freeland welcomed Trump's comments.

The U.S. demand to scrap the Chapter 19 dispute resolution mechanism remains non-negotiable for the Canadian side, but there is the possibility for reform of the Chapter 11 investor-state settlement terms.

Juan Pablo Castanon, President of the Business Coordinating Council, is pictured at the location where the second round of NAFTA talks involving the United States, Mexico and Canada is taking place in Mexico City, Mexico, September 4, 2017.

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