U.S. ‘very close’ to proceeding with Mexico-only trade deal: Trump adviser

22 Septembre, 2018, 01:39 | Auteur: Auguste Feret

How would Scheer make a NAFTA deal?

While Canada wants to be included in the latest NAFTA agreement between the US and Mexico, Prime Minister Justin Trudeau said he is not afraid to walk away from a bad deal.

Washington reached a bilateral trade deal with Mexico in late August and is threatening to exclude Canada if need be.

Canadian Foreign Affairs Minister Chrystia Freeland arrives at the Office Of The United States Trade Representative in Washington, Thursday, Sept. 20, 2018.

Investor concerns over the future of the 1994 pact, which underscores $1.2 trillion in annual trade, have regularly hurt stock markets in all three countries, whose economies are highly integrated. The U.S. and Mexico already agreed to a deal.

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The disputed issues remain what they have been for several months: Canada's protectionist barriers to its dairy market, Canada's demand for a trade dispute settlement mechanism that disproportionately favors Canada, and Canada's reluctance to modernize rules-of-origin regulations for auto manufacturing.

WATCH: Should Canada walk away from the NAFTA talks?

"I'm a little surprised that the Canadians haven't signed up yet", Hassett added. "I worry that politics in Canada is trumping common sense because there's a very good deal that was designed by Mexico and the U.S.to appeal to Canada".

The two trade leaders are due to be in NY next week for the United Nations General Assembly, but it was unclear if they would meet.

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