Mexico and the US announced an agreement regarding the renegotiation of NAFTA. While there is little information on what the deal comprises, the Presidents of both countries praised the agreement and the opportunities they expect to generate across both countries.
After about 18 months of negotiation and numerous drawbacks, a renegotiation of the trade agreement between Mexico and the US seems to finally be moving forward. On August 25, President Trump tweeted “Our relationship with Mexico is getting closer by the hour,” and on Monday August 27 the countries reached an agreement to renegotiate some of NAFTA’s key points, although the agreement’s name is still to be determined. Trump described the new agreement as a “much more fair bill [sic]” and said that both parties were “very, very excited.”
On a press conference that same day, Trump called the future trade deal the “United States Mexico trade agreement,” noting that the term NAFTA had “a bad connotation.” While there is little data of what the new deal will address, Trump called it “a really good deal for both countries.”
In a conference call between President Trump and President Enrique Peña Nieto, the latter celebrate the understanding between both countries to renew and update NAFTA “to generate a framework that will boost and potentiate productivity in North America.”
This agreement seems as a step forward in the cooperation between both countries. Although there is little information on how the new deal will affect Mexican industries, Trump said that the deal was “very special for manufacturers and farmers from both countries and all of the people that work for jobs.”
While Peña Nieto called for the incorporation of Canada during the call, Trump said that the US had “not started with Canada yet.” Trump expressed interest in talks with Canada, which should occur “shortly” before immediately decrying the northern country’s tariffs of almost “300 percent.” Trump said that it would be possible to have a separate deal with Canada.