In an apparent change of face there’s a report out that the United States are looking to change their hard line stance and position on parts of the NAFTA deal. The US had originally stated that any vehicles produced in Canada or Mexico that were destined for the United States would have to have a minimum of fifty percent of its make up from strictly US produced parts.
The US government’s negotiating team apparently took this demand off the table late in last week’s North American Free Trade Agreement talks in Washington DC where representatives from Canada, Mexico and the US were looking make headway on the ratification of the almost 30 year old deal.
Part of President Trump’s negotiation team for the United States originally demanded that they wanted to see a minimum of 85 percent of car and truck content, think parts, come from the NAFTA group, which would be up from the current 62.5% and that at least 50% of the 85% come directly from the United States. Both Canada and Mexico raised severe concerns over this amount and had been seen as a major sticking point in the ongoing talks between the North American nations.
The Canadians, while refusing to officially comment on this specific issue, have been somewhat upbeat of late noting that Canadian Prime Minister, Justin Trudeau, went so far as to stay that after his meetings with US President Donald Trump he believed that he was ‘enthusiastic’ about making the new North American Free Trade Agreement work. Other members of the Canadian negotiating team, led by Canada’s Foreign Minister Christine Freeland, have refused to publicly comment on this latest change, but have been very positive about the process and say that they are continuing to work well with the United States team which is led by US Trade Representative Robert Lighthizer.