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Home North America Canada

Mexico Says US Automotive Trade Proposal for NAFTA is “Not Viable”

Elena Toledo by Elena Toledo
November 30, 2017
in Canada, Economics, Featured, International Relations, Mexico, News Brief, North America, United States
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Mexico Says US Automotive Trade Proposal for NAFTA is “Not Viable”
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President Donald Trump and his administration said that Mexico has questioned their proposal to increase the number of cars in the US in an effort to “bring back jobs.” (Facebook)

Español The renegotiation of the North American Free Trade Agreement (NAFTA) continues amid conflicting proposals from the United States, Canada and Mexico, the most controversial of which have come out of the US, ultimately stalling hopes of reaching a final agreement.

President Donald Trump and his administration said that Mexico has questioned their proposal to increase the number of cars in the US in an effort to “bring back jobs.”

Mexico’s Secretary of Economy Ildefonso Guajardo said in a press conference on Wednesday, November 29, said that the proposals made by the US “were not viable,” but he did not specify what his formal response would be.

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Guajardo said Mexico would come up with a counter-proposal regarding the rules of origin for automotive parts, but did not say when it would be released. The efforts made during this most recent visit to Washington were aimed at reinforcing support of US congressmen for NAFTA renegotiations.

Concluye visita de trabajo a Washington, D.C. Sostuve reuniones con los líderes responsables de la agenda comercial de Estados Unidos. México mantendrá una posición constructiva y propositiva para lograr un acuerdo que beneficie a los tres países. https://t.co/x2mM6Dpocf pic.twitter.com/75z8XIlZDm

— Ildefonso Guajardo Villarreal (@ildefonsogv) November 29, 2017

Conversations with Guajardo in the US come at a critical time for the country’s Congress, as Republicans attempt to move through tax reform. However, that did not stop US Trade Representative Robert Lighthizer from expressing his increasing frustration with the “slowness” of the talks.

Meanwhile, Speaker of the House Paul Ryan said he and Guajardo “are determined” to strengthen trade relations with Mexico, and added that he “hopes the government continues to work with us to modernize NAFTA and strengthen our strong relationship with such an important ally.”

In December, the sixth round of renegotiation will take place in Washington, D.C., so Guajardo was making a preemptive visit to try to nurture a productive environment.

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