Trump announces negotiations with Mexico and Canada

Trump has already called NAFTA the “worst” trade deal ever.

“We’re going to meet with the prime minister of Canada and the president of Mexico, who I know, and we’re going to begin negotiations on NAFTA,” Trump said in remarks to White House staff on his second day as president.

Appointment

In his speech Sunday, Trump boasted about his Mexican counterpart, Enrique Peña Nieto, whom he considered “absolutely fantastic,” and also said he believed in a very good outcome with Mexico. The two men will meet at the White House on January 31.

It is not yet clear when the meeting with Canadian Prime Minister Justin Trudeau will take place, but it will happen “soon,” according to a transcript of a phone call between Trump and Trudeau on Saturday. Trudeau has recently said he is open to renegotiating the deal.

Nieto’s office reported Sunday evening, according to Reuters that the president, in a telephone conversation with Trudeau, agreed to work together to promote economic growth in North America.

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NAFTA

NAFTA stands for North American Free Trade Agreement. The agreement has been in place since 1994. In one of several policy documents posted on the White House website on Friday, it was announced that if the NAFTA partners did not agree to renegotiate the agreement, the United States would unilaterally withdraw. The trade policy document refers to Trump’s lifetime of experience as a trade negotiator.

Even before he was sworn in as president, Trump made sure to pressure several automakers to move their production to the United States instead of Mexico. The Mexican peso has fallen significantly and the exchange rate is now at a record low against the dollar.

Adele Matthews

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