Mexico warns on NAFTA sourcing: ‘Don’t shoot ourselves in the foot’

5/23/2017 Reuters

27424865601_1ff00195fd_kMexico’s economy minister on Tuesday sounded a note of caution to the three countries involved in NAFTA trade negotiations, saying they should be careful not to adjust rules on local sourcing of parts too much, or risk driving business elsewhere.

Speaking at an event in Mexico City with Canada’s Minster of Foreign Affairs Chrystia Freeland, Mexican Economy Minister Ildefonso Guajardo said Mexico was not opposed to revising so-called rules of origin – which stipulate that products must meet minimum NAFTA-wide content requirements to be tariff-free.

But he warned that Mexico, the United States and Canada could “shoot ourselves in the foot” if they tweak rules too much and drive investment elsewhere.

Under these rules, manufacturers must obtain a minimum percentage of components for their products from Canada, Mexico or the United States.

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Trump trade officials prefer tri-lateral NAFTA deal: U.S. senators

5/16/2017 Reuters

north americaThe Trump administration’s top trade officials hope to keep the North American Free Trade Agreement as a trilateral deal in negotiations with Canada and Mexico to revamp the 23-year-old pact, senators said on Tuesday.

Several members of the Senate Finance Committee said Commerce Secretary Wilbur Ross and new U.S. Trade Representative Robert Lighthizer told them in a closed door meeting that they would prefer the current three-nation format but left open the possibility of parallel bilateral agreements with Canada and Mexico.

“Their preference is trilateral,” Democratic Senator Debbie Stabenow told reporters after the meeting.

Republican Senator Charles Grassley of Iowa said from the meeting it sounded to him as if a trilateral deal was more likely “unless there’s problems” with that approach.

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TransCanada profit beats on U.S., Mexican pipeline businesses

5/5/2017 Reuters

pipelineCanada’s No. 2 pipeline operator, TransCanada Corp (TRP.TO), reported a better-than-expected quarterly profit, helped by higher earning from its U.S. and Mexican natural gas pipelines business.

Earnings from its U.S. natural gas pipelines more than doubled, helped by its acquisition of Columbia Pipeline Group Inc last year for about $13 billion.

Profit from its Mexico natural gas pipelines also rose about 162 percent to C$118 million.

The company’s net profit attributable to shareholders rose to C$643 million ($467 million), or 74 Canadian cents per share, in the first quarter ended March 31 from C$252 million, or 36 Canadian cents per share, a year earlier.

The latest quarter included about C$48 million in charges, mainly related to the acquisition of Columbia Pipeline Group. The year-ago quarter included charges of about C$211 million, mainly related to the termination of Alberta power purchase agreements.

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After the Storm in U.S.-Mexico Relations

3/31/2017 The Wilson Quarterly

Articles by Duncan Wood, Christopher Wilson, Andrew Selee, Eric L. Olson, Earl Anthony Wayne & Arturo Sarukhan

The relationship between Mexico and the United States is facing its most severe test in decades. Although a new tone and new ideas are needed, the economic, political, and security fundamentals matter more than ever.

Browse the full Winter 2017 issue of Wilson Quarterly here…

Leveraging the U.S.-Mexico Relationship to Strengthen Our Economies, by Christopher Wilson

A New Migration Agenda Between the United States and Mexico, by Andrew Selee

The Merida Initiative and Shared Responsibility in U.S.-Mexico Security Relations, by Eric L. Olson

U.S.-Mexico Energy and Climate Collaboration, by Duncan Wood

Toward a North American Foreign Policy Footprint, by Earl Anthony Wayne & Arturo Sarukhan

 

Canada, Mexico can integrate supply chain much more: minister

3/17/2017 Reuters

NAFTA_logoThere is plenty of scope for Mexico and Canada to deepen supply chain integration, Canada’s trade minister said on Friday, in the latest nod to boosting North American industry in the face of U.S. President Donald Trump’s pledge to boost jobs.

“We have a good relationship, but I do believe when you look at the supply chain in North America, we can do so much more together,” Canadian Trade Minister Francois-Philippe Champagne said at an event in the northern Mexican city of Monterrey.

“We value our political and commercial relationship with Mexico and we will work closely with Mexico to build a more prosperous North America,” he added.

Trump wants to renegotiate the North American Free Trade Agreement (NAFTA) between the United States, Mexico and Canada, and has threatened to ditch it if he cannot get a better deal in his efforts to protect U.S. manufacturing jobs.

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In Trump era, some Mexican migrants head north – to Canada

3/16/2017 Reuters

visa canadaShortly after crossing the Rio Grande into the gang-infested border city of Reynosa, dozens of Mexicans deported during U.S President Donald Trump’s first days in office said they would soon try to head north again – but this time to Canada.

In a Reynosa migrant shelter, just yards from the U.S. border, 26-year-old Cenobio Rita said he had earned about $3,000 a month installing playgrounds in Richmond, Virginia, before he was deported on Feb. 15 after police found marijuana in his car.

Having left Mexico as a 14-year-old, he fretted about returning to his violent home state of Michoacan. With Trump taking a tough stance on undocumented immigrants, he ruled out a common path for many deportees – back into the United States.

“I want to go to Canada with my passport,” he said. “For those without documents, I think (the United States) is over. Now it’s Canada’s turn.”

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US President Helps Fuel Surge in Mexican Tourism to Canada

3/14/2017 New York Times

canada flag I.A.M. photo
Photo by Flickr user I.A.M.

TORONTO — President Donald Trump loomed large in the mind of Mexico City plastic surgeon Rodrigo Munoz as he was deciding where to go for a winter ski vacation.

Munoz has skied in Nevada and New Mexico, but what he and many others perceive as Trump’s hostile posture toward Mexico made him seek out a more hospitable climate to spend his time and money. He went to the Canadian Rockies instead.

“I don’t want to go to a country that does not accept the people from my country,” Munoz said after his recent return from a weeklong trip.

Many of his fellow Mexicans share this view. Canada has seen a surge of visitors from Mexico since December, when it lifted a visa requirement that had been imposed in 2009. The change was planned before the U.S. election, but it is widely viewed as a reflection of warmer relations between Canada and Mexico. Trump, meanwhile, is pushing for a wall along the U.S. border with Mexico, has stepped up immigration enforcement and wants to re-negotiate the North America Free Trade Agreement, the 1994 treaty that created a closer trading relationship among the three countries of North America.

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