Ongoing NAFTA talks could lead to ‘devastating’ economic fallout, ex-commerce secretary says

11/16/2017 CNBC 

Image result for carlos gutierrezThis expert says there is a ‘real risk; that NAFTA talks could fail  

The United States’ opaque approach to negotiations on the North American Free Trade Agreement could well lead to a “devastating” collapse of the treaty, former U.S. Secretary of Commerce Carlos Gutierrez told CNBC.

Trade representatives from the U.S., Canada and Mexico meet this week for the fifth round of NAFTA talks. However, the ongoing discussions belie an increasingly bleak future for the trade agreement, said Gutierrez, who is also the chair of strategic advisory Albright Stonebridge Group.

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Which States Would Be Hit Hardest by Withdrawing from NAFTA?

11/17/2017 U.S. Chamber of Commerce

flag pictureImagine the scene: The U.S. unemployment rate is climbing. Crops in the heartland are rotting. Manufacturers are moving abroad. Consumer prices are rising.

That’s the picture painted by Tom Donohue, President and CEO of the U.S. Chamber of Commerce, in his recent column in The Wall Street Journal examining the increasingly precarious state of play in the effort to modernize the North American Free Trade Agreement (NAFTA):

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NAFTA talks resume Friday with tariff-free auto parts on the table

11/16/2017 Dallas News 

automobileMEXICO CITY — Officials for Canada, Mexico and the United States will renew talks here Friday, amid a cloud of uncertainty  and animosity that hangs over negotiations to revamp the North American Free Trade Agreement.

As the talks drag on, now expected to continue through March, the possibility of any real gains are likely to become even slimmer as elections loom for the three countries, particularly Mexico, which holds presidential elections in July. Crucial midterm congressional elections are in November in the U.S. NAFTA could muddy the campaign waters even more, experts say.

“The window of opportunity is fast closing in,” said Tony Payan, director of the Mexico Center at Rice University’s Baker Institute, which hosted a top Mexican delegation this week headed by Foreign Minister Luis Videgaray. “Even if Mexico makes important concessions, President Trump may not contain himself and declare victory by walking away from NAFTA, and that will put Mexico in a very difficult spot because for Trump to win, others have to lose. Mexico is in a real pickle. Elections are at stake here.”

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U.S. energy chief expresses confidence in NAFTA talks

11/14/2017 Reuters

Image result for rick perryHOUSTON (Reuters) – U.S. Secretary of Energy Rick Perry said on Tuesday he is confident that the North American Free Trade Agreement will be successfully renegotiated by the United States, Canada and Mexico.

Perry said that he expects NAFTA talks, currently underway among the three nations, will lead to a “good agreement, a fair agreement” during a Houston news conference with Mexican Secretary of Energy Pedro Joaquin Coldwell and Canadian Minister of Natural Resources Jim Carr.

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Commerce chief says ‘some sort’ of NAFTA deal will reach Trump

11/14/2017 Reuters

Image result for wilbur rossWASHINGTON (Reuters) – U.S. Commerce Secretary Wilbur Ross said on Tuesday that he believes NAFTA negotiations will produce “some sort” of a deal for President Donald Trump to evaluate but repeated his warnings that the United States will walk away from the trade pact if key problems are unresolved.

Ross, speaking before the start of a fifth round of talks this week to modernize the North American Free Trade Agreement, said Mexico and Canada would suffer far more than the United States if the pact is dissolved.

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Kill Nafta? It’s Not as Easy as Trump Might Think

11/14/2017 Bloomberg

U.S. President Donald Trump repeatedly blasts the North American Free Trade Agreement and threatens to terminate the 1994 accord if talks to rewrite it don’t go his way. With the fifth round of negotiations set to resume on Nov. 15, Canada, Mexico and the U.S. remain deeply divided in five areas, including how to settle disputes and the amount of U.S. content in auto production. The terms of the Nafta treaty offer Trump an exit path, but considering the many complications involved, would he really pull the plug?

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Mexico readying economic response if U.S. exits NAFTA

11/13/2017 Reuters

Mexico’s government is preparing a macroeconomic response in case U.S. President Donald Trump makes good on threats to quit the North American Free Trade Agreement (NAFTA), an event which could wreak havoc on the Mexican economy and hurt the peso.

Mexico’s Foreign Minister Luis Videgaray said on Monday the government and central bank were preparing a plan to address the possibility of a future without NAFTA, but gave few details.

The government has said it is examining how it could adjust Mexican legislation to give investors certainty about their investments if the almost 24-year-old NAFTA collapses.

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