Published: Fri, July 06, 2018
Markets | By Noel Gibbs

Trump delaying NAFTA deal until after midterm elections

Trump delaying NAFTA deal until after midterm elections

Donald Trump also congratulated Lopez Obrador on his electoral win, however, the US president also said in an interview this weekend he intends to hold off on signing a new NAFTA deal until after America's fall midterm elections. Asked about the timing of an agreement, Trump said: "I want to wait until after the election".

"'We're going to take down all our barriers, we're going to take down all our taxes, ' right? We'll see where it goes".

Not to mention Trump made headlines globally after his first Canadian visit for the G7 Summit he called Prime Minister Justin Trudeau "very dishonest and weak".

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However, Trump imposing tariffs on steel and aluminium imports of the U.S.in March has strained relations between the three countries.

"Canada and the United States have an enduring partnership that I am confident will stand the test of time - and believe me, these are testing times", Craft told the crowd, which experienced attendees of the annual gathering described as far smaller than past years.

The ultimate answer may be the cancellation of NAFTA and two independent trade agreements: one between Canda and the USA and another between Mexico and the United States.

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Canada's tariffs will dramatically increase the price of the targeted USA goods in Canadian markets, dampening demand for them and hurting the bottom line of the US companies that produce them. Trudeau's office said the prime minister "conveyed that Canada has had no choice but to announce reciprocal countermeasures" to the USA tariffs.

A fresh round of talks on the three-country pact will come with Canada and the US locked in an unprecedented, cross-border trade fight. The two discussed "mutually beneficial economic and trading relationship between the two countries", Trudeau's office said in a statement.

In responses to the Trump administration's tariffs on steel and aluminum from Canada and other countries, Canada has slapped a tax of 10 percent on more than 80 American products, including coffee beans, strawberry jam, maple syrup, and toffee. "That is why we urge all elected officials in the United States to stand up and push to rescind this short-sighted policy", says Blakely.

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Trudeau has insisted the USA president's complaints about Canada's trade barriers are the result of Canada's refusal to give in to Trump's demands to do away with the country's supply-management system, which is created to protect dairy, poultry and egg producers. Analysts say Congress is unlikely to pass the legislation because it would give more authority to the president on trade matters.

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