U.S., Mexico reach trade ‘understanding,’ door opens for Canada

Justin Trudeau has insisted his government will only sign a deal that’s good for Canada

Donald Trump says the United States and Mexico have reached a bilateral trade “understanding” that could lead to an overhaul of the three-country North American Free Trade Agreement and opens the door for continental talks with Canada.

The U.S. president made the announcement today in the Oval Office, with Mexican President Enrique Pena Nieto joining by speaker phone.

READ MORE: Canada’s NAFTA waiting game enters new week as US and Mexico work on differences

Trump is calling on Canada to negotiate fairly, especially when it comes to dairy products, and he’s threatening anew to slap tariffs on Canadian cars if Canadian negotiators fail to do what he wants.

The U.S.-Mexican deal could pave the way for Canada’s return to the continental bargaining table for the first time since trilateral NAFTA talks wrapped up last spring.

Observers have raised concerns that Canada’s absence from the talks could put Ottawa in a position where it might be pressured into accepting a deal reached between the U.S. and Mexico.

But Prime Minister Justin Trudeau has insisted his government will only sign a deal that’s good for Canada.

More coming

The Canadian Press


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