Trump Wants Bilateral Deal With Ottawa Instead of NAFTA - White House

  • Trump Wants Bilateral Deal With Ottawa Instead of NAFTA - White House

Trump Wants Bilateral Deal With Ottawa Instead of NAFTA - White House

The White House said it lifted temporary exemptions granted to its NAFTA partners over the delayed negotiations.

Trump earlier imposed harsh tariffs on steel and aluminum from many countries, including Canada and Mexico, prompting criticism and accusations of protectionism.

"Countries that are different probably deserve different deals", he said. His preference now, and he asked me to convey this, is to actually negotiate with Mexico and Canada separately.

Still, Larry Kudlow told "Fox & Friends" that Trump isn't going to withdraw the USA from the North American Free Trade Agreement.

Kudlow's comments are likely to add to the uncertainty about whether Trump is interested in making deals with Canada and Mexico at all.

"We want a trilateral agreement - we've always said this", said International Trade Minister Francois-Philippe Champagne.

US crude prices were down 0.3 per cent at $64.53 a barrel.

Trudeau's government has expressed a preference for the three-country deal but has not ruled out the possibility of a two-country deal with the U.S. Such a deal existed from 1989 until the three-country NAFTA replaced it in 1994.

"He may be moving quickly towards these bilateral discussions instead of as a whole", Kudlow said.

"I wouldn't mind seeing a separate deal with Canada, where you have one type of product, so to speak, and a separate deal with Mexico", he said. They have different problems.

The remarks are likely to create more economic uncertainty between Canada and the USA following Trump's imposition of steel and aluminum tariffs that now affect imports from this country, Mexico and Europe.

A senior official told The Canadian Press that the chances of striking any deal on NAFTA - ever - had "just fallen through the floor".

Last week, the USA imposed steel and aluminum tariffs on the European Union, Mexico and Canada. Two two leaders "agreed to continue working toward a mutually beneficial outcome" on NAFTA, said Trudeau's office.