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Old 10-07-2017, 01:26 PM
 
Location: Canada
7,654 posts, read 5,434,837 times
Reputation: 8791

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NAFTA further imperilled by U.S. demand for stringent auto content | CTV News

Quote:
The United States is set to propose that cars and trucks must have at least 85 per cent North American content and at least 50 per cent specifically American content to qualify for duty-free status, according to a report by Inside U.S. Trade.
Quote:
Studies have found that Canadian-produced vehicles already contain 63 per cent American content, while those produced in Mexico contain 40 per cent, Volpe noted. But he said casting an American content requirement in stone would handcuff the industry's ability to pivot to suppliers in other countries -- including Canada and Mexico -- should they be able to offer a better product at a better price.
Quote:
imposing stringent North American and American content requirements, without simultaneously raising the 2.5 per cent tariff on vehicles imported to the U.S. outside NAFTA, would backfire. He predicted auto makers would forgo their duty-free status under NAFTA, move their operations to Mexico and pay the tariff.
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Old 10-17-2017, 02:44 PM
 
22,923 posts, read 15,377,500 times
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Well today's development should come as no surprise.

The U.S. does not want "fair" trade at all. They want it all.

That rep Lighthizer who made the speech insulting Canada in his typically American boorish manner by lying though his teeth claiming the U.S. has a trade deficit with Canada when anyone with any knowledge, along with their own government sites https://ustr.gov/countries-regions/americas/canadaclaim they have a 12 billion trade surplus with Canada is just one more indicator they want us to walk from the table so they can claim we weren't willing to negotiate.
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Old 10-17-2017, 03:21 PM
 
Location: Mid Atlantic USA
12,623 posts, read 13,860,693 times
Reputation: 5883
Quote:
Originally Posted by BruSan View Post
Well today's development should come as no surprise.

The U.S. does not want "fair" trade at all. They want it all.

That rep Lighthizer who made the speech insulting Canada in his typically American boorish manner by lying though his teeth claiming the U.S. has a trade deficit with Canada when anyone with any knowledge, along with their own government sites https://ustr.gov/countries-regions/americas/canadaclaim they have a 12 billion trade surplus with Canada is just one more indicator they want us to walk from the table so they can claim we weren't willing to negotiate.

He is a Trumpian and as expected acting as such. Half baked nationalism as McCain has stated.
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Old 10-18-2017, 12:02 PM
 
Location: Vancouver
18,494 posts, read 15,380,201 times
Reputation: 11930
I'm sure some have read this CBC piece. The part that struck me was

"Foreign Affairs Minister Chrystia Freeland accused the United States of deliberately trying to undermine the North American Free Trade Agreement, calling its list of unconventional proposals "troubling."

Her remarks came during a tense joint news conference as the fourth round of NAFTA talks wrapped up in Arlington, Va., a suburb of Washington, D.C. As Freeland delivered the rebuke of the U.S. approach, her counterpart U.S. Trade Representative Robert Lighthizer silently looked down."

Perhaps a bit guilty in knowing they aren't really into negotiating anything?

Freeland calls U.S. NAFTA demands 'troubling' and 'unconventional' - Politics - CBC News
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Old 10-18-2017, 12:53 PM
 
Location: Canada
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Quote:
Originally Posted by Natnasci View Post
Perhaps a bit guilty in knowing they aren't really into negotiating anything?
Actually, a previous CBC article described the U.S. negotiators as appearing embarrassed when they presented their various demands. They know the demands are obvious “non-starters”. In other words, they have been given their orders, probably from the White House, and don’t have any leeway to be flexible at all.

As I said in the U.K. forum last week - “It looks like the U.S. wants out of NAFTA as they have tossed in some poison pills into their proposals. I think Trump wants Canada and Mexico to walk away first so Trump can say he tried.”

(U.K. posters seem to think that Trump, prompted by warm and fuzzy feelings about the U.K., will be quick to give them a good and fair free trade deal, hopefully as part of NAFTA, after Brexit.)

I think Canada and Mexico’s strategy will be to stay firm and not play Trump’s game and he will be the one to walk away. I don’t think Congress will agree to the termination of NAFTA. Canada has ensured it has many allies at state and local levels as well as in Washington and with industry groups. Mid term elections are coming up and the most immediate effect of NAFTA termination would be the loss of thousands of U.S. jobs and absolute chaos in the auto sector where parts may move back and forth between borders several times (would the same part be subject to duty each time?)

Last edited by cdnirene; 10-18-2017 at 01:05 PM..
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Old 10-18-2017, 01:49 PM
 
22,923 posts, read 15,377,500 times
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Airbus assuming ownership of the 'C' segment of Bombardier production has got to be prescient in it's cutting their commerce department decision of tariffs on the Delta purchase off at the knees.

Now Boeing has just manoeuvered (bit it's nose off to spite it's face) itself into competing with an even bigger company that will build those planes in the U.S. supporting even more jobs in America and not required to pay tariffs while selling to a market Boeing cannot service. Looks good on them.

Regarding the NAFTA talks; that Christia Freeland lady is one smart and tough opponent for them to handle. I believe we are very lucky to have her sitting at the table.
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Old 11-02-2017, 08:26 AM
 
Location: Canada
7,654 posts, read 5,434,837 times
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TPP talks without U.S. near final stretch ahead of APEC

The APEC Economic Leaders meeting is Nov. 11-12 in Viet Nam.

Quote:
"The momentum towards (an agreement) at the meeting in Danang has significantly increased," said Japan's chief TPP negotiator, Kazuyoshi Umemoto.
However,
Quote:
Canada though played down the chances of any kind of formal deal next week, citing the need to ensure the provisions in a new TPP treaty would not cause problems at ongoing talks to update the trilateral North American Free Trade Agreement. The NAFTA talks are due to wrap up next March.

"We're moving quite expeditiously but it's probably going to take a little longer, so as for a signature (next week) – that's highly optimistic," said an Ottawa source familiar with the government's position.
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Old 11-02-2017, 10:58 AM
 
4,253 posts, read 9,425,088 times
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New York Times' article on NAFTA negotiations, November 2:

https://www.nytimes.com/2017/11/02/o...ada-nafta.html

Quote:
Mr. Trump also prompted renegotiations of Nafta, which he criticized relentlessly during his campaign as “the worst trade deal ever signed.” Started in August and scheduled to run until March, the Nafta talks have been shocking to many Canadians as the United States has issued a series of unreasonable demands that no Canadian or Mexican government could accept.

The Trump administration is reportedly asking that Nafta be renegotiated every five years, which would create a state of perpetual uncertainty for business and deter investment. Washington also wants to eliminate Nafta’s binational dispute-settlement panels, a red line for Canada because Canadian businesses would have to rely on United States courts, which they don’t necessarily trust.

Further, Washington is apparently insisting on “rules of origin” that would require Canadian and Mexican vehicles to contain no less than 50 percent American parts and services for duty-free entry into the United States, an onerous demand benefiting American producers. Washington is also asking that such vehicles contain at least 85 percent of parts and services from the three Nafta countries. The existing 62.5 percent has allowed for the use of cheaper supplies outside the trading group.

The United States representatives are also reportedly demanding unlimited access for American businesses to all Canadian government procurement contracts while limiting Canadian access to United States government contracts.
Quote:
Washington’s agreement last month to extend the negotiations until March is a hopeful sign. The Canadian government has made clear that it won’t abandon the talks even if they have to be kicked down the road past the 2018 Mexican presidential election and the midterm congressional elections in the United States. Canada will not provoke the Trump administration, but it also won’t fold under pressure.

If Nafta were to be abrogated, it would be costly for the Americans. Resentment of the United States by its major trading partners would mount, and cooperation across the board would suffer. Tariffs would be reimposed on United States imports and exports. Manufacturing jobs would be jeopardized in many of the states that elected Mr. Trump president. Global supply chains would be disrupted, making American (and Canadian and Mexican) industry less competitive with European and Asian companies.

Canada will take every opportunity to cooperate, but it will also adapt to life with a highly mercantilist neighbor. Canada will probably diversify trading partners, and double down on agreements with the European Union and the nascent 11-member Trans-Pacific Partnership. Further bilateral trade agreements will be forged with Japan and China, which is very interested in Canadian resources. Canada will partner with Mexico while waiting for the day that Washington is ready to rejoin its friends.

Congress has the constitutional power to regulate commerce with foreign nations. Better for congressional leaders to exercise that power now to prevent harm than to use it later to pick up the pieces after an entirely avoidable collapse of Nafta.
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Old 11-20-2017, 08:27 AM
 
22,923 posts, read 15,377,500 times
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Canada's now being lectured by Vincente Fox of Mexico against performing a "Judas" upon Mexico!

Former Mexican president warns Trudeau not to be 'Judas' in NAFTA talks - Politics - CBC News

Does anyone here think Fox is making this statement without some prior discussion with Nieto? Does anyone here doubt it was suggested as a way for Nieto to avoid being seen as threatening Canada directly?

What country would think this an appropriate way to nurture an alliance.

Cripes; does anyone here doubt for a minute that if Trump hinted to Mexico a singular and 'preferential to Mexico deal', leaving Canada out in the cold would be acceptable to the U.S. that Mexico would not put it's own best interests before that of a foreign country and leap to agree?

Canada should do what's best for Canada and Canadians, as Mexico will most certainly do on it's own behalf.
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Old 11-20-2017, 11:10 AM
 
Location: Canada
14,676 posts, read 14,779,386 times
Reputation: 34653
Yes, I do have some doubts so I'm willing to give him some benefit of the doubt. In the first place I don't think it matters what Fox said and I think the press is making a mountain out of a molehill. I think Trump's bullying tactics are rubbing off on them or wearing them down and now Fox is being all paranoid. Maybe Nieto said something inconsequential to him and Fox blew it out of proportion and got all panicked and took it upon himself to reprimand Trudeau.

Or what I think is more likely - maybe Trump sent them a tweet to torment them with hints along the lines of "Nyah, nyah, I read on twitter from somebody who has it on good authority from somebody else in high places that Trudeau likes me better than he likes you and he is going to betray you suckahs. Nyah, nyah! MAGA ! MAGA !! MAGA !!!". Because that is exactly Trump's style, you know.

Whatever happened, whatever the cause of Fox's outburst, I think in a round about way it can be laid directly at Trump's feet because Trump is playing mind games with them all trying to make Mexico and Canada turn against each other.


.
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