US President Trump threatens auto tariffs against Canada if trade talks fail

US President Trump threatens auto tariffs against Canada if trade talks fail

President Donald Trump said Friday that a trade deal with Mexico is "coming along nicely".

The US-Mexico NAFTA talks resumed three weeks ago, without Canada, after negotiations involving all three members of one of the world's largest trade blocs stalled in June.

USA and Mexican negotiators will resume talks next week on the update of the North American Free Trade Agreement, Mexico's Economy Minister Ildefonso Guajardo said Friday, August 10.

Guajardo stressed that the most hard issues had been left to the end, including the United States demand that NAFTA be approved every 5 years, a provision known as a sunset clause. Their Tariffs and Trade Barriers are far too high.

United States and Mexican officials have said they aim to conclude discussions this month and it is the third straight week ministers have traveled to Washington for meetings.

Guajardo said negotiators were leaving some issues for last and that the sunset clause, which was "highly complex", had not yet been touched.

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Mexico and Washington have been discussing rules for the automotive sector, which has been a major point of contention between the two countries.

Administration officials and congressional aides have said the vehicle tariff probe, like the metals tariffs, in part is aimed at winning concessions during ongoing NAFTA renegotiation talks. "Will tax cars if can't make a deal!"

But there is no specific date to return to trilateral discussions, he said.

Talks are due to continue Friday and include Jesus Seade, economics adviser to Mexico's President-Elect Andres Manuel Lopez Obrador.

"We're glad Mexico and the USA continue to work out their bilateral issues".

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