Mexican Media Brands
Canada, Mexico Report “Good Progress” in NAFTA Talks
Chief negotiators from Canada and Mexico say their talks with the U.S. about updating the North American Free Trade Agreement made “good progress” at the end of last week and will continue on Tuesday.
#economics
Share
Chief negotiators from Canada and Mexico say their talks with the U.S. about updating the North American Free Trade Agreement made “good progress” at the end of last week and will continue on Tuesday.
Reuters cites a source who indicates the three countries are zeroing in on a deal that would increase local content requirements for vehicles made in the region to about 75% from the current 62.5%. The Trump administration originally demanded 85% local content by value, including 50% originating in the U.S.
Local content issues, or rules of origin, are at the crux of the negotiations. Envoys reportedly are developing a scheme that would sort vehicle components into three categories, each with its own local content requirement.
The trade representatives are widely thought to be aiming to reach at least an agreement in principle before July 1. That’s when Mexico holds its presidential election and U.S. Congressional midterm election campaigning will ramp up.
RELATED CONTENT
-
Enterprise Edges into Self-Driving Car Market
U.S. rental car giant Enterprise Holdings Inc. is the latest company to venture into the world of self-driving vehicles.
-
Tariffs on Autos: “No One Wins”
While talk of tariffs may make the president sound tough and which gives the talking heads on cable something to talk about, the impact of the potential 25 percent tariffs on vehicles imported to the U.S. could have some fairly significant consequences.
-
Porsche Doubles EV Target for 2025
Porsche AG says about half the vehicles it sells by 2025 will be equipped with hybrid or all-electric powertrains, twice the ratio it forecast four weeks ago.