In Washington D.C. this week, all eyes are on the North American Free Trade Agreement (NAFTA) renegotiation talks that began Wednesday between trade representatives from the United States, Canada, and Mexico. Negotiators have set the end of the 2017 calendar year as the ideal date by which to conclude negotiations, but such an aggressive timetable appears unrealistic. The next round of talks is scheduled for September 1-5, 2017 in Mexico City.
Robert Lighthizer, the United States Trade Representative (USTR), is prioritizing protections for American manufacturing, and is pushing the Trump Administration’s “America First” agenda. Lighthizer made clear in his opening remarks at the Wednesday meeting that the priority of the United States will be to draw down deficits with its trade partners, but Mexican and Canadian leadership do not want to appear weak in negotiations with the Trump Administration. United States agriculture industry leaders are concerned their export gains with Mexico and Canada will be exchanged for protection of American manufacturing. This threat of concessions to agriculture exports will grow if negotiations stall over Trump’s campaign promises for a trade deal that promotes American made products.