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President Trump announces new trade deal with Mexico
Joined on the phone by the Mexican President, Enrique Peña Nieto, President of Trump announces the United States-Mexico free trade agreement, an understanding with Mexico, which could lead to an overhaul of NAFTA.
President Trump on Monday said that he plans to terminate the existing North American Free Trade Agreement, as he announced a new interim agreement between the United States and Mexico, which he described as “one of the largest trade agreements ever made.”
“I’m going to the termination of the existing offer and go in this business,” said the President in the Oval Office, called it a “great day for trading.”
But the President said on Monday, “we will see” if Canada were to open a part of the trade Pact, leaving the possibility of separate agreements.
“We will start the negotiations with Canada pretty much immediately,” Trump said.
Trump, sitting at the Resolute Desk, the President of Mexico Enrique Peña Nieto on his speakers as the press saw in the Oval Office. The Mexican President, speaking through a translator, congratulated the negotiators on both sides, and expressed the hope that the United States and Canada would come to an agreement.
On Monday, Trump said he get rid of wanted the name “NAFTA”, because it has bad connotations. He said he planned to instead call the offer of the “United States-Mexico free trade agreement”.
Our relationship with Mexico is getting closer by the hour. Some really good people in the old and new government, and all work closely together….A large trade agreement with Mexico could leave soon!
— Donald J. Trump (@realDonaldTrump) August 25, 2018
The United States Trade Representative behalf of the U.S.-Mexico deal a “tentative agreement in principle, subject to finalization and implementation.”
“They call it NAFTA, we call it said the United States-Mexico free trade agreement, and we will remove the name “NAFTA” Trump. “It has a bad connotation, because the United States was violated, is very difficult from the NAFTA Region.”
Trump on Monday, calling it “one of the largest trade agreements ever made.” To fix the USA and Mexico have worked, the main differences on topics ranging from automobiles, energy.
What is the meaning of the new US-Mexico-trade-deal will mean for Democrats?
According to a Bulletin of the United States Trade Representative, the agreement, the new origin comprises rules, incentives to manufacturers of goods and materials in North America, including the requirement of 75% of the car content in the United States and Mexico.
Officials in Canada, though, on Monday still expressed optimism about an agreement.
“Canada is encouraged by the continued optimism by our negotiating partners,” a spokesperson from Canada’s minister of foreign affair, Chrystia Freeland, said Monday. “The progress between Mexico and the United States is a necessary prerequisite for a new NAFTA agreement.”
During the 2016 presidential campaign, Trump railed often against the trade Pact as “the worst may ever signed, anywhere.”
Trump and Peña Nieto have worked for the last five weeks to iron their bilateral differences, so that Canada can re-Region the discussions on the updating of the NAFTA. The USA and Mexico wanted to conclude an agreement this month so that it can be signed before the President of Mexico, Andrés Manuel López Obrador’s inauguration in December.
One of the biggest issues on the negotiating table deals with the car manufacturing jobs, as the trump administration is pushing for a deal that would boost factory employment in the United States
US Trade Representative Robert Lighthizer, and Mexican Secretary of economy Ildefonso Guajardo, went together on Monday to the White house without speaking to journalists. The delegation included also Jesus Seade, one-world-trade-organization veteran knocked down by Lopez Obrador as his future chief trade negotiator.
The United States agreed on Thursday, the 2.5 percent tariff currently in place in the World Trade Organisation rules, if the cars are in factories that already exist, which leaves open the possibility that automobiles are built, new plants will face charges of 20 percent to 25 percent.
Trump has also signaled that it is disconnected open for the negotiation of trade agreements with Mexico and Canada, while both countries have said they want to keep to employ the three-nation, dates back to the year 1994.
Earlier in August, Trump Canada threatened with car rates, if the United States and Canada, you can’t forge a deal.
“Canada will have to wait,” Trump tweeted. “Their tariffs and trade barriers are much too high. Will tax cars, if we don’t make a deal!”
Canada responded with a statement on Friday evening saying: “Our focus is unchanged. We will keep standing up for Canadian interests as we on the way to a modernized trilateral NAFTA agreement.”
Adam Austen, spokesman for Canada’s Minister added: “We are pleased that Mexico and the United States continue their bilateral problems. It is the only way we get to make a business.”
Fox News’ John Roberts, Susan Li, and The Associated Press contributed to this report.
Alex Pappas is a political reporter at FoxNews.com. Follow him on Twitter at @Alex Pappas.