USA seeks to include steel, aluminum in NAFTA autos rules

Posted October 14, 2017

But the Americans also want a country-specific change that would increase US content requirements to 50 per cent in the first year of the new deal.

American negotiators want Canada to be "more transparent" about its supply management system for dairy, according to a source with direct knowledge of the NAFTA talks. That is in addition to its insistence that 50 percent of content be US -made within the first year of a signed deal.

His speech to the Mexican Senate capped a four day trip that began in Washington, D.C., largely revolving around the ongoing talks to rewrite the decades-old North American Free Trade Agreement and bring it into the modern era. Trade between the United States, Canada and Mexico has quadrupled under NAFTA, now topping $1.2 trillion a year.

Canada and the US have different views on the dairy industry.

Despite clear signs of impatience from Canada in particular, US negotiators have yet to submit their proposal on rules of origin for the auto sector.

A spokeswoman for the U.S. Trade Representative's office declined to comment on the autos proposal. That looked unlikely to come before Friday, another official familiar with the talks said.

Negotiators were also set to cover the hard issue of government procurement on Thursday.

Among those he met Thursday were groups active in advancing reproductive choice for Mexican women - in January, U.S. President Donald Trump reinstated and expanded the controversial "Mexico City Policy" that bans using foreign aid for abortion-related activities. USA negotiators have countered with a proposal that would effectively grant the other countries less access, people familiar with the talks say.

The United States on Friday formally unveiled proposals to boost the amount of regional content that autos must contain to qualify for NAFTA tariff-free access, three sources familiar with the negotiations told Reuters on Friday.

Both demands would upend the current automotive sector, with the proposal being described by industry analysts as a "poison pill" for the trade agreement.