MEXICO: Country To Remain In NAFTA Talks, Says Foreign Minister

We, he added, have to react calmly, coolly, to understand that it is an ambitious process that will last for months.

President Donald Trump, at an event in Phoenix, said that the US will "end up probably terminating" the North American Free Trade Agreement with Canada and Mexico "at some point".

Trump said at Tuesday's campaign-style rally that he believes Mexico and Canada are coming out ahead on the trade agreement.

Trump's timing was more surprising than his comments.

With the first round of talks wrapping up last week, the second round are set to begin in early-September in Mexico.

On the eve Trump has reiterated his threat to withdraw from the treaty since in the first round of renegotiation in Washington, the three countries - Canada, Mexico and the United States - failed to overcome the deep differences. In 2015, Nebraska also exported more than $1.2 billion in goods to Mexico.

Stocks managed to briefly pare losses after comments from U.S. House Speaker Paul Ryan calling a government shutdown unnecessary.

"Free trade and a productive partnership with Mexico are both good for Texas and our country", Straus said in a written statement.

Indeed, he questions whether NAFTA is the best place to resolve the issue.

In his bestselling book, The Art of the Deal, Trump talks about making unrealistic demands and threatening to walk away from the table as a negotiating tactic meant to shift the talk in one's favour, Sands noted. For Christine St-Pierre, minister of global Relations and the Francophonie, "there is what Mr. Trump says, and there are people at the table of negotiations".

All the tough talk may be an effort by Trump to give Lighthizer more leverage. "This is not a negotiation like others we've been in". Garrick Taylor, a spokesman for the Arizona Chamber of Commerce and Industry, said trade with Mexico has provided 5 million U.S.jobs and trade with Canada has created 9 million. It plans to propose removing a key, though controversial, element that protects companies' investments overseas.

About 5.04 billion shares changed hands in US exchanges, below the 6.2 billion daily average over the last 20 sessions.

For now, there appears to be a considerable gap in views.

Canada sent Freeland, a senior cabinet minister, to attend the talks and say that "Canada doesn't view trade surpluses or deficits as a primary measure of whether trade works", thus aligning her country with the view of the vast majority of experts who've looked at the issue. Canada expects "moments of heated rhetoric", during the discussions, its Foreign Ministry said.

"It's hard to imagine how they can do something very substantive and do it very quickly".

For soybeans, about 45 percent of the USA crop is exported on average and Mexico is one of the major markets along with China.

That would be a welcome change in the U.S.as well, where free trade has been demonized by political interests at both ends of the spectrum.

"It is Trump's strategy to stir up white insecurity and aggravate pressure on the people of color - primarily Mexicans in the case of the wall - to solidify his hold on his base", Taylor said.

  • Leroy Wright