UNITED STATES—President Donald Trump issued a warning to Canada regarding fair trade on Sunday, September 2. After failing to reach a deal with them on Friday, Trump claimed Canada will not participate in the North American trade if it is not fair to the United States.
If Canada refuses to the agreement, the only two countries involved in the North American Free Trade Agreement (NAFTA) would be the United States and Mexico. For the past 24 years, NAFTA has included the United States, Canada, and Mexico.
On Saturday, September 1, President Trump tweeted, “There is no political necessity to keep Canada in the new NAFTA deal. If we don’t make a fair deal for the U.S. after decades of abuse, Canada will be out. Congress should not interfere w/ these negotiations or I will simply terminate NAFTA entirely & we will be far better off…”
He later added, “….Remember, NAFTA was one of the WORST Trade Deals ever made. The U.S. lost thousands of businesses and millions of jobs. We were far better off before NAFTA – should never have been signed. Even the Vat Tax was not accounted for. We make new deal or go back to pre-NAFTA!”
One reason Canada is tentative about the deal is the potential to see an increase their health care costs and drug prices. According to Fox News, the United States may only work with Mexico. According to reports, talks between the United States and Mexico started a week ago. Talks with Canada are scheduled to begin this week. President Trump wanted a deal to be reached between all parties by August 31.
According to Trump, the new NAFTA agreement is expected to be better for laborers, and improve factory jobs in America. The three countries have about 90 days to come to terms. If and when a deal is made, it must then go through Congress for approval. Trump wants the deal signed before Mexico’s president Enrique Pena Nieto leaves office on December 1, 2018.