'Sanity will prevail': expert says as Trump ramps up NAFTA pressure

'Sanity will prevail': expert says as Trump ramps up NAFTA pressure

QUEBEC - in The wake of yet another threat, the american president Donald Trump out of the free trade Agreement north american (NAFTA), the governments of Quebec and Canada showed on Wednesday, their confidence in the negotiation process.

The day before, during a speech to his electoral base in Phoenix, Arizona, Donald Trump took to the NAFTA that it deems to be catastrophic for the United States.

One day after President Donald Trump's prediction that the US could "end up terminating NAFTA at some point", business and political leaders expressed hope Wednesday that negotiations on a new deal will still be allowed to play out.

"There's potential for the U.S.to profit from Mexico and Canada".

Nevertheless, Daniel Ujczo, a trade lawyer with Dickinson Wright, said he doubts that an overhauled NAFTA would do much to narrow America's trade deficit or restore lost USA manufacturing jobs-results that Trump had vowed to deliver to the blue-collar voters in the Midwest who helped elect him.

When the Clinton administration pushed NAFTA through Congress, Ross Perot famously predicted that it would lead to a "giant, sucking sound" of jobs going south to Mexico.

For his part, the ambassador of Mexico to Canada, Dionisio Pérez Jácome, who has met with the prime minister of Quebec, Philippe Couillard, said that his country remained firm.

But, while that may be their "official" position, you can bet that there is deep concern about the impact of Trump's statement, and with good reason. Several in this camp argue that this should be the "conservative" position, contending that "free trade" is the "free enterprise" position. Trade among the three nations is not left up to private business, but is governed by the terms of the multilateral trade deal.

The Trade Campaigner for the Council, Sujata Dey points out other concerns, "It is very unsafe that the Liberal government is going to put CETA procurement provisions in NAFTA, which will get rid of buy local policies".

Still, U.S. Trade Rep. Robert Lighthizer warned that the United States wouldn't settle for a "mere tweaking of a few provisions and an updating of a few chapters". In addition, the US Constitution makes clear that Congress has power over global commerce.

Last week, Texas Comptroller Glen Hegar said in a radio interview: "The biggest loser in tearing up NAFTA and throwing it in the trash really would be Texas, because we are an export state". Trump's top economic policy officials, Gary Cohn and Steve Mnuchin, don't appear to particularly share the president's views on trade policy, and Republican Party congressional leaders certainly don't. Agriculture groups have coined the phrase "do no harm" when it comes to agricultural trade in the free trade agreement negotiations.

In summary, Trump should not even attempt to renegotiate NAFTA, but instead should put a knife in the heart of a deal that is unconstitutional and harmful to the average American.

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