Mexico takes aim at Trump and United States midterm elections

06 June, 2018, 16:46 | Author: Brooke Harris
  • Flags fly over the Fairmont Le Manoir Richelieu hotel the location for the G7 summit in La Malbaie Quebec

"His preference now-and he asked me to convey this-is to actually negotiate with Mexico and Canada separately", Kudlow said. So why would the Trump administration be willing to start a trade war with the United States' most important trading partners - as well as some of its oldest allies? "These are two different countries".

Mexico has imposed new import tariffs on US goods, including pork products.

The U.S. imports $417 billion in goods from the European Union, $294 billion from Mexico and $278 billion from Canada. He has repeatedly decried NAFTA as unfair to the US and has threatened to withdraw from the pact.

Negotiations are now suspended due to the coming elections in Mexico and the United States.

Mexico and the USA had total trade of about $557 billion in 2017, with a balance of $71 billion in the favor of Mexico.

Mexico's list of products that will be subject to the charges also includes USA steel plates, bars, rods and rolled steel. Trump maintains the landmark free-trade deal is a "disaster" that has killed U.S.jobs and hurt manufacturing. "In the short term, we don't think there are any simple ways for Mexico to replace the pork it now buys from the United States".

A tariff is basically a tax on imports that raises the price of foreign company's products for American consumers, putting imports at a disadvantage to domestic producers.

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The difference between how much your country buys from another country, compared with how much you sell to that country.

Word of the possible change in strategy comes as Washington faces unified opposition from Group of Seven economies, who have vowed to retaliate against Trump's steel and aluminum tariffs. Canada announced dollar-for-dollar tariffs on steel and aluminum, as well as sanctions of 15 percent to 25 percent on whiskey, orange juice and other food products.

The tariffs, meanwhile, have further complicated the U.S.

The federal government also continued its outreach with top USA lawmakers on Tuesday.

"A NAFTA without both Canada and Mexico included is no longer a North American Free Trade Agreement", Brady spokeswoman Julia Slingsby said.

The topic led off debate Tuesday in the House of Commons, where Conservative Leader Andrew Scheer criticized the Liberals for announcing retaliatory tariffs that don't take effect until July 1 - a full month behind the US measures. Whether tensions can be turned down before serious harm is done remains to be seen.

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