Mexico NAFTA talks drag on as autos sticking points emerge


These officials said U.S negotiators had essentially agreed that a new NAFTA trade deal would exempt existing Mexican auto plants from any "Section 232" tariffs that Trump may impose.

U.S. President Donald Trump said on Friday that the United States and Mexico were making progress on a trade deal, and warned Canada he would tax their auto exports if an agreement can not be reached with Ottawa.

The NAFTA is a deal signed by the US, Canada and Mexico, creating a trilateral trade bloc in North America.

Teams worked through the night "changing the text" and "got a lot of work done", Guajardo said.

"New President of Mexico has been an absolute gentleman", he said, referring to leftist Andres Manuel Lopez Obrador, set to take over later this year.

Canada's foreign minister recently said the country is ready to resume NAFTA talks "as quickly and intensively as possible".

Francisco Cervantes spoke with Xinhua before departing for Washington to take part in the ongoing trade negotiations between Mexico, Canada and the United States.

Asked if he could finish the U.S. -Mexico issues on Friday, Guajardo said "I don't think today but we are very close".

"Canada must wait", Trump posted.

Mexican Economy Minister Ildefonso Guajardo told reporters in Washington on Friday his talks with U.S. Trade Representative Robert Lighthizer would resume next week, but there were still many bilateral issues to work out before Canada could rejoin the talks.

The negotiations stalled due to Trump's favour for a sunset clause in United States trade agreements, requiring parties to renew them every five years.