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Mexico’s Economy Minister Says U.S. NAFTA Autos Proposal is ’Not Viable’

Posted November 30, 2017

Under Economic Issues, International Trade Issues


(Reuters)

Mexican Economy Minister Ildefonso Guajardo said on Wednesday that demands by the Trump administration for a U.S.-specific automotive content requirement in NAFTA was “not viable,” and declined to specify when Mexico would formally respond.

At a news conference following a series of meetings with senior U.S. trade officials and lawmakers in Washington, Guajardo said that Mexico was still trying to understand the U.S. proposals that would require 50% of vehicles’ value content be produced in the United States as part of updated North American Free Trade Agreement rules.

“I was clear that the domestic content (requirement) is something that is not viable at this point,” Guajardo said.

He added that Mexico would eventually make a counterproposal on automotive rules of origin, but declined to specify the timing of that response. Click here to read more.

Related: Auto Chiefs Air Concerns About Trump’s Nafta Stance at White House (Bloomberg)