Mnuchin says Canada, Mexico would avoid tariffs if NAFTA gets done

Mnuchin says Canada, Mexico would avoid tariffs if NAFTA gets done

Mnuchin says Canada, Mexico would avoid tariffs if NAFTA gets done

The Treasury secretary, who said he is fully supportive of the president's move to impose tariffs on steel and aluminum over national security concerns, said he would not get into specifics of the tariffs plan he expects Trump to announce later in the week. Metals duties will only be removed on America's neighbours to the north and south, he said, after a "new and fair" free trade agreement is signed.

And as Prime Minister Justin Trudeau has rightly observed, such tariffs simply make no sense in North America's highly integrated economy, especially in areas such as the auto sector.

"If we don't make a deal I will terminate NAFTA", Trump said.

The White House trade adviser, Peter Navarro, earlier rejected criticism of the planned tariffs amid concerns they may kick off a trade war, telling Fox and Friends: "There are virtually no costs here".

So far, reaction has been muted, with the European Union saying it will target politically sensitive goods in response. Treasury Secretary Steven Mnuchin told Trump that the stock market gains he loves to boast about would reverse themselves. "But I don't think we will have much because of the early announcement".

The office of House Speaker Paul D. Ryan (R-Wis.) on Monday emailed reporters a CNBC.com article with the headline, "Dow opens more than 100 points lower as trade war fears rattle investors", a very unusual way to directly critique White House policy. In terms of global trade, they are just 0.6 percent, the bank said.

"We have large trade deficits with Mexico and Canada".

The European Commission has reportedly proposed tariffs of 25 percent on imports of US steel, clothing and other industrial goods in retaliation to President Donald Trump's proposed tariffs on steel and aluminum.

"There is clearly abuse occurring", said Speaker Paul Ryan at a press briefing by Republican lawmakers. "Steel exports from Canada only represent six percent of the U.S. domestic market". "NAFTA, which is under renegotiation right now, has been a bad deal for U.S.A. Massive relocation of companies & jobs". "This is a decision that will ultimately be made by the president", she told reporters, noting that his intention is to create jobs and boost economic growth. By increasing costs for raw materials, those tariffs would also undercut the competitiveness of a broad swath of U.S. businesses, ironically making them more vulnerable to foreign competition.

U.S. wages are higher than in emerging markets like China, and legacy pension plans weigh on the balance sheets of some integrated steel mills.

As the world's biggest steel importer, the U.S. relies heavily on exports from countries like Canada and Mexico but less so on China, which was the 11th biggest steel exporter to the U.S. last year, according to the Department of Commerce.

Trump attempted to rebut claims on Tuesday that his West Wing is rattled with disorder and low morale.

- Dangerous offender hearing in Edmonton for Lance Blanchard, who was convicted of sexually assaulting an Indigenous woman who was jailed to ensure her testimony.

The new measures are also meant as a political message to US congressional leaders.

Republican officials there vowed to punish Delta Air Lines, one of the state's largest employers, for canceling discounted prices for National Rifle Association members.

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