Bilateral Agreement Reached with US & Mexico

On August 27, 2018 the United States and Mexico announced that they had reached a preliminary bilateral free trade agreement. President Trump indicated that this agreement would replace the North American Free Trade Agreement and that talks are now underway with Canada for a separate bilateral agreement, or for possible inclusion into the U.S. & Mexico agreement.

The agreement between the U.S. and Mexico calls for 75% of auto content to be made in the U.S. and Mexico and that 40-45% of auto content must be made by workers earning at least $16 per hour. The United States Trade Representative has released 3 United States-Mexico Trade Fact Sheets available on the USTR website, Rebalancing NAFTA to Support Manufacturing, Strengthening NAFTA for Agriculture and Modernizing NAFTA to be a 21st Century Trade Agreement. 

The U.S. is hoping to have talks with Canada concluded by Friday so that the 90-day congressional review period can begin.