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The second round of NAFTA negotiations, which takes place at the CDMX, began on Friday, September 1 and will conclude on Tuesday 5.
On the fourth day of the negotiation of the North American Free Trade Agreement (NAFTA), which takes place in Mexico City, the talks continue behind closed doors, and to say of the participants, the only thing that coincides is that the US threat to abandon the agreement is only part of its bargaining strategy.
According to Flavio Volpe, president of the Automotive Parts Manufacturers’ Association (APMA) of the Canadian negotiating delegation, one of the main problems is that the objectives of US negotiators are not known.
“I do not know what they want, I think we should control our expectations, this is the second round, and this type of trade negotiations usually takes years and we are trying to accelerate it for months, so we must first establish the process and the proposals, “the representative of the automotive sector told the media.
Although a confidentiality agreement was signed at the beginning of August between the three countries on the treaty talks, including businessmen and other sectors, negotiators must know the needs of the three countries to reach an agreement, he said.
“The Canadians and the Mexicans understand that they must give a little to satisfy the American partners. (The problem) is that the American partners must express what they want.”
As for the US threat to abandon the agreement, Flavio Volpe considered that, for the moment, it is only a rhetoric that aims to lead the American negotiation process.
“We see a total commitment of the three countries to sit down and solve this, having so little time and an agenda so aggressive, is a sign that everyone is committed.”
In this regard, Enrique Solana Senties, president of the Confederation of National Chambers of Commerce, Services and Tourism (Concanaco Servytur), agreed that the United States will not leave NAFTA due to the mutual importance that the three countries have in trade.
“It’s part of a negotiation strategy, but it’s not going to rise (the United States from the NAFTA table), we are too important for each other,” he told the media.
On the other hand, Enrique Solana predicted that it will be after tomorrow, the last day of negotiations in Mexico, that can begin to talk about the first drafts.
“It’s going to be vital tomorrow’s meeting … There are several issues moving but still at a very incipient level of proposals, it’s very cold,” he said.
Meanwhile, Flavio Volpe considered that the rules of origin is one of the first issues that could take shape, despite its controversy.
“We are all in the same business, we all want to sell cars to American consumers, I think it is reasonable to expect that at the end of this process we will see modernized rules of origin, and probably a dynamic on how to schedule periodic updates instead of waiting another 23 years “.
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