Wednesday signaled the first day of the fourth round of talks to renegotiate the North American Free Trade Agreement (NAFTA) in Washington D.C.
Once again, President Trump is throwing around threats to nix the trade deal that’s been in place for more than 20 years.
As Trump and Canadian Prime Minister met in the Oval Office, Trump called the Canadian leader “a great friend of mine” and that the two countries are “incredibly close.”
Negotiators from Canada, Mexico and the U.S. assembled for talks after Trump called the trade agreement a “disaster.”
In an interview with Forbes Magazine, Trump thinks NAFTA will need to be tossed to make it better.
“I happen to think that NAFTA will have to be terminated if we’re going to make it good,” he said.
If the U.S. can’t strike a NAFTA 2.0 deal, Farm Journal Washington correspondent Jim Wiesemeyer says that’s a question no one wants to answer.
“You should always have a fallback plan,” he said. “The market needs to know that, but they [White House or trade officials] will not answer that. If you don’t have any NAFTA, you’re going to see an ugly day for the markets in the U.S. because that obliterates the integrated North American market.”
The talks are planned to end on Oct. 16.