US Trade Rep. Lighthizer: NAFTA is lopsided, needs to be rebalanced

Eren Sengezer FXStreet

Following the meeting with his Canadian and Mexican counterparts, the U.S. Trade Representative Robert Lighthizer said that NAFTA was lobsided and needed to be rebalanced.

Key quotes (via Reuters):

NAFTA has resulted in a huge trade deficit, cost tens of thousands of manufacturing jobs
We intend to reduce U.S. trade deficits
Surprised by resistance to change from NAFTA partners
Thought digital, anticorruption chapters would be finished by now
No indication that NAFTA partners willing to make changes to reduce U.S. trade deficits
Trump has been clear that NAFTA must be fair to U.S. workers
Unreasonable to assume that u.s. will aid companies investing in Mexico and Canada to export to u.s.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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