The U.S. and Mexico have bridged their key differences, and the pressure is on Canada to ensure NAFTA 2.0 remains a trilateral agreement.

 

By Patrick McAllister

 

Trade policy and tariffs continue to dominate government, corporate, and investor mindshare. While olive branches have been extended between the EU and the U.S., the latter could look to escalate its trade showdown with China by imposing tariffs on an additional $200 B worth of Chinese goods as early as September 7. The U.S. and Mexico have announced a trade agreement, but whether this is a harbinger of a revised NAFTA that includes Canada or leaves much work to be done remains subject to considerable uncertainty.

 

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