nafta

Mexico to Leave NAFTA if Trump Starts Withdraw Process

Dan Industry News Release, Trade

mexicoBe it a threat, or intention, if President Donald Trump starts the withdrawal process from the North American Free Trade Agreement, Mexico will drop the trade pact. If Trump decides to leave NAFTA, he would trigger a six-month process to withdraw from the agreement.

An official from Mexico said this week that if Trump announces a U.S. withdrawal from NAFTA, “at that moment the negotiations stop.”

AgCanada reports that Mexico remains firm on its position to get up and leave from the negotiating table if Trump goes through with the move.

While a NAFTA termination letter would start the six-month exit clock ticking, the U.S. would not be legally bound to quit NAFTA once it expires. Washington could use the move as leverage over Canada and Mexico in talks to update the 24-year-old trade pact.

From the National Association of Farm Broadcasting News Service.