Pro-Trade Republicans Unhappy with U.S. NAFTA Positions

Dan Industry News Release, Trade

republicansPro-trade Republicans are increasingly worried that the Trump Administration will pull out of the North American Free Trade Agreement (NAFTA) , rather than negotiate a deal that keeps core benefits intact.

As the fifth round of talks winds up on Tuesday, Pennsylvania Republican Charlie Dent says, “I think the administration is playing a dangerous game with the sunset provision.” He says the threat of NAFTA disappearing every five years makes it difficult for businesses in his district, which includes Hersey’s, to invest in supply chains and manage their operations.

Business groups have said millions of jobs would be in jeopardy if tariff rates in Canada and Mexico revert back to what they were in the 1990’s. 74 House of Representatives members signed a letter to the administration this week opposing U.S. proposals on rules-of-origin which would require 50 percent U.S. content in NAFTA-built vehicles and 85 percent regional content.

Representative Pete Sessions disagrees with the Trump approach of “trying to beat someone in the negotiations,” saying we need to offer a fair deal. Half of the $231 billion in exports from Texas goes to Mexico and Canada. “If we want them to take our cattle,” he says, “we need to take their avocados.”

From the National Association of Farm Broadcasting News Service.