Ontario Premier Doug Ford said Wednesday that all of Canada’s provincial and territorial governments want the federal government, led by Justin Trudeau, to negotiate a trade deal exclusively with the United States, excluding Mexico.
In a call with the 13 provincial and territorial premiers, Ford stressed that the consensus is clear: Canada must establish a direct agreement with the United States, its main trading partner, and a separate agreement with Mexico.
Ford mentioned that one of the concerns is that Mexico is allowing the entry of Chinese products through its territory, which affects competitiveness and employment in the United States and Canada.
“We know that Mexico is introducing cheap Chinese parts, putting made-in-Mexico labels on them, and shipping them through the United States and Canada, causing the loss of American and Canadian jobs. “We want fair trade,” he stated.
The Premier of Ontario stated that the provinces have requested a meeting with Trudeau to discuss this issue. Deputy Prime Minister Chrystia Freeland also shared US concerns about the possibility that Mexico is facilitating access for Chinese products to the North American market, which could be a key issue in negotiations for the next trade agreement between the three countries.
Freeland, who heads a special committee to deal with relations with the United States, highlighted the importance of raising this issue with Trump, who could reexamine trade agreements established during his first term.
Amid the political uncertainty of another Trump presidency, the Canadian government is seeking an approach that protects Canada’s trade interests.
Read: It is not convenient for Canada to leave Mexico out of the USMCA: Ebrard
Trudeau called Trump after his election victory and the two talked about the trade agreement Trump reached with Canada and Mexico during his first term, the USMCA, which replaced the North American Free Trade Agreement, NAFTA.
Trump recently proposed tariffs of 10% to 20% on foreign goods, and in some speeches he has mentioned even higher percentages. The president-elect has not said whether his government would exempt Canada.
Canada is one of the most trade-dependent countries in the world. 75% of the country’s exports, which include automobiles, go to the United States.
Ford added that provincial leaders will meet in Toronto in December to discuss trade concerns, and are also planning to participate in a meeting with U.S. governors in February.
Ontario carries out bilateral trade with Mexico of approximately 40 billion Canadian dollars, although the trade balance with that country is unfavorable, since imports considerably exceed exports.
With information from Agencies
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