US President Donald Trump praises Mexico, threatens Canada with auto tariffs

‘Canada must wait’ on trade deal but agreement with Mexico coming along nicely, Trump tweets

Talks are due to continue Friday and include Jesus Seade, economics adviser to Mexico's President-Elect Andres Manuel Lopez Obrador. But he threatened with auto tariffs if the US and can't forge a deal.

The renegotiation of the regional free trade deal started in August 2017 at the request of U.S. President Donald Trump, who claims the original agreement harms U.S. industries and jobs.

On Wednesday, Breitbart reported that former New York Stock Exchange President Tom Farley said expected Trump to reach a trade deal with Mexico before the midterm elections and possibly with the European Union.

At the close of the 3rd consecutive week of discussions in Washington, Guajardo said a deal was still possible by the end of the month.

Before he entered the meeting, Guajardo said Mexico was getting close to overcoming sticking points with the United States.

The negotiations stalled due to Trump's favour for a sunset clause in U.S. trade agreements, requiring parties to renew them every five years. He says the country's "Tariffs and Trade Barriers are far too high" and is threatening to "tax cars if we can't make a deal!"

However, he acknowledged: "We still have a lot of work to do".

US Secretary of State Mike Pompeo and Mexican Foreign Secretary Luis Videgaray discussed addressing irregular migration through Mexico and the region, a State Department spokesperson said.

Speaking as he left a meeting with the US trade team in Washington, Ildefonso Guajardo said the return of Canada, the third country in the trillion dollar trade zone, would depend on solving bilateral elements in "the next few days or weeks".

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