(Terence Corcoran – Financial Post)
There is gathering gloom over the future of the North-American Free Trade Agreement. As negotiators prepare for what are said to be crucial sessions in Montreal in a couple of weeks, some trade experts say the deal is likely doomed at the hand of U.S. President Donald Trump’s anti-NAFTA verbal trade war. As pessimism grows, a new idea has emerged in some circles: Maybe Canada should join Trump and dump Mexico as partner.
After all, say these protectionists, Canada has lost thousands of auto jobs to Mexico since NAFTA was signed in 1994. Over the last two decades, Mexico’s exports to Canada have grown faster than Canada’s exports to Mexico, leaving a dreaded and growing “trade deficit.” Time to forget Mexico and go it alone with Trump.
Such a betrayal has been in the speculation air for some time. In November, former Mexican president Vicente Fox warned Canada’s Prime Minister Justin Trudeau not to abandon Mexico. In a CTV interview, Fox said Trudeau “might, like Judas, give us a strike and go with the United States and leave us (Mexico) aside. I warn Trudeau, and I warn Canada, you will not make it better (without Mexico).” Click here to read more.