The US and Mexico have reached an agreement on elements of the North American Free Trade Agreement, marking a significant step toward reshaping the landmark trade deal better known as NAFTA.
President Donald Trump praised the deal at the White House on Monday, saying the new agreement would be "tremendous" for US farmers and workers. Trump has longed pushed for the renegotiation of NAFTA, saying the current deal is the "worst trade deal in the history of our country."
Speaking in the Oval Office with Mexican President Enrique Peña Nieto on a conference call, Trump said that Canada might be cut out of the deal and that the NAFTA name would be scrapped because of its "bad connotations." The president told reporters he would call Canadian Prime Minister Justin Trudeau shortly.
Trump also threatened to place tariffs on cars coming into the US from Canada to squeeze Trudeau and the Canadian negotiators.
Some of the issues that were negotiated, according to the US:
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05.19.2025