WASHINGTON, Aug. 27 -- The United States has reached a trade agreement with Mexico that would pave the way for overhauling the North American Free Trade Agreement (NAFTA), U.S. President Donald Trump announced on Monday.
"We're going to call it the United States-Mexico trade agreement," Trump said at an event in the Oval Office with outgoing Mexican President Enrique Pena Nieto joining by phone call.
"We'll get rid of the name NAFTA. It has a bad connotation because the United States was hurt very badly by NAFTA for many years," he said.
Pena Nieto insisted during the phone call that Canada should also be included in a final deal.
"It is our wish, Mr. President, that now Canada will also be able to be incorporated in all this. And I assume that they are going to carry out negotiations on the sensitive bilateral issues between Canada and the United States," he said through a translator.
Trump said he would speak with Canadian Prime Minister Justin Trudeau in a little while and hoped to resume negotiations with Canada soon.
"One way or another we'll have a deal with Canada. It'll either be a tariff on cars or it'll be a negotiated deal," he said.
"Frankly, a tariff on cars is a much easier way to go. But perhaps the other would be much better for Canada," said the president.
The U.S. push to finish NAFTA talks came after the Trump administration recently launched the national security investigation into automotive imports, a protectionist move that could disrupt the global auto supply chains.
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