Next NAFTA Negotiations Crucial
Friday, February 23, 2018
The president of the Automotive Parts Manufacturers Association says the nest round of NAFTA negotiations scheduled next week in Mexico are crucial.
Flavio Volpe says there are three scenarios he sees playing out as talks progress. He says serious work could be done in Mexico leading to talks being wrapped up in Washington in March.
He says talks could also be halted after discussions in March due to the upcoming election in Mexico. The election will happen in July but the new government wont assume power until December which could delay talks into 2019.
Volpe says talks could also continue despite the election in Mexico with hopes negotiations are complete before the new government takes control in December.
He says all scenarios have their risks but he says if talks wrap up in March that would be the best scenario for the automotive sector.
He says ultimately, Canada and Mexico need to stop thinking of each other as enemies and start thinking as allies.
“If we’re going to really beat China, then we all need to be invested in each other. No on is going to invest on spec, reinvest in us because a lot of our capital went down there,” says Volpe.