Won't accept limited, managed trade; prepared to leave the table if necessary.
MEXICO CITY — Mexico appears to be preparing for the worst as the fourth round of talks on the North American Free Trade Agreement open in Washington DC.
Mexico’s foreign relations secretary says his country won’t accept “limited, managed trade,” an apparent reference to demands for higher US and regional content rules on products like auto parts.
Luis Videgaray said “we have to be prepared to say no, and if necessary to get up from the table and if necessary leave the treaty.”
Videgaray said leaving NAFTA would increase tariffs by an average of about 3.5% for the 44% of Mexican exports that use NAFTA trade preferences. He said “it would not be the end of the world.”