McALLEN — The Trump Administration outlined that it wants to reduce the $64 billion trade deficit with Mexico and implement a digital chapter to the new North American Free Trade Agreement, according to NAFTA renegotiation objectives released Monday.
U.S. Trade Representative Robert Lighthizer issued an 18-page report with his goals for updating the 23-year-old NAFTA accord. Monday was the earliest the administration could publish its negotiating objectives. The 2015 Trade Priorities and Accountability Act require the USTR to publish these objectives, at minimum, 30 days before initiating negotiations. Canada, Mexico and the U.S. can begin negotiations as early as Aug. 16.
In addition to reducing the deficit with Mexico and implementing a digital chapter, the administration wants to ensure more products are made in the U.S. and North America, maintain tax-free access for textiles and agriculture, and smooth customs hurdles at ports of entry. The administration also wants new rules implemented regarding financial services and telecommunications. The report also notes some winners from NAFTA — farmers and ranchers who got “much needed market access” — who have cautioned the administration it should not get in the way of their success.
These objectives come after a 2016 campaign in which Trump threatened to pull out of NAFTA, calling it “the worst trade deal in the history of the world.” The objectives released Monday do not stray dramatically from U.S. trade policies. Some Democratic lawmakers called the objectives vague while many Republicans backed the report.
“Too many Americans have been hurt by closed factories, exported jobs, and broken political promises,” Lighthizer said in a statement Monday. “Under President Trump’s leadership, USTR will negotiate a fair deal.”
Congress, especially those who represent Border States, has been working with Lighthizer on the objectives. Just last week, both Texas Senators and Rio Grande Valley congressmen met with Lighthizer. The meeting lasted nearly an hour and two of the big topics discussed were energy and technology.
“While I still have some reservations, the objectives released today by the USTR are a sign that the Administration and Ambassador Lighthizer are listening to the concerns about policy and rhetoric,” said Rep. Henry Cuellar, D-Laredo, who was in last week’s meeting. “I will work with Ambassador Lighthizer to continue this progress as we move toward negotiations. Texas competes on a global scale with competitive countries and I will continue to do all that I can to make sure we get the best deal for my constituents from this renegotiation.”
Rep. Vicente Gonzalez, D-McAllen, also involved in last week’s meeting, said there needs to be technological advances to the agreement.
“There is always room for improvement,” Gonzalez said, “and I am open to working with my colleagues across the aisle, and the administration, to ensure that South Texans are heard and that NAFTA 2.0 works for all Americans.”
