Canadian Finance Minister Bill Morneau was in London on Monday talking about the impending North American Free Trade Agreement between Canada, the United States, and Mexico. “There are some businesses that are being cautious in investments because there is an expectation that NAFTA could be slightly different tomorrow than it was yesterday. What’s been clear from the American standpoint is they are anxious to have a conclusion to NAFTA as near-term as possible, we’re trying to work constructively towards that goal.”
Although United States President Donald Trump has given Mexico and Canada an exemption for right now, he has said that if the United States fails to get a new trade deal that he will impose the tariffs on both Canada and Mexico. There has been no date announced for the next round of negotiations, although both the Mexican and Canadian ministers have made comments that allude to the meeting again in the United States next month.
Bill Morneau is currently in London to discuss Canada’s future trading deal with the United Kingdom. The Comprehensive Economic Trade Agreement has to be renegotiated thanks to Brexit. Morneau has said recently that Canada will probably be able to get a better deal on CETA once the United Kingdom leaves the European Union, with hopes that the agreement will allow the countries to negotiate in areas like financial services, something that is currently prohibited because of the European Union. When asked about CETA, Canadian Prime Minister Justin Trudeau said: “Better is always possible.” The final draft of CETA has been approved by the European Parliament and will be signed soon. The final draft of CETA eliminates almost all the tariffs between the European Union and Canada.
The Comprehensive Economic Trade Agreement is being pushed by the European Union as a model for all countries who want to trade with the United Kingdom after Brexit becomes official.