NAFTA Renegotiations Update
To many readers of this page, December thoughts regarding the North American Free Trade Agreement (“NAFTA”) might commonly arise in the context of preparing annual NAFTA certificates of origin. Origin documentation and other aspects of NAFTA compliance have become commonplace as the realities of a North American trading region have taken root and affected the way that companies source and manufacture their goods over the past quarter century.
NAFTA’s place in the U.S. economy became a key focus during the 2016 presidential election. Following the inauguration of President Donald J. Trump, the Trump Administration initially pivoted from positions taken during the campaign to terminate NAFTA to renegotiation with Canada and Mexico. For much of 2017, this process has played out in hotel conference rooms from Mexico City to Ottawa and Washington, D.C. Negotiating teams from Mexico, Canada, and United States (comprised of more than 30 different topical groups) have held five rounds of talks regarding the renegotiation and modernization of NAFTA.