Catherwood LibraryILR School

Mexican officials have begun looking into revising NAFTA trade rules to benefit U.S. workers after President Trump’s threats to pull out of the agreement. They plan to work around U.S. negotiating objectives, which are set to be published around Sunday, mindful of the fact that Trump will want to claim an obvious win from the revised deal. Officials are currently looking into revising rules stipulating how much of a product needs to be made regionally in order to qualify for tariff-free benefits. The situation is precarious; while Mexico seeks to reduce reliance on Asia, Trump could refuse its proposal to raise regional content in certain products over the next decade, and Mexico could in turn stipulate that U.S. companies that service large Mexican markets build servers within the country.