NAFTA must cut US trade deficits: Wilbur Ross
U.S. Commerce Secretary Wilbur Ross told FOX Business’ Charles Payne that President Donald Trump is ready to pull the nation out of the North American Free Trade Agreement (NAFTA) if a better deal doesn’t emerge.
“Either we’ll get a good deal, a sensible deal or he’ll withdraw,” Ross said Friday.
Trump on Thursday signed off on tariffs of 25% on imported steel and 10% on aluminum, giving a grace period for Canada and Mexico while the nations renegotiate NAFTA.
The U.S. trade deficit has widened month-to-month, climbing 65% with Canada and almost 10% with Mexico. White House National Trade Council Director Peter Navarro said the president is going after any bad deal that hurts U.S. businesses and its workers.
“Mexico and Canada know that the President is not messing around in this. If we get a good deal that's going to be great for all three countries, but we can’t keep doing what we’re doing, it’s draining this country dry,” Navarro told FOX Business Thursday.
Since NAFTA, Ross said the U.S. has run up a cumulative trade deficit with Mexico that has sky-rocketed to over $1 trillion.
“A good NAFTA deal would involve lower trade deficits going forward,” he said.