US to renegotiate NAFTA

CNC
Added On May 20, 2017

INTRO
 
The Trump administration has signaled that it plans to renegotiate the North American Free Trade Agreement, or NAFTA, as it's commonly called. 
 
PKG
 
After threatening to scrap it on the campaign trail, it appears that the Trump administration is now pushing ahead with plans to keep the agreement in place. 
 
In a letter to congressional leaders on Thursday, the Trump administration said it plans to renegotiate NAFTA "as soon as practicable".
 
Trump had earlier threatened to end the agreement, calling it a job "killer".
 
Instead, Thursday's letter moderated the language, saying instead that the deal just needs "modernization".
 
NAFTA came into effect in 1994. 
 
Since then, trade with Canada and Mexico has more than tripled, with more than 1 trillion U.S. dollars goods and services now exchanged every year.
 
Today the two countries are America's second and third largest trade partners after China.
 
But tension has been mounting under Trump, who on the presidential campaign often talked about pursuing an "America First" policy.
 
One of his first acts as president was to withdraw from the Trans Pacific Partnership, or TPP.
 
He has also slapped tariffs on Canadian lumber, and even took to Twitter to talk about Canadian pricing of dairy products.