NAFTA Didn't Have The Huge Economic Impact Donald Trump Says It Did
Most economists don't really think NAFTA had a huge impact on the economy either way.
LEARN MOREPosted: 8:14 p.m. EST Feb 27, 2017
The U.S. and Mexico are preparing to renegotiate NAFTA — the 23-year-old trade agreement among the U.S., Mexico and Canada.
But Mexico's minister of the economy drew a big line in the sand Monday, saying his country will scrap the talks if the U.S. crosses it.
Minister Ildefonso Guajardo told Bloomberg if America threatens to put tariffs on products from south of the border, he'll walk away from the negotiation table.
The Trump administration has proposed putting a 20 percent tariff on Mexican goods entering the U.S. as a way of paying for the president's proposed border wall.
In the past, Guajardo has threatened to respond "immediately" to any tariffs by the Trump administration.
To be clear, the economic minister isn't threatening to walk away from the trade agreement — just renegotiations of the deal. But this might be a tactic to keep the NAFTA-skeptic administration at the table.
Officials in Mexico think renegotiation talks will begin in June.
