U.S. House Democratic leader: NAFTA should stay a trilateral deal

Reuters  |  WASHINGTON/OTTAWA 

By Richard and David Ljunggren

Pelosi's remarks are significant because whatever deal to renew the North American Free Trade Agreement is ultimately reached will be reviewed by the next that convenes in January. Pelosi could be the of the House if Democrats win this November's congressional midterm elections.

Talks to update NAFTA, which U.S. says is unfair to the and must be radically revised, have been bogged down amid disagreements between Canadian and American negotiators.

Trump last month announced a side deal with and has warned that he is prepared to leave out if it fails to accept terms more favourable to the

As House speaker, Pelosi sets the legislative agenda, and often has the political muscle to assure passage or defeat of initiatives.

"I think it should be trilateral," she told reporters, adding she did not think it would be "in the interest of this hemisphere" to turn NAFTA into a bilateral deal.

The wants the text of a deal ready by Oct. 1 but Canadian officials say they are not rushing, given the remaining differences. The two sides are arguing over dispute settlement mechanisms and a U.S. demand that open up its protected dairy market.

Canadian officials say privately that some concessions will be needed on dairy, an approach that has alarmed the politically influential farming community.

Most Canadian dairy farmers live in the populous provinces of and Quebec, where Justin Trudeau's ruling needs to do well if he is to retain power in an election set for October 2019.

Pierre Lampron, of the group, planned to meet Canadian on Friday to ask her about NAFTA. The DFC said it had asked for the meeting.

Freeland's office did not respond to a request for comment.

Trudeau said on Thursday he wanted a good NAFTA deal as soon as possible, but did not answer directly when asked if he felt the end of September was the final deadline for talks.

Mexico said on Wednesday it had to be ready to pursue a bilateral deal with the if and did not come to terms.

But Pelosi said she was seeking more details on the results of the U.S.-Mexico negotiations, adding she had instructed aides to set up briefings for rank-and-file lawmakers.

"Any arrangement of that kind, of that length of being in effect should be subjected to some scrutiny," she said.

(Reporting by Richard and David Ljunggren; Editing by Marguerita Choy)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Sat, September 15 2018. 00:26 IST