The federal government is still expecting talks to accelerate this summer on the North American Free Trade Agreement, even though U.S. President Donald Trump says he's in no rush to sign a deal until after the U.S. mid-term elections this fall.
A government official familiar with the plan says now that Mexico's presidential election is done, Ottawa wants to restart talks as soon as possible, even though Trump says he won't sign a new deal until after U.S. voters go to the polls in November.
The effort to restart stalled negotiations on NAFTA comes with Canada and the U.S. swapping punitive tariffs on imports in an ongoing cross-border trade fight.
On Sunday, Ottawa responded to the Trump administration's tariffs on Canadian steel and aluminum with duties of its own against U.S. imports. The Trudeau government has described Canada's retaliation as dollar-for-dollar, reciprocal tariffs that target steel, aluminum as well as a long list of consumer goods.
Trump himself has already threatened to go even further by putting tariffs on the automotive sector, which could prove far more damaging for the Canadian economy than the steel and aluminum duties.
With the tariff fight as the backdrop, Ottawa hopes to move forward with NAFTA.
Foreign Affairs Minister Chrystia Freeland has said she spoke with U.S. Trade Representative Robert Lighthizer six times last week and that she expects NAFTA talks to move into a higher gear this summer.
Mexican President-Elect Andres Manuel Lopez Obrador said he supports the continued renegotiation of NAFTA, and wants his own team of experts to be part of the talks before he takes office Dec. 1.
Until Lopez Obrador is sworn in, members of the current Mexican administration will continue to serve as the country's lead NAFTA negotiators, the official said.
On Monday, Prime Minister Justin Trudeau spoke with Lopez Obrador by phone. The prime minister's office says the two discussed "mutually beneficial economic and trading relationship between the two countries, and their shared priority of updating the North American Free Trade Agreement for the betterment of their peoples."
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