Trudeau says NAFTA negotiations stalled after Pence demanded sunset clause

The Associated Press reports that French President Emmanuel Marcon told Trump during a phone call that the new tariffs on steel and aluminum on European, Mexican and Canadian imports are “illegal” and a “mistake”.

Normally the scene of compromise and trade promotion, the G7 meet took on an air of futility as hopes for dialogue all but vanished. American steel and aluminum workers need our help, and they need it now, but not at the expense of farmers, workers, small businesses and consumers in Vermont and throughout this country.

“I have every expectation that our other allies around the table will express the same sentiments”. “This is exactly what happened in the 1930s”.

The cabinet secretary said: “We, of course, have the G7 leaders meeting at the end of the week where the Prime Minister will be raising this with President Trump alongside other leaders”. “The United State will agree to a fair deal, or there will be no deal at all”, Trump said.

A 25 per cent tariff on steel imports and 10 per cent tariff on aluminium imports would be imposed on the EU, Canada and Mexico starting at midnight local time, Ross told reporters.

“We regret that our common work together at the level of the G7 has been put at risk by the decisions taken by the American administration on trade and on tariffs”, he said.

U.S. Commerce Secretary Wilbur Ross said last month that following a conversation with President Donald Trump, he was launching an investigation into whether automobile imports are hurting United States national security. “We continue to work closely with our European Union partners and will consider carefully the EU’s proposals in response”.

Besides the European Union, the Trump administration has also imposed tariffs on Canada and Mexico, citing national security concerns.

European Union trade chief Cecilia Malmstrom says the bloc is taking China to the World Trade Organization over a dispute on intellectual property.

The European Union is planning to answer U.S. tariffs on steel and aluminum by hiking tariffs on various goods coming from America.

Industry representatives were reluctant to comment publicly, with several saying it was too early to know for certain how they would be affected by the USA tariffs – as well as the retaliatory measures introduced later in the day by the Trudeau government.

The EU said it has opened legal challenges against China and the United States at the World Trade Organization on Friday as punishing trade tariffs announced by Washington raised the prospects of a global trade war.

Throughout Pence’s communications with Trudeau, he was in touch with Trump and U.S. Trade Representative Robert LighthizerRobert (Bob) Emmet LighthizerMcConnell urges GOP senators to call Trump about tariffs Companies brace for trade war MORE, the official said, noting that the three men were “on the same page”.

Ross said Trump was living up to his campaign promises.

“Unfortunately, we are being treated to a G6 + 1, with the United States squaring off against the rest and risking the economic destabilisation of the planet”, Le Maire said.

Negotiations on a further exemption for Canada had focused on agreeing to USA demands that NAFTA force auto makers to use more North American-made steel, the sources said.

Trump seemed to like the idea, Trudeau said.