tariffs "unjustified" and Trudeau said the national security rationale for imposing them was "insulting and unacceptable".

Trudeau said Sunday in a USA television interview the US was seeking two main things in NAFTA negotiations, which are essentially on the back-burner after the US hit Canada and Mexico with steel and aluminum tariffs last week. The discord comes amid worries that Trump's zeal for tariffs will set off a trade war that undermines the broadest global upswing in years.

Trudeau was ready to fly to Washington to get final details settled on NAFTA last week, but says Vice-President Mike Pence told him the US would only agree to such a meeting if Canada accepted a sunset clause.

It wasn't immediately clear how such an arrangement would work.

President Trump and Vice President Pence attend the bill signing of the "Right to Try Act" in the Eisenhower Executive Office Building on the White House complex on May 30, 2018. Changes would have to be agreed by all sides.

While Trump's comment was supposedly meant to be a joke, it seems Trudeau didn't appreciate it at all, making a bold statement during a press conference earlier last week.

Trudeau has denounced the "national security" justification for the new tariffs.


Last week, Canada proposed retaliatory tariffs on American imports effective July 1 to add a 25 per cent tariff on aluminum and steel imports from the states.

Mexico's retaliation is created to effect some parts of the United States represented by high-profile Republicans.

"Now I know this is just three countries, but still, you know, oftentimes, when you have to compromise with a whole bunch of countries, you get the worst of the deals".

"He has always said - and I agree - tariffs are a tool in that effort", Kudlow said.

When asked whether or not they think Trump's actions will cause a trade war, 62 percent of participants said it is likely, with 20 percent saying that result is unlikely and 19 percent stating they had no opinion. The U.S. imports $417 billion in goods from the European Union, $294 billion from Mexico and $278 billion from Canada. With tariffs raising the price by 20 percent, Mexican consumers may purchase less of it, meaning the country may end up buying a smaller quantity of USA pork products.

The offer, made during discussions with Commerce Secretary Wilbur Ross, was first reported by the Wall Street Journal.

"The U.S. has an increased economic value of more than 7 Trillion Dollars since the Election".


Trade talks in Beijing last weekend failed, despite China reportedly offering to buy $US70 billion worth of U.S. products.

"The president is at ease with all these tough issues", said Larry Kudlow, director of the National Economic Council.

In April, Canada tried to address what Trump said were concerns about Chinese steel and aluminum being dumped into Canada and then being shipped into the United States.

Even with the weekend's developments, all the trade talks appear to be moving slowly or stalling, leading to angst on Capitol Hill and among business leaders. Trump responded with a puzzling- and erroneous -question about Canadian history.

"If our customers around the world start going to other parts of the world for their supplies, that is a serious problem", he said.

Trump has recently said he'd be interested in negotiating separate bilateral trade deals with Mexico and Canada instead of updating Nafta.


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