NAFTA Update: President Trump Notes Progress With Mexico on Bilateral Trade – Preparing Different BiLat Terms For Canada…

Earlier today U.S. Trade Representative Robert Lighthizer messaged a warm birthday greeting to Mexican Foreign Secretary Louis Videgaray during ongoing negotiations between the U.S. and Mexican trade teams (video below).

Canada is FUBAR. No-one quite knows how FUBAR Canada is, because no-one has  followed the brilliant Wolverine crew closely enough to spot the strategy.

At the strategic direction of President Trump; and it is a really brilliant workaround strategy; the U.S. and Mexican teams are approaching the current NAFTA negotiations from a position of bilateral trade.   Trade watchers, Wall Street experts, financial pundits and the entire media apparatus are missing what Team USA are doing right in front of their faces…. they’ve obviously never followed or studied Trump’s out of the box problem solving when it comes to complex deals.

I won’t rehash the NAFTA flaws; familiar CTH readers know them well.  However, the bottom line is NAFTA is NOT, repeat N.O.T being renegotiated. I was going to remain silent, but I think it’s safe, Lighthizer is close enough to a deal to explain what’s happening.

The problems with NAFTA are systemic; and there is too much political and multinational lobbyist conniving/scheming; and too many political interests are connected to the current NAFTA.  Everyone thinks Trump is renegotiating NAFTA; that’s just what Team Wolverine want everyone to think… that allows the team maneuvering space.

After the end of Round #6 (January 2018), it was obvious to POTUS Trump a NAFTA renegotiated deal was impossible.  In March, 2018, Team Trump stealthily began moving in a different direction.  In June,2018, Canada accidentally made the admission there were no ongoing talks between the U.S. and Canada.  The reasoning is simple.

Without drawing any attention to the shift, Trump put NAFTA in the corner and began an entirely new bilateral trade discussion with Mexico. [Forgetaboudit… just leave NAFTA over there; but let people think what we are doing is NAFTA]

Instead of following customary sequential steps: (1) waiting for endless NAFTA negotiations that can never be resolved; (2) and then announcing NAFTA withdrawal; (3) and then dealing with the political and financial backlash; (4) and then beginning bilateral trade discussions, etc. etc.  Team Trump brilliantly and quietly strategized an end-around.

Team U.S.A. reversed the sequencing (but didn’t announce it).

  1. Negotiate the Mexico bilateral.
  2. Announce the Mexican bilateral agreement.
  3. Offer Canada a bilateral (slightly different terms).
  4. Announce the Canadian bilateral agreement.
  5. Dissolve NAFTA.

Instead of beginning new trade deals with NAFTA being ended, they end the new trade deals with NAFTA being ended.

Ergo, no political backlash and no political influence. By the time anyone realizes NAFTA is dead – it’s moot.  No formal exit strategy is needed because new deals are already on the books.

See the play?

Everyone thinks NAFTA is being renegotiated, it isn’t.

(Reuters) – U.S. President Donald Trump said on Friday that the United States and Mexico were making progress on a trade deal, and warned Canada he would tax their auto exports if an agreement cannot be reached with Ottawa.

“Deal with Mexico is coming along nicely. Autoworkers and farmers must be taken care of or there will be no deal. New President of Mexico has been an absolute gentleman,” Trump said on Twitter.

“Canada must wait. Their Tariffs and Trade Barriers are far too high. Will tax cars if we can’t make a deal!” he said. (read more)

Are you laughing yet?

You should be.

Few can see what he’s doing.

I just keep laughing…. this is what we get when a brilliant businessman is POTUS.

.

OK, so now we all know the secret… we can watch and laugh together.

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This entry was posted in Auto Sector, Canada, Decepticons, Deep State, Donald Trump, Economy, Election 2018, Legislation, media bias, Mexico, NAFTA, President Trump, Trade Deal, Uncategorized, US dept of agriculture, US Treasury, USA. Bookmark the permalink.

257 Responses to NAFTA Update: President Trump Notes Progress With Mexico on Bilateral Trade – Preparing Different BiLat Terms For Canada…

  1. StuckInBlue says:

    Gosh, this just made my day. Thank you!!!

    Liked by 9 people

    • Carrie2 says:

      StuckInBlue, and isn’t it amazing how well our President plays the game and the others haven’t a clue. I do understand that the little fat purple dress female in Canada is trying to again be in NAFTA, meaning she hasn’t a clue that ain’t gonna happen ever, and now Saudia Arabis has cut Canada off as well. I pity the people in Canada with socks, the dumbest man to ever be in charge of a nation. They need more of Ford of Ontario and less of Trudeau and purple dress person and take back the country to reality and better living. Trump plays the original 3 cup play and they have to follow the cups and yet always picking the wrong one. When they do pick the right cup, then America marches right with them to build a working connection. Don’t think Canada’s leaders know how to lay the game and always losing because to slow of mind to pick the right cup. Laughable!

      Liked by 2 people

      • Steve says:

        Man against Boy.

        Liked by 3 people

      • Felipe says:

        I’m pretty sure Sparkles is not the “dumbest man to ever be in charge of a nation.” History is replete with numerous examples of phenomenally IQ-challenged leaders.
        And, it’s entirely possible that Justin is quite intellegent in some ways (I’d bet on it) but the maturity and experience quotients are very low IMO.

        Like

        • favill says:

          The “joke” in Canada is that Sockpuppet Trudeau got his mother’s looks and intelligence. The only thing he got from his dad (who was quite an intellectual) was his last name and trust fund.

          Like

          • Hope says:

            We call him Priminister Zoolander in Canada. Of course he was chosen to be a marionette of the globalists. Sane Canadians need your good will and prayers. If we don’t get Zoolander out in 2019 Canada will become the globalist regime in the attic of North America.

            Liked by 1 person

        • Frank Drakman says:

          Justin is not intelligent. He got lousy undergrad degrees, and was working as a part-time teacher before he was parachuted into the safest Liberal riding in the country. Like Obama, he’s a good speaker when the teleprompter is working. Turn it off, and they both sound like second rate TV weathermen.

          Like

    • Richard Orberson says:

      Mexico and Canada don’t have much of a choice. But, to get on board their borders are a long way apart and we are between them.

      Like

    • BigMamaTEA says:

      It’s a BEAUTIFUL thing to watch.

      Like

  2. G. Combs says:

    To add to what Ristvan said above,

    WIKI: “In the United States, executive agreements are made solely by the President of the United States.” TEE HEE HEE….

    I wrote this when Obummer was in office and the Trans-Pacific Partnership loomed….
    The Supreme Court since the time of FDR betrayed this country. (But this power shift TO the President NOW works in President Trump’s favor.)

    This is part of the gradual trashing of the Consititution.
    Treaty Politics and the Rise of Executive Agreements: International Commitments in a System of Shared Powers
    “…Executive agreements do not require super-majority support in the Senate as do formal Article II treaties. Since the 1940s, the vast majority of international agreements have been completed by presidents as executive agreements rather than as treaties. This major policy evolution occurred without changes to the Constitution, though Supreme Court decisions and practice by the political branches have validated the change. This has led some scholars to conclude that the treaty power “has become effectively a Presidential monopoly” (Franck and Weisband 1979: 135; see also Corwin 1984)….

    The following has since been completely wiped from the internet including the Wayback Machine.

    “…U.S. law distinguishes what it calls treaties, which are derived from the Treaty Clause of the United States Constitution, from congressional-executive agreements and executive agreements. All three classes are considered treaties under international law; they are distinct only from the perspective of internal United States law

    …So for instance, if the US Supreme Court found that a treaty violated the US constitution, it would no longer be binding on the US under US law; but it would still be binding on the US under international law, unless its unconstitutionality was manifestly obvious to the other states [nations] at the time the treaty was contracted… “
    (wwwDOT)allacademic.com/meta/p_mla_apa_research_citation/0/9/7/3/1/p97319_index.html?type=info

    More on the subject of international law vs Constitution was saved HERE:
    http://www.alipac.us/f19/united-states-law-must-read-29691/
    ……

    IF a president signs a treaty OTHER countries consider it VALID. Therefore it completely depends on WHAT type of enforcement is contained within the treaty itself. For example the World Trade Organization (WTO) has TEETH!!

    “Instead of the usual trade treaties for the first time a world organization, WTO, with tough sanction and enforcement powers, was formed. More important, decision making would be secret, with no oversight. The most vital issues of economic life on the planet were to be decided behind closed doors.

    Under WTO rules, countries or Corporations can challenge another’s laws. The case is heard by a tribunal of three trade bureaucrats (corporate lawyers). There is no conflict of interest rules binding them, and the names of the judges are kept secret. There is no rule that the judges of WTO respect any national laws, the three judges meet in secret and all court documents are confidential and cannot be published.” from The WTO and the Politics of GMO By F. William Engdahl http://www.publiceyeonscience.ch/resources/the_wto_and_the_politics_of_gmo.pdf
    ….

    Careful what you wish for Commies, you never know when the ‘WRONG’ (not Commie) President will used all that power you moved to the President AGAINST YOU!

    Liked by 6 people

  3. Meanwhile the press has their pu$$y hats pulled down over their eyes and ears. How convenient.

    Liked by 3 people

  4. Fools Gold says:

    Back in the old days when I watched no kneeler NFL, particularly the cowboys, that sort of play was coined a flea flicker…😉😉

    Like

  5. Globalist Progressive aristocrats ts are used to ‘managing the process’ of an ‘international rules-based order’. Outcomes are, at best, a secondary concern for them.

    This leaves them blind to everything that outside the process that is directed towards outcomes.

    This is why Socks the Clown and Princess Rainbow Sparkles continue on the path they are on.

    They actually think they are winning because, in their minds, ‘the process’ is still ongoing. The US is just ‘taking a break’ prior to conceding to the obviously-superior ‘rules-based order’.

    There are plenty of people in Canada — such as Ezra Levant and Billy Joyce — who are perfectly aware that Socks and Sparkles are clueless as to what is about to happen because POTUS & Co. are not playing the same game.

    It has never occurred to them that the ‘less virtuous’ US does not need trade with Canada. They do not understand that in the estimation of POTUS & Co. Canada needs the US far more than the US needs Canada.

    As a matter of fact, POTUS & Co. would be happy to implement tariffs on Canadian car manufacturers that would result in manufacturing returning to the US, especially Michigan, possibly never to return to Canada.

    As Sundance has pointed out, a significant part of Canada’s economy is predicated on importing parts from China, assembling them in Canada and shipping them to the US under NAFTA’s preferential trade arrangement with the US.

    No NAFTA. No incentive for China to trade with Canada.

    ‘Virtuous power’ is preferred. But if the choice is between virtue or power the wise choose power. Virtue without power is just a series of empty gestures.

    Liked by 10 people

    • favill says:

      And the saddest part about your description (which I agree with by the way)…is that Canada is not lacking in the raw materials or skilled people to make these parts it ships in from China. Now just think if instead of buying crap parts from China…Canada actually employs people in its own factories to make them…employment would go up, and our neighbour to the South wouldn’t have an issue with the stuff. When NAFTA was implemented this was the case. We, Canadians made all the stuff we shipped over to the States–most of the stuff we imported to put in the cars we made came from from factories all over the US mid-west, which have all been shuttered these past 30 years. My hometown of Windsor, Ontario is drastically different from the one I grew up in back in the 70s.

      Liked by 2 people

      • As a nationalist, I’m am (counter-intuitively) not against Canada or Mexico.

        To make my point as succinct as possible, the biggest problem with NAFTA was always China’s PNTR via the WTO.

        The problem was — and is — that Mexico was always the odd man out. Neither the US or Canada could afford to compete on wages with Mexico and, to put it bluntly, Mexicans do not have enough disposable income to make them a good consumer market for US and Canadian exports.

        Economic integration with Canada didn’t even really make any sense either. What does Canada have to offer that the US doesn’t already have plenty of?

        I’m not dissing Canada, really I’m not. I just think that the basic premises of economic integration do not seem particularly well-founded.

        I have come to the view that, for rich nations like Canada and the US, ‘free trade’ makes not sense, especially with poorer nations.

        The only thing that can happen in such rich/poor trade arrangements is for the rich nation to lose industries and jobs.

        As Sundance has pointed out with rigorous analysis and evidence, these multilateral agreements were never about ‘free trade’ but about freeing transnational corporations from their national economic anchors.

        Now these transnational corporations stand astride the national economies of the world like Gulliver over the Lilliputians. Except Gulliver was basically a decent person.

        Liked by 1 person

  6. Curt says:

    Totally interesting! When this first started POTUS was demonized and criticized for starting a trade war akin to the Smoot-Hawley tariffs of 1930. Its like everyone knew the horrible results but President Trump. Trump was leading the US into another trade war! The president has shown his resolve when its required and they know it. Interesting that his detractors, and it seems like everyone at times, have really never addressed the issues of existing one sided and onerous tariffs placed on American goods by all of these countries involved. By coming to unilateral agreements with the various trading partners, he is getting around the totally unfair existing status quo trade agreements that favor them only. Trump is NO fool. The media would like us to believe otherwise. Amazing how he has beat the anti-Trump forces and naysayers at every turn. Lift the Mueller Witch Hunt and he gets a free hand. I believe the results will be a fabulous win for America, especially for manufacturing and farming in the end. God Speed…

    Liked by 5 people

    • Kenji says:

      MY President simply … gets it done. I believe everyone underestimates MY President because he is NOT a politician. Politicians flap their gums in tedious speeches about the trade imbalance not really posing a problem for America … because THAT is what their corporate donors TOLD them to say. They play the Smoot-Hawley card. They chide MY President from the laps of their corporate donor-masters. Meanwhile, MY President is free to … DO THE WORK OF THE AMERICAN PEOPLE. You remember that? That’s what Bill Clinton lectured America he needed to do … while he was getting hummers from 19yo girls in the Oral Office. He needed to get back to drawing up the terms of NAFTA. I guess he liked the “giant sucking sound” part of it where jobs and factories moved South.

      Thank you God! For delivering America from the EVIL of politicians.

      Like

  7. cattastrophe says:

    Another amazing article on CTH. Made my day.

    Liked by 4 people

  8. snailmailtrucker says:

    Let’s see just how many Mis-Steps Trudy can make before he/she is OFFERED any good deals !
    haha
    F-ing LibTards !

    How’s that Boycott America thing going for you Twinkles ?

    Like

  9. Brian says:

    Pierre Trudeau was always anti-American. Ditto for Justin. In June of 2017 Justin invited Obama to Montreal.
    https://www.thestar.com/news/canada/2017/06/07/justin-trudeau-and-barack-obama-reignite-bromance-over-dinner-in-montreal.html

    As a Canadian who despises Trudeau , I thought this was incredibly stupid and later in light if the “insurance policy” revelations in the DOJ/FBI , I wondered if Obama hinted that things may be back to normal ? The negotiating stance of the Trudeau/Freeland team certainly appeared to assume Trump would neutralized as they just assumed the status quo was in play.

    Prior to Justin back stabbing after the G7 , I doubt the issue of dairy and poultry marketing boards was a big issue , but it sure was after. Knowing how much the Liberals (Justin) rely on support from Quebec , forcing him to decide between Quebec milk or autos is a real Catch-22 for Justin : give up the milk marketing board and he loses Quebec , hold firm on retaining the milk marketing board and he loses the auto sector and the Ontario vote. I am certain POTUS Trump is smiling as this is real payback for the G7 treachery.

    Like

    • Kenji says:

      Exactly. And this isn’t EVEN 4d Chess. It’s plain old Chess … played on a 2d chessboard. Chess requires the player to enact, observe, and counteract … strategy. Chess requires the player to predict future moves … both his own and his opponents. The further into the future (moves) the player can envision, the better the player. Simply put, Boy-Trudeau TOOK a pawn from MY President … resulting in the loss of his Queen (Princess Rainbow sisterhood?). Note to Justina: some of your Chesspieces are “worth” MUCH MORE than others. You made MY President suffer a very small loss (temporary embarrassment) … and YOU will now SUFFER a massive LOSS disproportionate to your teeny-weenie little win.

      I’m sorry, my Canadian Friends … but then-again … you elected a PM based on his boyish good looks and surname. And THAT wasn’t a good Chess move either.

      Like

  10. Finbar O'Shaunnessey says:

    The world wants to know if “jbrickley” has any thoughts that didn’t originate in someone else’s cranium.

    Like

  11. appadoo9 says:

    So, is the Fox guy wrong about the U.S. auto worker getting the shaft?

    Like

  12. Liz says:

    I love everything about President Trump, even his choice of words. The man is a gift I dread the day he is no longer our leader. Whoever we elect in 2024 had got to follow in Trump’s footsteps. Thank you Sundance for spilling the secret! It’s a good day everyday President Trump is in office.

    Liked by 2 people

  13. ecmarsh says:

    Why can’t we have free trade with no tariffs?

    I am not rich or ever made a lot of money but, I have worked in many countries.

    Briton, most everybody is a boss and the few people that do the work are treated like shit. They leave work and go to the pub, start drinking, go home eat supper, then return to the pub with the wife and continue drinking. The drunk wife slaps the man(?) upside the head a few times and they go home. Then everybody goes home trashed. Next day is a repeat.

    Germany (and Europeans) is so screwed up because they are all engineers. They do work but fight so bad among themselves that it is hard to get anything done. All production is regulated by the governments, not very efficient. All of western Europe is the same.

    Canadians (I don’t know about the French Canadians) love fishing, hunting and drinking beer. I find nothing wrong with that but, they are lazy and have a similar attitude as the Brits.

    The Mexicans (with a job) are good workers but at noon they go home or to a restaurant, eat, drink and crash. 4 o’clock or so, back to work and plug on (drunk) till 11 or 12 at night. Back again the next morning.

    I will not comment on West Africa (worked there.)

    Americans get up in the morning and go to work. They put their nose to the grind stone and accomplish five times the productions than anybody on the earth. The people in the plant try stuff. If it don’t work, oh well. If it does it is an advantage for the company. I have seen (me included) men go home and bring back tools or equipment to get a process going. They expect nothing extra than their pay check and to produce an excellent product.

    There is no freaking way that any country can compete with us!

    Liked by 1 person

    • wondering999 says:

      ecmarsh…. if our education system continues the way it has for decades, a lot of countries could compete with us. Because the clueless people who run the teaching colleges have suppressed literacy and numeracy, while promoting social spectacles and raising costs tremendously so that what was once a good, free education for multiple children in a single-wage-earner family with mom at home… is now a hopelessly expensive mess for two-earner families with extremely limited time (who nevertheless are given “family homework assignments” to screw up bedtimes and demolish everyone’s sleeping hours)

      One of these days Trump will turn his common sense eye on education, a huge boondoggle. He has already begun with apprenticeship programs, with Ivanka’s input there. I hope to God that our educational system gets a good reorganization because that is desperately needed

      Like

    • Public Animal says:

      Americans work hard except for the 85 million unemployed. And then there is the 50,000 opioid deaths every year. And…the United States has the largest prison population in the world at 2.3 million, and the highest per-capita incarceration rate.
      Ridiculous generalizations are not facts.

      Like

    • Public Animal says:

      And…you are the most indebted nation in history, pushing at 24 TRILLION.

      Like

  14. wondering999 says:

    This is a random article on China and Finland, but relevant here because China is a huge factor in both Canadian and Mexican dealings. Enjoy if you are as fascinated by China as I am. i want healthy relationships with China also:

    “….If you find it awkward to make small talk, you may be “jingfen” (精芬) or “spiritually Finnish.” That’s the newly coined Chinese buzzword for a burgeoning identity taking hold among millennials…”

    https://qz.com/1351850/why-the-comic-finnish-nightmares-is-a-hit-in-china/?utm_source=parSHG

    Like

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