Mexico’s disproportionate share of auto investment, jobs seen as key NAFTA issue
OTTAWA — The auto sector rates nary a mention in the published list of U.S. objectives for the renegotiation of NAFTA.
But senior Canadian officials privately believe the automotive industry is actually at the root of American demands for changes to the North American Free Trade Agreement and will be the key to the success — or failure — of negotiations to revamp the trilateral deal.
Donald Trump, they note, rode a wave of anti-trade sentiment to victory in last fall’s presidential election, propelled by an unabashedly protectionist, America-first agenda, including a threat to rip up NAFTA, which he called “the worst trade deal in the history” of the United States.
It was a populist message that tapped into long-simmering resentment over the exodus of American manufacturing operations — including the Big Three automakers and auto parts plants — to Mexico. And it resonated particularly loudly with voters in the 14 auto-producing states, 12 of which ultimately delivered their electoral college votes to Trump.