Due to Trump’s approach G7 Summit may not bring Joint Communiqué
Amidst worldwide criticism of withdrawing from Iran nuclear deal, US President Donald Trump has now been facing opposition from its northern neighbor. Canadian Prime Minister Justin Trudeau has rejected a proposal by Washington to scrap the North American Free Trade Agreement (NAFTA) and adopt a bilateral trade pact.
According to a video available at Ottawa Citizen Newspaper, PM Trudeau on Wednesday said, “We have, on various occasions, heard the president speak about his interest or his musings about a bilateral deal instead of the trilateral NAFTA that we have. Canada’s position is, and always has been, that the trilateral approach is actually better for Canada, for Mexico and for the United States,” he added.
While referring to the upcoming G7 Summit, Justin Trudeau told reporters, “We know certainly that there will be frank and sometimes difficult discussions around G7 table, particularly with the US president on tariffs”.
On Tuesday, the White House announced that US President Donald Trump wishes to engage in separate agreements with Canada and Mexico instead of remaining in the trilateral deal known as NAFTA.
White House economic adviser Larry Kudlow had reportedly said thatPresident Trump is thinking about ways to dismantle the current trilateral structure of the deal and devise a bilateral basis to negotiate new terms with Canada and Mexico one on one, separately.
During 2016 election campaign Donlad Trump has repeatedly said that he would pull the US out of NAFTA which was signed by the US, Canada, and Mexico back in 1994. He claims that pulling out of the deal would serve well to US national interests.
Trump has described NAFTA as the “single worst trade deal ever approved” by the US, and claimed that it has led to the outsourcing of thousands of jobs from the US to Mexico and China.
Canada and Mexico, both the neighbors are strongly opposing Trump’s threat of canceling the existing trilateral deal and renegotiating new terms for individual country.
Moreover, Canada’s Trade Minister Francois Philippe Champagne has said that the world economic order was “under attack,” after Trump implemented tariffs on steel and aluminum from major US trading partners, including Canada and the European Union. “What we are seeing is that the world economic order is under pressure, under attack,” said Champagne.
On Friday, Trump told Canada and the European Union to do more to bring down their trade surpluses, a day after hitting the two US allies and Mexico with import tariffs on their steel and aluminum.
On Sunday, Trudeau said the US imposition of tariffs on metal imports is an insult to their long standing security partnership.
Observers believe that the G-7 Summit, being held on Friday and Saturday in Quebec, Canada, will be marred by anti-globalist demonstrations when US President Donald Trump comes touting an America First agenda hitting allies with trade tariffs and threatens multilateral trade deals.
In another interesting development, Donald Trump, in a telephonic conversation with Canadian PM Trudeau on May 25, over new trade tariffs imposed by US administration targeting aluminum imports from Canada, made erroneous historical reference.
According to sources, as reported by CNN, Trudeau pressed Trump on how he could justify the tariffs as a “national security” issue. Trump responded saying, “Didn’t you guys burn down the White House?” referring to the war of 1812.
Historians say that the problem with Trump’s comments to Trudeau is that British troops burned down the White House during war of 1812. In fact British attack on Washington was in retaliation for the American attack on York, Ontario, in territory that eventually became Canada, which was a British colony at that time.
The summit is being held at a time when Canada’s PM Justin Trudeau and Germany’s Chancellor Angela Markel admit it will be difficult to even agree on a joint communiqué at the end of the meeting.
A senior European Union official, while briefing reporters on the pre-summit negotiations used discreet understatement to describe the impasse, but only ended up underscoring the width of the rift. “We find the tariffs to be illegal, so finding common language continues to be a challenge,” he said.