Canada’s Carney heads to Mexico to discuss trade before a review of their US trade deal

TORONTO AP Canadian Prime Minister Mark Carney heads to Mexico on Thursday in an effort to diversify transaction as America s neighbors brace for a review of the free bargain deal with United States The United States-Mexico-Canada contract pact or USMCA is up for review in More than of Canada s exports and more than of Mexico s go to the U S Canadian Sen Peter Boehm noted Carney and Mexican President Claudia Sheinbaum will commiserate about U S President Donald Trump What are they hearing from the Americans what we are hearing It s an opportunity to talk about how to handle the U S administration going forward Boehm noted Carney is looking to improve relations with Mexico during his two-day visit after specific of Canada s provincial premiers talked last year about cutting Mexico out of any new free arrangement deal with the U S Trump lumped Canada in with Mexico on fentanyl smuggling and promised sweeping tariffs on both countries Ontario Premier Doug Ford commented then that Trump comparing Canada to the Mexico was the most of insulting thing I ve ever heard from our friends and closet allies the United States of America Boehm noted the comments by the premiers which he deemed out of their lane upset the Mexicans The Mexicans are particularly sensitive on these matters and there was concern about that no doubt Boehm announced Boehm represented the Canadian executive when Sheinbaum was sworn in as Mexico s president last year and is pushing for more engagement with Mexico He commented relations in recent times improved noting Mexico appreciated Carney inviting Sheinbaum to the G summit in Alberta in June Carney also sent his foreign minister as well as his finance minister to meet with Sheinbaum in August A lot of people don t realize that we contract more with Mexico than we do with the entire European Union all of the Europe including the U K Boehm announced It s a pretty big deal for us Mexico is Canada s third-largest trading partner after the U S and China Canada was Mexico s fifth-largest trading partner in But pact with the U S remains paramount for both countries and preserving the free pact pact will be critical A key exemption for Canada and Mexico shields the vast majority of goods from the punishing duties Canadian and Mexican companies can claim preferential restoration under the USMCA But Trump has various sector-specific tariffs known as tariffs that are having an impact There is a tariff on steel and aluminum imports Trump looms over this visit Mexico and Canada now share a common threat from the U S reported Nelson Wiseman professor emeritus at the University of Toronto While both leaders are interested in expanding their countries transaction with each other I think their priority is to strategize on how to deal with Trump and the coming renegotiation of the USMCA Carney and Sheinbaum now recognize that tag-teaming Trump may be more effective than competing for separate deals with Trump although they are still angling for them Mexico and Canada have had different approaches to manage the negotiations with Trump s administration but both countries want to increase bilateral commerce within the North American treaty What we have discussed is how to strengthen pact between Mexico and Canada as part of the pact agreement Sheinbaum disclosed on Wednesday We obviously want to maintain the USMCA and fortunately the working groups related to its review are already being set up she added This period of evaluation of the tripartite agreement will take place before the formal review of the treaty that will begin early Mexico also wants to encourage more Canadian assets in the country but Sheinbaum explained the mining companies should respect Mexican laws They have to follow with all environmental regulations which they have not necessarily fulfilled she explained Canadian companies are the largest foreign investors in Mexico s mining sector accounting for almost of foreign commitment in the sector Carney will have a one-on-one meeting with Sheinbaum on Thursday There will then be a working lunch which the leaders will be joined by their cabinet ministers and secretaries Carney will visit the Canadian embassy on Friday Verza disclosed from Mexico City Source