Auto Industry Warns Trump Is Proposing ‘Lose-Lose’ Changes to Nafta
- Continent’s biggest supplier says higher thresholds add costs
- Consumers may also face rising auto prices, dealer group says
Trump's 'Poison Pills' Said Threatening Nafta Talks
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The auto sector is sounding alarms on the Trump administration’s efforts to overhaul Nafta, with North America’s top parts supplier warning an expected push to increase content requirements in cars could result in a “lose-lose” situation.
Changes to rules of origin -- which govern what share of a car must be sourced from Nafta countries for the vehicle to receive the trade pact’s benefits -- will add both complexity and costs, said Don Walker, chief executive officer of Magna International Inc.