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Mexico Made U.S. an Offer in Bid for Nafta Deal, Sources Say

  • Idea includes boosting auto wages, dropping disruptive plans
  • Unclear if U.S. willing to back off procurement, seasonality
Bloomberg business news

Trump Auto-Tariff Threat Adds to Pressure on Nafta Talks

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Mexico told the U.S. that it can be flexible on automotive wages and content in exchange for President Donald Trump’s negotiators withdrawing some of their other toughest demands, according to two people familiar with the talks.

Mexican negotiators have offered the U.S. that at least 20 percent of a car’s value would come from higher-paid workers, according to one of the people, who asked not to be named talking about closed-door talks. In the previous proposal, Mexico said higher wages were just one option that companies could choose for meeting updated Nafta duty-free export rules, along with sourcing metal from the region.