On Tuesday, key automakers, suppliers and dealers are starting a new coalition demanding U.S. President Donald Trump not to leave the North American Free Trade Agreement.
“Driving American Jobs” is the coalition which includes almost every main automaker such as; General Motors Co, Toyota Motor Corp, Volkswagen AG, Hyundai Motor Co, Ford Motor Co, and more. The new coalition has created an advertising campaign to prove to the White House and voters that NAFTA has been vital in advancing U.S. automotive sector production and jobs.
President Trump has warned the U. S’s withdrawal from the trade deal with Canada and Mexico, which is deeply used by automakers that have production and supply chains across the three countries. During NAFTA renegotiation talks last week, Trump suggested changes to the rules of origin for autos. The rules were unsustainable for automakers, as well as Mexico and Canada.
The coalition, also including the Motor & Equipment Manufacturers Association and American International Automobile Dealers Association, stated that ending NAFTA, which supports $1.2 trillion in trade between the three countries annually, would put U.S. auto sector jobs in danger.
The advertising campaign highlights the $9.5 billion in new investments this year by the auto and auto parts sector and include personal stories of auto employees from plant workers to dealership employees throughout the country.
“We need you to tell your elected officials that you don’t change the game in the middle of a comeback. We’re winning with NAFTA,” written on the coalition’s website.
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President Trump told the Fox Business Network in an interview that he believes the deal will “probably” be renegotiated, but that he will withdraw if it does not seem fair.
“We can’t allow the world to look at us as a whipping post. Not going to happen anymore,” Trump said.
The Chamber of Commerce accused the Trump administration of trying to sabotage the talks with demands that favor the U.S. side on car production, and a “sunset clause” to force regular negotiations.
Under NAFTA, 62.5 percent of the material in a car or truck made in the region must be from North America to enter the marketplace tariff-free. Trump has proposed increasing the amount of NAFTA content in autos to 85 percent and acquiring 50 percent of the total for the United States.