WASHINGTON: Major automakers, suppliers and auto dealers launched a new coalition on Tuesday to urge US President Donald Trump not to withdraw from the North American Free Trade Agreement.
Auto trade associations representing major carmakers including General Motors Co, Toyota Motor Corp, Volkswagen AG, Hyundai Motor Co and Ford Motor Coare part of the coalition dubbed “Driving American Jobs.” The group is behind an advertising campaign to convince the White House and voters that the Nafta pact has been crucial in boosting US automotive sector production and jobs.
Trump has threatened to withdraw from the trade agreement among the United States, Canada and Mexico, which is heavily utilized by automakers that have production and supply chains spread across the three countries.
In the most recent round of talks to renegotiate Nafta last week, Trump proposed changes to the rules of origin for autos, which are used to determine how much of a vehicle is made in a certain place.
The proposed rules were viewed as untenable for automakers, as well as Mexico and Canada.
The auto industry joins the US Chamber of Commerce and other large business groups that have become more vocal in recent weeks about Trump’s efforts to change the 23-year-old accord, saying the changes would hurt American jobs.
The auto coalition, which includes the Motor & Equipment Manufacturers Association and American International Automobile Dealers Association, said ending Nafta, which underpins $1.2 trillion in annual trade between the three countries, would put US auto sector jobs at risk.
They pointed to $9.5 billion in new investments announced this year by the auto and auto parts sector and feature the personal stories of auto sector employees throughout America — from plant workers to auto dealership personnel.
“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,” the group said on its website.
— Reuters
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