White House readies order to quit NAFTA: administration official

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The last softwood spat ran from 2001 to 2006.

"This isn't an easy fix", Derek Nighbor, chief executive officer of the Forest Products Association of Canada, told Bloomberg TV Canada Tuesday. "People always think of Canada as being wonderful - so do I, I love Canada - but they've outsmarted our politicians for many years", Mr. Trump said at the White House Tuesday. He also added "These are very significant costs, and businesses are going to have to figure out: How do you manage through this? How do you cash-flow through this?"

"The tariff that was announced today is a good first step but we don't believe it's enough", Regan said. "I would say to my American friends: Be nice to your clients", Freeland said in a Bloomberg Television interview in Berlin.

Mexico's foreign minister, Luis Vildegaray, said Tuesday that his country would try to block any attempts by the U.S.to place tariffs or hinder trade between the two nations, according to Reuters. The Canadian officials called the subsidy allegations "baseless and unfounded".

The owners of a Montana lumber mill says new tariffs on Canadian timber imposed by the Trump administration are a good start but don't go far enough.

In the election he vowed to withdraw from the 23-year-old pact, calling it a United States job killer.

The lumber spat has been simmering a long time, and it's not just a fight between Trump and Canadian Prime Minister Justin Trudeau.

Talk of leaving NAFTA also caused alarm among US crop and meat producers.

Freeland said the U.S.is dependent on Canadian softwood because its own industry can't meet domestic demand.

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"This is where it gets really hard to do good deals", Heyman said.

By signing an intent to renegotiate and an intent to withdraw, the White House can attempt to leverage new concessions from Mexico and Canada while still maintaining a credible threat to leave the agreement entirely.

"Abandoning NAFTA and going back to pre-NAFTA tariffs would be financially devastating to US pork producers".

"We're all for modernizing NAFTA, but we can not support efforts that would undermine the livelihoods of America's 60,000 pork producers", Maschhoff said.

"The Government of Canada disagrees strongly with the U.S. Department of Commerce's decision to impose an unfair and punitive duty". Experts say that won't help Trump's future trade negotiations with Canada.

The biggest losers so far in this growing trade war are the Canadian dollar, which slumped to a four-month low of 73 cents to the dollar ... and American home builders, with lumber prices climbing to a 13-year high!

Canada is considering an aid package aimed in particular at Canadian workers to help offset the impact of the USA measure.

Castlegar's mayor is anxious that proposed duties on softwood lumber exported to the USA will negatively impact the local economy.

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