<html><head><meta http-equiv="Content-Type" content="text/html charset=utf-8"><meta http-equiv="Content-Type" content="text/html charset=utf-8"><meta http-equiv="Content-Type" content="text/html charset=utf-8"></head><body style="word-wrap: break-word; -webkit-nbsp-mode: space; -webkit-line-break: after-white-space;" class=""><div style="margin: 0in 0in 0.0001pt; font-size: 11pt; font-family: Calibri, sans-serif;" class=""><a href="http://www.cbc.ca/beta/news/politics/nafta-talks-stretch-into-2018-1.4357474" style="color: rgb(149, 79, 114);" class="">http://www.cbc.ca/beta/news/politics/nafta-talks-stretch-into-2018-1.4357474</a><o:p class=""></o:p></div><div style="margin: 0in 0in 0.0001pt; font-size: 11pt; font-family: Calibri, sans-serif;" class=""><o:p class=""> </o:p></div><h1 style="margin: 0in 0in 0.0001pt; font-size: 24pt; font-family: 'Times New Roman', serif;" class=""><span style="font-family: Trebuchet, serif; font-weight: normal;" class="">NAFTA rounds to last longer, plans in the works to negotiate past new year deadline, source says<o:p class=""></o:p></span></h1><h2 style="margin-right: 0in; margin-left: 0in; font-size: 2rem; font-family: 'Times New Roman', serif; margin-bottom: 9pt; box-sizing: border-box; orphans: 2; widows: 2;" class=""><span style="font-family: Trebuchet, serif; color: rgb(84, 84, 84); font-weight: normal;" class="">U.S. trade team appear uncomfortable with proposals they're told to present, says source<o:p class=""></o:p></span></h2><div style="margin: 0.1rem; font-size: 12pt; font-family: 'Times New Roman', serif; line-height: 16.2pt; vertical-align: bottom; box-sizing: border-box; display: inline-block;" class=""><span class="author-name"><span style="font-family: Arial, sans-serif; color: rgb(84, 84, 84);" class="">Katie Simpson ยท <a href="http://www.cbc.ca/beta/news/cbc-news-online-news-staff-list-1.1294364" style="color: rgb(149, 79, 114);" class=""><span style="color: rgb(220, 0, 0);" class="">CBC News</span></a> </span></span><span class="tooltip-trigger"><u class=""><span style="font-family: Arial, sans-serif; color: rgb(5, 80, 200);" class="">5 Hours Ago</span></u></span><span style="font-family: Arial, sans-serif; color: rgb(84, 84, 84);" class=""><o:p class=""></o:p></span></div><p class="sharecount-text" style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-top: 0in; line-height: 17.25pt;"><span class="vf-total-shares"><b class=""><span style="font-family: Arial, sans-serif;" class="">120</span></b></span><span class="sharecount-item"><b class=""><span style="font-family: Arial, sans-serif;" class=""> shares</span></b></span><b class=""><span style="font-family: Arial, sans-serif;" class=""><o:p class=""></o:p></span></b></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">North America Free Trade Agreement talks are now expected to blow past the new year deadline that the United States and Mexican negotiators had hoped they would be able to meet.<o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">Schedulers are looking to book additional talks in February 2018, while stretching the rounds of talks already planned. <o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">A source with direct knowledge of the talks says the standard five days per round could be extended to seven, or even 10 days, depending on progress at the negotiating table.<o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">Talks have been held at a hectic pace, scheduled approximately two weeks apart, since the U.S. and Mexico want negotiations wrapped up before 2018, when elections are scheduled in both countries. <o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">The U.S. has midterm elections in the fall, while Mexico has a federal election next summer.<o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt;" class=""><span style="font-family: Arial, sans-serif;" class="">Creating additional rounds, and lengthening existing ones, is not expected to boost morale at the negotiating table.<o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">The latest talks became increasingly difficult after <a href="http://www.cbc.ca/news/politics/united-states-dairy-market-demands-1.4356840" style="color: rgb(149, 79, 114);" class=""><span style="color: rgb(5, 80, 200);" class="">the U.S. made protectionist demands</span></a> that Canada and Mexico have said are "non-starters."<o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">A number of American demands have crossed so-called red lines for Canada:<o:p class=""></o:p></span></p><ul type="disc" style="margin-bottom: 0in;" class=""><li class="MsoNormal" style="margin: 0in 0in 6pt; font-size: 11pt; font-family: Calibri, sans-serif; line-height: 16.2pt; box-sizing: border-box; max-width: 650px; background-position: 0px 0.3em;"><span style="font-family: Arial, sans-serif;" class="">Increased U.S. content in the auto sector.<o:p class=""></o:p></span></li><li class="MsoNormal" style="margin: 0in 0in 6pt; font-size: 11pt; font-family: Calibri, sans-serif; line-height: 16.2pt; box-sizing: border-box; max-width: 650px; background-position: 0px 0.3em;"><span style="font-family: Arial, sans-serif;" class="">A five-year sunset clause on NAFTA. <o:p class=""></o:p></span></li><li class="MsoNormal" style="margin: 0in 0in 6pt; font-size: 11pt; font-family: Calibri, sans-serif; line-height: 16.2pt; box-sizing: border-box; max-width: 650px; background-position: 0px 0.3em;"><span style="font-family: Arial, sans-serif;" class="">Restrictions on government procurement. <o:p class=""></o:p></span></li><li class="MsoNormal" style="margin: 0in 0in 6pt; font-size: 11pt; font-family: Calibri, sans-serif; line-height: 16.2pt; box-sizing: border-box; max-width: 650px; background-position: 0px 0.3em;"><span style="font-family: Arial, sans-serif;" class="">Gutting NAFTA's dispute resolution mechanism. <o:p class=""></o:p></span></li><li class="MsoNormal" style="margin: 0in 0in 6pt; font-size: 11pt; font-family: Calibri, sans-serif; line-height: 16.2pt; box-sizing: border-box; max-width: 650px; background-position: 0px 0.3em;"><span style="font-family: Arial, sans-serif;" class="">Increased access to the Canadian dairy market.<o:p class=""></o:p></span></li></ul><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">Instead of one or two poison pills, the U.S. has dumped a handful onto the negotiating table. <o:p class=""></o:p></span></p><h2 style="margin-right: 0in; margin-left: 0in; font-size: 1.5rem; font-family: 'Times New Roman', serif; margin-bottom: 9pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">'They don't like what they are doing'<o:p class=""></o:p></span></h2><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">The source says it appears some members of the U.S. delegation are uncomfortable with the demands they are presenting, which appear to have been dictated to them by the Trump administration. <o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">"They don't like what they are doing," says the source, who was not authorized to speak about the talks on the record.<o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">There also appears to be a sense of confusion about the overall U.S. vision for NAFTA and who is really running the show.<o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt;" class=""><span style="font-family: Arial, sans-serif;" class="">U.S. Trade Representative Robert Lighthizer is President Donald Trump's point person on NAFTA, but he was not included in a key Oval Office meeting with Prime Minister Justin Trudeau last week, when Trudeau pressed Trump to support of the trilateral trade agreement. <o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">Instead, Wilbur Ross, the secretary of commerce, was at Trump's side for the conversation. <o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">Lighthizer will attend a meeting with his counterparts Wednesday, with Foreign Affairs Minister Chrystia Freeland and Mexico's Economy Secretary Ildefonso Guajardo.<o:p class=""></o:p></span></p><p style="margin-right: 0in; margin-left: 0in; font-size: 12pt; font-family: 'Times New Roman', serif; margin-bottom: 9pt; line-height: 16.2pt; box-sizing: border-box;" class=""><span style="font-family: Arial, sans-serif;" class="">All three trade czars will take part in a series of meetings, including a working lunch, before making closing remarks at a press conference. </span></p></body></html>