<html><head><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=""><p class="MsoNormal" style="font-size: 13px;"><span style="font-size: 12pt; font-family: 'Times New Roman', serif;" class="">Politico Pro</span></p><p class="MsoNormal" style="font-size: 13px;"><b class=""><span style="font-size: 16pt; font-family: 'Times New Roman', serif;" class="">NAFTA negotiators postpone talks on rules of origin</span></b></p><p class="MsoNormal" style="font-size: 13px;"><span style="font-family: 'Times New Roman', serif;" class="">By <a href="https://www.politicopro.com/staff/megan-cassella" target="_BLANK" class="">MEGAN CASSELLA</a></span></p><p class="MsoNormal" style="font-size: 13px;"><span style="font-family: 'Times New Roman', serif;" class="">Feb 26, 2018 2:01 PM EST</span><span style="font-family: 'Times New Roman', serif; font-size: 12pt;" class=""> </span></p><p class="MsoNormal" style="font-size: 13px;"><span style="font-size: 12pt; font-family: 'Times New Roman', serif;" class="">Officials involved in the NAFTA renegotiation have postponed discussions on automotive rules of origin after the chief U.S. negotiator for that policy area left the negotiating round in Mexico City to return to Washington, a source familiar with the discussions told POLITICO.</span></p><p class="MsoNormal" style="font-size: 13px;"><span style="font-size: 12pt; font-family: 'Times New Roman', serif;" class="">The U.S. lead on rules of origin was headed back to the U.S. "for consultations," and talks on the subject would be rescheduled, the source said, without offering additional details. It was not immediately clear whether the talks on rules of origin would take place later in the round, which is scheduled to run through March 5, or whether they would be delayed until later next month.</span></p><p class="MsoNormal" style="font-size: 13px;"><span style="font-size: 12pt; font-family: 'Times New Roman', serif;" class="">The seventh round of talks to renegotiate the agreement kicked off Sunday in Mexico City. Talks focused on rules of origin were initially expected to take place from Sunday through Tuesday, according to a copy of the schedule obtained by POLITICO.</span></p><p class="MsoNormal" style="font-size: 13px;"><span style="font-size: 12pt; font-family: 'Times New Roman', serif;" class="">The overall renegotiation, which Canada, Mexico and the U.S. had been hoping to wrap up by the end of next month, has hit a number of sticking points, with automotive rules of origin chief among them. The policy issue had been expected to be a major topic of discussion during the round.</span></p><p class="MsoNormal" style="font-size: 13px;"><span style="font-size: 12pt; font-family: 'Times New Roman', serif;" class="">A decision to postpone the discussions "would be concerning but not hugely surprising," one business source said. "Talks are hardly moving in that space, and I’ve been concerned for a while over hardening of positions."</span></p><div style="font-size: 13px;" class=""><span style="font-family: 'Times New Roman', serif; font-size: 12pt;" class="">The Office of the U.S. Trade Representative did not immediately respond to a request for comment about the negotiator's return to Washington or the change in schedule.</span></div><div class=""><span style="font-size: 12pt; font-family: 'Times New Roman', serif;" class=""><br class=""></span></div></body></html>