The new NAFTA talks between U.S., Canada, and Mexico began last August, with the three sides swapping proposals and negotiating the less contentious parts of the deal. Despite progress during the last ten months, the most contentious issues have yet to be decided. Part 1 of this report outlines the current developments in the NAFTA renegotiations and the challenges and priorities of the U.S., Canada and Mexico in this process. Part 2 of this report (to be issued next week) will analyze different NAFTA scenarios and its implications for regional supply chains in the automotive, aerospace, technology, chemicals and apparel industries.
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