Supply Chain Research

The fifth round of NAFTA talks, which wrap up today, includes a focus on the controversial “rules of origin” (ROOs). The U.S. has proposed a broad change to include a U.S.-specific component, particularly for automotive ROOs. Canadian and Mexican officials will be presenting data on, and asking questions of, the U.S. stance in an attempt to change it. They’re wasting their time. The basic trade philosophy of the Trump administration is to cut the trade deficit. The auto industry accounted for a $65 billion deficit on its own in the past 12 months, or 74% of the total deficit held vs. Can...