As NAFTA Tension Mounts, Retailers Warn Of Economic Catastrophe
U.S. retailers are sounding the alarm as NAFTA negotiations threaten to crumble. With Canada and Mexico firmly rejecting U.S. demands on dairy, autos and other areas, the retail industry group that represents companies including Gap Inc. and VF Corp. said the collapse of the trade agreement would be an “economic catastrophe.” The Retail Industry Leaders Association, which encompasses more than 200 retailers, manufacturers, and suppliers, added that NAFTA’s downfall would incur “massive” disruptions in agriculture and manufacturing as well as higher costs for U.S. consumers. “Simply put, we cannot afford for the United States to abandon free trade,” Hun Quach, the group’s head of trade policy, said in an emailed statement. “As retailers, we strongly urge all parties to preserve the parts of NAFTA that work for American businesses and to avoid proposals that would damage the U.S. economy and hurt American families.” Read more at Bloomberg.