Treasury Secretary Steven Mnuchin said on Tuesday that United States President Donald Trump will end the North American Free Trade Agreement (NAFTA), even if the new United States–Mexico–Canada Agreement (USMCA) that replaces it fails to pass in Congress.
On the other hand, if USMCA does pass, Mnuchin continued, there will be "incredibly strong growth outlook for 2019." Generally, the economic outlook for the US is strong, with housing as an area of weakness, he added.
On the trade relations with China, Mnuchin explained that the short-term commitments by Beijing include agriculture as the priority, as well as liquefied natural gas (LNG). The official stated that it's not realistic to settle on all issues in 90 days, however, he expressed optimism that there would be "real agreements" on the pressing issues, followed by structural changes. A part of the deal made at the G20 summit is that China will have to face consequences in case it doesn't meet its deadlines, Mnuchin concluded.
