Treasury Secretary Steven Mnuchin said Tuesday that President Trump will pressure Democrats opposed to the U.S.-Mexico-Canada Agreement on trade he has negotiated.
“I hope this doesn’t become just a typical political process where the Democrats don’t want to do anything the president wants to do,” said Mnuchin, who argued Democrats were looped in during the entirety of negotiations with Canada and Mexico.
“I think the president was pretty clear and he’s going to put pressure on the Democrats” to approve the new trade agreement that is meant to supplant the North American Free Trade Agreement, Mnuchin said during a public interview at the Wall Street Journal’s CEO Council conference in Washington, D.C.
The Treasury secretary said he doubts the USMCA will not be approved, which could lead to a major rise in tariffs among the three countries. But he also allowed that it could happen.
Pressed on Tuesday’s stock market drop amid escalating trade war fears, Mnuchin acknowledged the effects of the administration’s disputes with China on stock investment.
“The market is trying to figure out: Is there going to be a real deal at the end of 90 days or not,” said Mnuchin, referring to a temporary truce on tariffs between China and the U.S. “Now, whether we can get that to a real agreement, or at least make progress over 90 days, time will tell,” said Mnuchin, who warned that Trump stood ready to raise hundreds of billions of dollars worth in more tariffs on Chinese goods should no progress be made.
