Auto industry officials expect President Donald Trump to urge Canada and Mexico to agree to new tougher "rules of origin" that would require a higher percentage of North American content to be considered tariff free. Under NAFTA, at least 62.5 percent of a passenger car or light truck's net cost must originate in North America -- defined as the United States, Canada and Mexico -- to avoid tariffs.
President Donald Trump put neighboring Canada and Mexico on notice: He's determined to wring out more favorable terms from NAFTA. Now comes the hard part of reworking a trade deal that's framed relations for more than two decades.
The global auto industry looks healthy this year, but PwC says mergers and acquisition experts want to assess President Trump's influence on environmental rules, international trade and the overall economy before pursuing new deals.