Mexico’s president-elect reportedly seeks quick Nafta deal

Mexico’s President-elect Andres Manuel Lopez Obrador is reportedly seeking to quickly reach a settlement on North American Free Trade Agreement negotiations, and President Donald Trump on Monday hinted that a “very dramatic” deal is in the works.

On Sunday, Reuters reported that Lopez Obrador sent Trump a letter calling for the U.S., Mexico and Canada to redouble their efforts to reach a Nafta deal, and that he hopes to “start a new chapter in the relationship between Mexico and the United States, based on mutual respect.”

Separately, Bloomberg News reported Mexico hopes to have a deal in place by the end of August.

Trump on Monday said that he is working with Lopez Obrador on something “very dramatic, very positive for both countries,” Bloomberg reported. Lopez Obrador told reporters in Mexico City that he did not know exactly what Trump was talking about, but that he was open to a deal.

Read: What’s next for Mexico and Nafta under President AMLO?

The leftist Lopez Obrador won Mexico’s presidential election earlier this month, and will be sworn in Dec. 1. He reportedly would like Nafta negotiations to be settled by then so he can focus on domestic issues.

Nafta negotiations are scheduled to resume this week, and the three nations still appear far apart on any agreement. Trump has repeatedly threatened to pull out of the 24-year-old trade agreement, and threatened tariffs against vehicles built in Mexico and Canada if no deal is reached.

Mexico’s peso USDMXN, +0.2574%  rose Monday immediately after Trump’s comments.

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