WASHINGTON (Reuters) - U.S. and Canadian negotiators pushed ahead in grinding talks to rescue the North American Free Trade Agreement on Thursday, but a few stubborn issues stood in the way of a deal, including dairy, protection for media companies, and how to solve future trade disputes.
A U.S. source familiar with the discussions in Washington said it was still unclear whether the two sides could bridge their gaps or whether U.S. President Donald Trump will opt for a Mexico-only bilateral trade deal.
“We’re down to three issues: Chapter 19, the cultural issues and dairy. We’ve created leverage and driven Canada to the table,” the source said. “Part of our problem is that Canada has been backsliding on its commitments (on dairy).
Trump has set a deadline for a deal this week, prompting aides to U.S. Trade Representative Robert Lighthizer and Canadian Foreign Minister Chrystia Freeland to work late into the evening to find ways to move forward.
Freeland kept up her positive talk about the discussions for a second day in a row, saying that the discussions were “constructive and productive.”
“The atmosphere continues to be good. There is goodwill on both sides,” she said following a meeting with Lighthizer, adding that officials on both sides would continue with detailed discussions.
She declined to discuss specific issues under negotiation.
U.S. House Ways and Means Chairman Kevin Brady, a powerful voice in Congress on trade, told reporters on Thursday that differences remained between the two sides over Canada’s dairy quota regime and a
