U.S. aims to impose rules on vehicle origins as NAFTA talks enter fourth round

The fourth round of NAFTA renegotiations is set to begin this week in Washington, and there's growing concern about the fate of the agreement amid reports the U.S. wants to impose strict rules of origin on vehicles.

A report by Inside U.S. Trade says the Americans are planning to propose that cars and trucks must have at least 85 per cent North American content and at least 50 per cent specifically American content to qualify for duty-free status.

From the outset, Canada and Mexico have been adamant that they won't agree to a specific American content requirement that comes at the expense of automobile and auto parts manufacturers in their two countries.

A senior Canadian government official says Canadian negotiators will keep meeting and talking, even if it means repeatedly rejecting hardline American proposals.