Trump to sign executive order on plan to renegotiate NAFTA with Mexico, Canada

President Donald Trump is expected to sign an executive order as early as Monday stating his intention to renegotiate the free trade agreement between the United States, Canada and Mexico, a White House official told NBC News.

Eliminating the North American Free Trade Agreement (NAFTA), which was crafted by former President Bill Clinton and enacted in 1994, was a frequent Trump campaign promise.

RELATED: North American Free Trade Agreement

The deal was intended to eliminate most trade tariffs between the three nations, increase investment and tighten protection and enforcement of intellectual property.

Related: Scrubbing NAFTA Could Cost More Than 30,000 U.S. Auto Jobs

"We will be starting negotiations having to do with NAFTA," Trump said Sunday at a swearing-in ceremony for his top White House advisers. "We are going to start renegotiating on NAFTA, on immigration and on security at the border."

RELATED: Donald Trump's first day as president

13 PHOTOS
Donald Trump's first day as president
See Gallery
Donald Trump's first day as president

White House Staff Secretary Rob Porter (2nd R) gives U.S. President Donald Trump, flanked by Vice President Mike Pence (L) and Chief of Staff Reince Priebus (R) the document to confirming James Mattis his Secretary of Defense, his first signing in the Oval Office in Washington, U.S. January 20, 2017.

(REUTERS/Jonathan Ernst)

President Donald Trump turns to House Speaker Paul Ryan as he is joined by the Congressional leadership and his family as he formally signs his cabinet nominations into law, in the President's Room of the Senate, at the Capitol in Washington, D.C., U.S., January 20, 2017.

(REUTERS/J. Scott Applewhite/Pool)

US President Donald Trump formally signs his cabinet nominations into law, at the Capitol in Washington, January 20, 2017.

(REUTERS/J. Scott Applewhite/Pool)

US President Donald Trump signs an executive order as Vice President Mike Pence looks on at the White House in Washington, DC on January 20, 2017.

(JIM WATSON/AFP/Getty Images)

President Donald Trump is joined by the Congressional leadership and his family as he formally signs his cabinet nominations into law, in the President's Room of the Senate, at the Capitol in Washington, D.C., U.S., January 20, 2017.

(REUTERS/J. Scott Applewhite/Pool)

US President Donald Trump signs an executive order as Vice President Mike Pence and Chief of Staff Reince Priebus look on at the White House in Washington, DC on January 20, 2017.

(JIM WATSON/AFP/Getty Images)

President Donald Trump shakes hands with Senate Minority Leader Chuck Schumer, D-N.Y, as he is joined by the Congressional leadership and his family while he formally signs his cabinet nominations into law, at the Capitol in Washington, January 20, 2017. From left are Senate Majority Leader Mitch McConnell, R-Ky., Senate Minority Leader Chuck Schumer, D-N.Y, Sen. Roy Blunt, R-Mo., Vice President Mike Pence and his wife Karen Pence, Jared Kushner, Donald Trump Jr., and Ivanka Trump.

(REUTERS/J. Scott Applewhite/Pool)

US President Donald Trump is joined by the Congressional leadership and his family, rear, wife Melania Trump, son Barron Trump, as he formally signs his cabinet nominations into law, at the Capitol in Washington, January 20, 2017.

(REUTERS/J. Scott Applewhite/Pool)

President Donald Trump prepares to sign a confirmation for Defense Secretary James Mattis as his Chief of Staff Reince Priebus (L) points to the order while Vice President Mike Pence watches January 20, 2017 in Washington, DC.

(Photo by Kevin Dietsch - Pool/Getty Images)

President Donald Trump is joined by the Congressional leadership and his family as he formally signs his cabinet nominations into law, in the President's Room of the Senate, at the Capitol in Washington, D.C., U.S., January 20, 2017.

(REUTERS/J. Scott Applewhite/Pool)

President Donald Trump signs his first executive order as president, ordering federal agencies to ease the burden of President Barack Obama's Affordable Care Act January 20, 2017 in Washington, DC.

(Photo by Kevin Dietsch - Pool/Getty Images)

President Donald Trump is joined by the Congressional leadership and his family as he formally signs his cabinet nominations into law, in the President's Room of the Senate, at the Capitol in Washington, D.C., U.S., January 20, 2017.

(REUTERS/J. Scott Applewhite/Pool)

HIDE CAPTION
SHOW CAPTION
of
SEE ALL
BACK TO SLIDE

U.S. manufacturing exports to Canada and Mexico, the United States' two largest export markets, increased 258 percent under the agreement, according to the website of outgoing U.S. Trade Representative Michael Froman, and the deal helped create a trade surplus in agriculture and manufactured goods.

Still, the new president blames it for destroying America's manufacturing sector and called it "one of the worst deals ever" during an October debate with Hillary Clinton.

The Center for Automotive Research, a respected automotive research firm in Ann Arbor, Michigan, said in a statement this month that pulling out of NAFTA could cost auto jobs created since the end of the Great Recession. "Counter to the incoming Trump administration's goal of creating manufacturing jobs, the withdrawal from NAFTA or the implementation of punitive tariffs could result in the loss of 31,000 U.S. jobs," CAR said.

Related: Trump's Tough Stance on Mexican Jobs Could Spur Immigration to U.S.

Trump is also expected to sign an executive order announcing his intention to withdraw from the Trans Pacific Partnership (TPP), a trade agreement among 11 Pacific Rim countries and never ratified by Congress, said the White House official. He will simultaneously move to begin individual trade negotiations with the countries in the TPP.

RELATED: Trade balance between the US and Mexico

Commerce Secretary nominee Wilbur Ross, U.S. Trade Representative Robert Lighthizer and the head of the newly-formed White House Trade Council, Peter Navarro, will be put in charge of negotiating the new deals.

Trump, who campaigned on a promise to to pull out of TPP and overhaul U.S. trade deals, is scheduled to meet with labor union leaders Monday.

Trump had indicated he will soon meet Canadian Prime Minister Justin Trudeau and Mexican President Enrique Peña Nieto to begin work on overhauling NAFTA.

Trump has said little about what improvements he wants, apart from halting the migration of U.S. factories and jobs to Mexico.

Canada's ambassador to the United States said it was clear the Trump team were concerned above all about trade deficits with Mexico and China.

"I don't think Canada is the focus at all," David MacNaughton told reporters in Calgary, Alberta, ahead of a two-day government retreat focused on how to handle the new Trump administration.

Read Full Story

Sign up for Breaking News by AOL to get the latest breaking news alerts and updates delivered straight to your inbox.

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.