Nobody seems really sure what Trump just did with NAFTA, but he didn't 'terminate' it


On Monday, President Trump called in the TV cameras to record a speakerphone call with Mexican President Enrique Peña Nieto on NAFTA negotiations. Specifically, Trump called to congratulate Peña Nieto and himself on replacing NAFTA with what Trump called the United States–Mexico Trade Agreement. (Peña Nieto called it NAFTA.) After a politically brutal week, Trump was claiming victory. He said he was "terminating" the $1 trillion trade deal that has reshaped North America's economies for 25 years, saying the name NAFTA "has a bad connotation" and the "incredible deal" he'd just reached with Mexico is probably open to Canada, too, if it wants to join.
"But what he went on to describe seemed like more of a rebrand than a revolution," says Krishnadev Calamur at The Atlantic, and the end result will likely be "some tweaks to the existing agreement." In fact, "it's not clear Trump can actually terminate NAFTA without congressional approval," and Congress — which has 90 days to give any deal an up-or-down vote — has only authorized trilateral negotiations including Canada, he added. Monday mostly "showcased a strategy where Trump bluffs, rebrands, and claims victory."
Monday's call wasn't about the details. It was showmanship, "a reality show playing out in real time," said David Nakamura at The Washington Post. "Parts of the conversation were so stilted that it took on the air of a hastily arranged photo op. ... Peña Nieto promised Trump, who doesn't drink, a tequila toast," and Trump concluded by saying he'd just sealed a deal with Canada. Then there's this awkward spectacle of Trump trying to patch through the call.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
The text of the deal — the Trump administration calls it a "preliminary agreement in principle" — hasn't been released, but the details disclosed Monday contain some significant concessions sought by the Trump administration, notably regarding the auto industry. You can read more about the deal, and the hurdles it still has to clear, at The Washington Post.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Peter has worked as a news and culture writer and editor at The Week since the site's launch in 2008. He covers politics, world affairs, religion and cultural currents. His journalism career began as a copy editor at a financial newswire and has included editorial positions at The New York Times Magazine, Facts on File, and Oregon State University.
-
The Week US terms and conditions
-
Leo XIV vs. Trump: what will first American Pope mean for US Catholics?
Today's Big Question New pope has frequently criticised the president, especially on immigration policy, but is more socially conservative than his predecessor
-
What's going on with the Beckhams?
In the Spotlight From wedding tantrums to birthday snubs, rumours of a family rift are becoming harder to hide
-
Warren Buffet announces surprise retirement
speed read At the annual meeting of Berkshire Hathaway, the billionaire investor named Vice Chairman Greg Abel his replacement
-
Trump calls Amazon's Bezos over tariff display
Speed Read The president was not happy with reports that Amazon would list the added cost from tariffs alongside product prices
-
Markets notch worst quarter in years as new tariffs loom
Speed Read The S&P 500 is on track for its worst month since 2022 as investors brace for Trump's tariffs
-
Tesla Cybertrucks recalled over dislodging panels
Speed Read Almost every Cybertruck in the US has been recalled over a stainless steel panel that could fall off
-
Crafting emporium Joann is going out of business
Speed Read The 82-year-old fabric and crafts store will be closing all 800 of its stores
-
Trump's China tariffs start after Canada, Mexico pauses
Speed Read The president paused his tariffs on America's closest neighbors after speaking to their leaders, but his import tax on Chinese goods has taken effect
-
Chinese AI chatbot's rise slams US tech stocks
Speed Read The sudden popularity of a new AI chatbot from Chinese startup DeepSeek has sent U.S. tech stocks tumbling
-
US port strike averted with tentative labor deal
Speed Read The strike could have shut down major ports from Texas to Maine