Car industry groups urge caution in changing Nafta origin rules

Washington

CAR industry trade groups said on Wednesday that tightening the rules of origin in the North American Free Trade Agreement could be disruptive and hurt the competitiveness of US, Mexican and Canadian car plants.

Their testimony at a public hearing ahead of Nafta renegotiations, expected to start on Aug 17, contrasted sharply with frequent comments by US Commerce Secretary Wilbur Ross that the trade pact's local content rules are an area that needs strengthening to avoid being used as a "back door" for Chinese car parts.