New study says stricter NAFTA auto rule of origin could cost 24,000 jobs

摘要

A U.S. proposal to increase the NAFTA auto rule of origin, include a domestic content provision and eliminate tariff shift rules could cost the U.S. 24,000 jobs, according to a study by the Boston Consulting Group commissioned by the Motor Equipment Manufacturers Association. The U.S. is expected to table a proposal on auto rule of origin at the fourth round of NAFTA talks this week, sources have told Inside U.S. Trade. The proposal would raise the regional value content threshold from 62.5 percent to 85 percent, require that 50 percent of the overall content be from the U.S., expand the tracing list and do away with tariff shift rules, sources said.