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Daimler CEO expects NAFTA free trade agreement will continue

Published 2017-02-02, 05:54 a/m
© Reuters.  Daimler CEO expects NAFTA free trade agreement will continue
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STUTTGART, Germany, Feb 2 (Reuters) - Mercedes maker Daimler DAIGn.DE expects that the NAFTA free trade agreement between the United States, Mexico and Canada will continue under new U.S. President Donald Trump, Daimler's chief executive told a news conference on Thursday.

"I believe that NAFTA will continue to exist," Chief Executive Dieter Zetsche said after Daimler reported full-year results, acknowledging that the details of the pact may change. Daimler makes almost a third of its revenue in the NAFTA region.

Trump has vowed to scuttle NAFTA if he cannot recast it to benefit U.S. interests, raising the risk of a major economic shock for Mexico. plans to start producing compact cars in Mexico next year at a joint plant with Renault-Nissan RENA.PA 7201.T . They are intended for the world market.

Trump has pressured carmakers to bring manufacturing jobs back to the United States from Mexico.

Zetsche declined to comment further on Trump's presidency, saying he did not want to speculate on potential developments.

In its quarterly statement, Daimler said: "Possible fiscal-policy stimulus from the new U.S. government could have an additional positive impact on demand."

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