Trump administration wants to raise North American auto content to 82%, with half from US

WASHINGTON/MEXICO CITY — The Trump administration wants to increase the level of regional content in North American-built vehicles to 82 percent to qualify for preferential treatment under the U.S.-Mexico-Canada Agreement on trade, with 50 percent of that value produced in the United States, four people familiar with the U.S. negotiating position said. The expansive demand, unveiled during this week’s U.S.-Mexico negotiations over revisions to the six-year-old USMCA in Mexico City, has no provision for counting any parts content from Canada in the totals. Canada is not represented in the Mexico City talks, the sources said. The shift, if accepted, would be a major break from the current USMCA, which requires that 40 percent of the “core parts” value of North American passenger vehicles be produced in high-wage jurisdictions, effectively the U.S. or Canada. That threshold is now 45 percent for pickup trucks. Overall, vehicles built in North America currently must have 75 percent regional content to qualify for preferential treatment under USMCA. The U.S. demand and lack of accommodation