Trump took to Twitter on Saturday morning to share the news that 'a big Trade Agreement with Mexico could be happening soon!'
Negotiators from both the USA and Mexico have been holding talks for weeks to try and settle their differences on NAFTA.
Donald Trump has tweeted that a "big trade agreement" with Mexico could be coming soon and America's relationship with its neighbor is "getting closer by the hour" - despite two years of tensions over his much-touted border wall.
The incoming Mexican administration's split with the current leadership over opening up the oil and gas sector for investment is emerging as a key hurdle for a bilateral agreement over NAFTA, according to two people familiar with negotiations. "We'll keep standing up for Canadian interests as we work toward a modernized trilateral NAFTA agreement".
A spokeswoman for the U.S. Trade Representative's office denied that Lighthizer had softened his position on the sunset clause, without further elaboration.
"The story of these types of things is always defined in the final minute, and I would say that we're practically into the final hours of this negotiation", Guajardo told reporters. "It's no longer what the United States was putting first in any way", Seade said of the sunset clause outside the U.S. Trade Representative's office.
The U.S. and Mexico have been holding bilateral talks for weeks, attempting to resolve certain issues before three-country NAFTA negotiations resume.
The president-elect also said Friday that bilateral talks on the North American Free Trade Agreement "are on a good track".
Lopez Obrador's team "is not against investors, it is in favor of making it so that Mexico can develop its energy industry as it wishes, with private or public investment", Jesus Ramirez, a spokesman for Lopez Obrador, said.
While a US proposal to increase tariffs on cars imported from Mexico that don't meet stricter new content rules was a sticking point as recently as last week, that issue appeared to be resolved by Thursday.
Shortly after Trump's tweet, the incoming chief trade negotiator for Mexican President-elect Andres Manuel Lopez Obrador, Jesus Seade, said the U.S. has softened its position on the "sunset clause" in NAFTA.
"Nothing is done until everything is truly done", he said.
Seade also stated that the "correct focus" on the energy area of NAFTA has already been agreed. "Today will be an important day".
The U.S. president called for a NAFTA revamp more than a year ago, but the idea to renegotiate it started on the campaign trail.
Long skeptical of foreign companies entering the Mexican oil industry, Lopez Obrador opposed Pena Nieto's energy reform.
Earlier in August, Trump threatened Canada with auto tariffs if the USA and Canada can't forge a deal. Trump has argued that lower wages for employees in Mexico have cost jobs at General Motors, Ford and Fiat Chrysler - "The Big Three" - all of which have production sites in Mexico.