The White House top adviser and president's son-in-law found himself locked out of Nafta talks.
The US president and the outgoing Mexican president, Enrique Pena Nieto, spoke on the phone as a new trade agreement was announced.
US Treasury Secretary Steven Mnuchin says major issues remain in talks between the US, Mexico and Canada to renegotiate the North American Free Trade Agreement. "There are still some very significant, open issues," Mnuchin said in an interview on CNBC.
"We'll see where we get over the next few weeks," he said, adding that he thinks there is still a desire among the three countries to reach a new Nafta agreement.
"We're still trying to get a new deal done. That is a priority for the president," Mnuchin told CNBC. He added that Trump administration remained focused on crafting a new Nafta deal that would require congressional approval, but that Trump could consider a possible so-called "skinny deal" that would not.