(Reuters) - U.S. President Donald Trump addresses business and trade issues on Monday. Highlights of the day follow:

TRADE

Trump formally withdraws the United States from the Trans-Pacific Partnership trade deal, distancing America from Asian allies as China's influence in the region rises.

A top Trump adviser will meet this week with advisers to Canadian Prime Minister Justin Trudeau, whose Liberal government is gathering to plan a response to a possible renegotiation of the North American Free Trade Agreement.

Mexican President Enrique Pena Nieto says the country will aim to keep tariff-free commerce with NAFTA partners Canada and the United States in its talks with the Trump administration.

Trump will discuss expanding trade with Britain when he meets British Prime Minister Theresa May at the White House on Friday, although trade may not be the central focus of their conversation, the White House says.

BUSINESS

Trump meets with a dozen prominent American manufacturers, promising to cut regulations and corporate taxes but warning them of penalties if they move production outside the country.

Trump plans to meet on Monday at the White House with leaders of construction and sheet metal unions, two sources tell Reuters.

CABINET

U.S. Republican Senator Marco Rubio says he will reluctantly back Trump's nominee for secretary of state, Rex Tillerson, in a move that all but secures Senate confirmation of the former Exxon Mobil Corp CEO.

Michael Flynn, Trump's choice for national security adviser, held five phone calls with Russia's ambassador to Washington on the day the United States retaliated for Moscow's interference in the U.S. presidential election, sources say.

FOREIGN RELATIONS

The Trump administration vows to prevent China from taking territory in international waters in the South China Sea, something Chinese media has said would require Washington to "wage war."

Egyptian President Abdel Fattah al-Sisi discussed terrorism and extremism in a call with Trump and Trump applauded Egypt's efforts on those fronts, Sisi's office says.

OBAMACARE

Two Republican senators say states should be allowed to stay in the Obamacare healthcare insurance program if they like, with one adding she felt confused by President Donald Trump's unspecific executive order targeting the program.

SUPREME COURT

A White House spokesman says Trump will announce a nominee in the next couple of weeks to fill a vacancy on the U.S. Supreme Court.

LAWSUIT

Trump dismisses allegations in a new lawsuit accusing him of violating the U.S. Constitution by letting his hotels and other businesses accept payments from foreign governments.

(Compiled by Bill Trott; Editing by Mary Milliken)