Key facts
- President Donald Trump stated he will not reauthorize the USMCA trade deal.
- Trump cited trade deficits with Canada and Mexico as reasons for potential non-renewal.
- The USMCA is set to automatically expire on July 1, 2036, unless renewed.
- Canada's trade minister indicated bilateral deals would accompany any USMCA review.
- Canadian Minister Dominic LeBlanc will meet with U.S. Trade Representative Jamieson Greer.
President Donald Trump has indicated he will not reauthorize the United States-Mexico-Canada Agreement (USMCA), the free trade deal that replaced NAFTA. Trump expressed dissatisfaction, citing trade deficits with Canada and Mexico and asserting U.S. products are essential for its North American neighbors. The USMCA faces a July 1 milestone for a 16-year extension, after which it would enter rolling annual reviews but remain in force for up to a decade. Last year, the U.S. recorded a $46 billion trade deficit with Canada and a $197 billion deficit with Mexico. Negotiations are scheduled for June 16-17 in Washington and July 20 in Mexico City. Canadian Minister Dominic LeBlanc stated that bilateral agreements between Canada and the U.S., and the U.S. and Mexico, would likely accompany any review of the trilateral framework. LeBlanc is scheduled to meet with U.S. Trade Representative Jamieson Greer next week in France.