The Mexican government plans to suggest extending the United States-Mexico-Canada Agreement (USMCA) for an additional 16 years during a virtual trilateral meeting on July 1. Mexican Economy Minister Marcelo Ebrard mentioned that this date initiates the agreement’s review process. Ebrard highlighted the complexity of negotiations, citing a discussion on steel-derived products that required hours to classify components used in technologies like robots and drones.
The three countries involved, Mexico, the United States, and Canada, must declare on July 1 if they wish to prolong the agreement. President Claudia Sheinbaum will sign Mexico’s corresponding letter. Ebrard clarified that if any party opposes the extension, the USMCA will still be in effect for the next decade. He emphasized that no country has given the required six months’ notice to withdraw formally from the agreement.
Despite initial threats from US President Donald Trump, the USMCA remains active, and most trade between Mexico and the US remains free of tariffs. Mexico opted to start discussions with the US early to mitigate uncertainty and safeguard national interests. Ebrard identified Mexico’s key challenge as maintaining and enhancing trade integration in a global environment influenced by more protectionist US policies. The three partners are set to review the USMCA this year, as mandated by the agreement’s terms.
