CUSMA trade pact faces July 1 deadline as US signals uncertainty

The Canada‑US‑Mexico trade agreement (CUSMA, also known as USMCA) must undergo its first three‑party review by July 1, 2024. At that date the three governments will decide whether to extend the pact for a further 16 years, until 2042. Canada and Mexico have both sent letters confirming their support for an extension, while the United States has not made a clear commitment. President Trump previously said he is “not looking to renew,” and senior U.S. trade officials expect the administration may refrain from agreeing to an extension.

If the parties cannot reach agreement, the agreement will remain in force under an annual review mechanism for up to a decade before it would automatically terminate. Bilateral talks between the United States and Mexico have already begun, but Canada‑U.S. negotiations have not yet started formally. Canadian Trade Minister Dominic LeBlanc said the upcoming online review will be used to push forward the interests of Canadian workers, farmers and businesses.

Proponents argue that keeping the tariff‑free arrangement will continue to lower grocery and energy costs for consumers and strengthen North‑American supply chains against global competitors. The outcome of the July 1 review will shape the future of regional trade and its economic benefits for the three nations.