Donald Trump threatens USMCA renewal, prompting business alarm in Mexico

U.S. President Donald Trump announced he will not pursue a renewal of the United States‑Mexico‑Canada Agreement (USMCA), describing the move as a political strike rather than a commercial issue. José Medina Mora Icaza, leader of the Consejo Coordinador Empresarial (CCE), said the treaty will remain in force for ten years with annual reviews and could be extended to sixteen years with six‑year revisions if the three parties agree to renew it. He warned that Trump’s rhetoric adds uncertainty to trade conditions but emphasized that Mexico remains a privileged market for foreign investment, especially as companies shift capital away from other geopolitical hotspots.

The CCE will support Mexican negotiators in a second round of talks with the United States, focusing on agricultural trade matters such as product seasonality. While Trump’s statements raise concerns about potential tariffs and broader geopolitical tensions, business leaders stress that the US‑Mexico trade relationship continues to function and that Mexico remains a key destination for U.S. exports and imports.