The United States and Mexico have commenced the first annual review of the United States-Mexico-Canada Agreement (USMCA), with a US delegation arriving in Mexico City to meet with President Claudia Sheinbaum’s government.
The talks mark a critical juncture in North American trade relations, coming shortly after Washington formally rejected calls from Mexico and Canada to extend the agreement for another 16 years in its current form.
The review process centers on contentious sectors including steel, automobiles, and agriculture.
US officials are proposing significant changes to the pact, signaling a shift away from the status quo that has governed cross-border commerce since the agreement replaced NAFTA.
The refusal to lock in a long-term extension introduces renewed policy risk for multinational corporations with integrated supply chains across the three nations.
This development follows a series of diplomatic signals indicating Washington’s intent to renegotiate key terms.