The United States has declined to renew the United States-Mexico-Canada Agreement (USMCA) in its current form, rejecting calls from Ottawa and Mexico City for a 16-year extension.
US Trade Representative Jamieson Greer announced on Wednesday that the pact requires annual reviews before any renewal can be considered, signaling a shift toward more frequent, granular oversight of the trilateral trade relationship.
The decision introduces immediate regulatory ambiguity for businesses operating across the continent.
While the existing agreement remains in force, the refusal to secure a long-term horizon undermines the stability that the original 16-year term was designed to provide.
Companies in the automotive, agriculture, and energy sectors, which rely heavily on integrated North American supply chains, now face the prospect of recurring policy reassessments rather than a settled framework.
Greer’s stance marks a departure from the consensus sought by Canada and Mexico, both of which had advocated for a straightforward renewal to maintain economic predictability.