Canada seeks clarity after U.S. proposes annual CUSMA reviews

Canada's Minister responsible for Canada–U.S. Trade, Dominic LeBlanc, says the Trump administration's proposal to review the Canada–United States–Mexico Agreement (CUSMA) every year instead of extending it in its current form until 2042 has created significant uncertainty for Ottawa.

According to LeBlanc, both Canada and Mexico had sought to maintain the trade agreement for another 16 years to provide long-term certainty for businesses and investors. However, Washington has indicated it is considering substantial changes to the agreement.

LeBlanc said he and Mexico's Economy Secretary Marcelo Ebrard have asked U.S. Trade Representative Jamieson Greer to clarify how the proposed annual review process would work. He said discussions held on July 1 did not provide a clear explanation of the criteria the United States would use during those reviews.

CUSMA has so far shielded Canada and Mexico from many of the tariffs imposed by U.S. President Donald Trump. The Canadian government maintains that outstanding trade issues can be addressed through bilateral negotiations. While the United States has scheduled bilateral trade talks with Mexico during the week of July 20, no date has yet been announced for similar discussions with Canada.