Latin America Advisor
Latin America Advisor
A Publication of The Dialogue
Will the USMCA Accord Survive an Upcoming Review?
Upcoming elections this year could affect the USMCA trade deal. Then-Presidents Enrique Peña Nieto of Mexico and Donald Trump of the United States, as well as Canadian Prime Minister Justin Trudeau are pictured signing the accord in 2018. // File Photo: U.S. State Dept.
The United States-Mexico-Canada Agreement (USMCA) is up for review in July 2026, at which time any of the three countries can opt not to renew the trade accord, an action that would put its future into question. The upcoming review makes 2024 a critical year for the future of the USMCA, as both Mexico and the United States will have presidential elections, and the priorities of the countries’ leaders will determine the future of the trade deal. What are the most important parts of the USMCA review process? How do the Mexican and U.S. presidential candidates view the agreement, and what actions are likely given who is elected in the two countries? What’s at stake in the elections for businesses that are affected by the USMCA?
-
Lucinda Vargas, associate director of the Center for Border Economic Development at New Mexico State University: “The USMCA is unique among trade agreements in having established a review process. While trade agreements stipulate a time horizon within which their implementation is to take place (15 years in NAFTA’s case), they are intended to last indefinitely. This ensures that an agreement’s new ‘rules of the game’ will remain, thus providing certainty for investors. Indeed, provisions for amending trade agreements and even for withdrawing from them are standard in such treaties, preempting the need for any required review process. The USMCA’s review clause, embedded in the agreement at the behest of the United States, therefore serves more the purpose of bringing the players to the table in a political test of wills on how, and even whether, to…”
Read More
Top News
Brazilian Gov’t Submits Rules for Tax Overhaul
Valero Expects Growing Demand for Fuel in Mexico
Complete editions of the Latin America Advisor are delivered every business day to members of the Dialogue's Corporate Program and other subscribers. Sign up below for a complimentary preview subscription.
About the Latin America Advisor
The Inter-American Dialogue publishes the Latin America Advisor every business day for a distinguished membership of informed corporate leaders, scholars, and government officials invested in Latin America’s development and future. The Advisor‘s highly regarded Q&A section covers questions submitted by subscribers themselves. Commentators regularly include heads of state, business leaders, diplomats, economists, analysts, and thought leaders from around the world. Many of the world’s largest and fastest-growing companies subscribe to the Advisor. To subscribe, click here. For terms and conditions, click here. For more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.
Subscribers See all
Staff
Gene Kuleta
Editor
P. 202.463.2920
E. gkuleta@thedialogue.org
Carl David Goette-Luciak
Reporter
Nili Blanck
Reporter