President Donald Trump is signaling that the future of the U.S.-Mexico-Canada Agreement may be far less certain than many expected, suggesting he is not inclined to automatically renew the trade pact that he once championed as one of the signature achievements of his first administration.
Speaking to reporters, Trump said he sees little reason for the United States to extend the agreement in its current form, arguing that America’s economic leverage over its North American neighbors gives Washington a stronger negotiating position than either Canada or Mexico.
“We don’t need anything Canada has, we don’t need anything that Mexico has, but they need everything that we have, and they have to treat us better,” Trump said.
The comments arrive less than a year before a critical deadline built into the agreement.
The USMCA, which took effect on July 1, 2020, replaced the North American Free Trade Agreement after years of negotiations during Trump’s first term. The deal was promoted as a modernization of NAFTA that would create more balanced trade relationships, strengthen manufacturing, and support higher-paying jobs in North America.
Under the agreement’s terms, the United States, Canada, and Mexico must decide by July 1, 2026, whether to extend the pact for another 16 years. If one of the three countries declines to approve the extension, the agreement does not immediately end. Instead, it enters a period of mandatory annual reviews and negotiations that could continue until the pact ultimately expires in 2036.
Both Canada and Mexico have publicly expressed support for renewing the agreement. The Trump administration, however, appears increasingly focused on revisiting what it views as shortcomings in the current arrangement.
U.S. Trade Representative Jamieson Greer highlighted those concerns during an appearance on Fox Business.
“You have the USMCA underlying the relationship right now, we’ve seen a lot of flaws in that, we’ve seen our deficit go up with both countries over the years that USMCA has been in place,” Greer said. “We’re trying to fix the flaws in that program.”
A major concern for administration officials involves rules governing the origin of products manufactured in North America. Greer said the administration wants stricter enforcement to prevent companies from using Mexico as a conduit for goods that originate in other countries.
“We’re trying to change the rules, we call them rules of origin, to make sure people aren’t using Mexico as a third-country hub,” Greer explained.
Negotiations with Mexico are reportedly ongoing, while discussions with Canada remain more complicated.
Trade tensions between Washington and Ottawa have intensified in recent years. Canadian retaliatory tariffs imposed in response to U.S. duties on steel and aluminum remain a significant point of friction. Although some tariffs have since been lifted, Canada continues to maintain duties on certain steel, aluminum, and automotive products.
Those disputes have spilled beyond formal trade talks. Canadian media reports this week suggested that a planned appearance by Ontario Premier Doug Ford at the U.S. Chamber of Commerce was canceled under circumstances that have sparked speculation. While officials cited scheduling conflicts, reports indicated some observers believe broader political sensitivities surrounding U.S.-Canada trade relations may have played a role.
Despite the cancellation, Ford reportedly continued meetings with American officials, including Senator Kevin Cramer of North Dakota.
