The Canada-U.S.-Mexico Agreement (CUSMA) is up for a joint review on July 1 that will determine whether the deal is renewed or renegotiated. Canada-U.S. talks on renewing the CUSMA trade deal have been slow and strained ahead of the July review, raising concerns about the future of an agreement vital to Canada’s economy. While the U.S. and Mexico are actively negotiating, progress with Canada has lagged, with tensions worsened by U.S. tariffs and differing approaches.

The U.S. is pushing for Canadian concessions and signaling tariffs may remain, while Canada is seeking relief in exchange for economic proposals. Major disagreements persist, and although some see U.S. pressure as a negotiating tactic, uncertainty remains about whether a balanced deal can be reached in time – CUSMA talks may run past July 1 deadline. Currently, CUSMA covers roughly $1.3 trillion in annual Canada-U.S. trade in goods and services and currently shields a large swathe of Canadian exports from Trump’s tariffs.

Source: CBC News