US, Mexico, Canada Begin Talks to Renew USMCA Trade Pact

Negotiations could be contentious as the countries look to update the 2020 agreement.

Mar. 16, 2026 at 4:03am

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The United States, Mexico, and Canada are set to begin negotiations on Monday to renew the US-Mexico-Canada Agreement (USMCA), the trade pact that took effect in 2020. The future of the USMCA is uncertain, as the US is demanding changes to the treaty and has threatened to pull out if it can't get the deal it wants. Mexico and Canada are hoping to maintain the free trade agreement, which facilitates over $1.6 trillion in annual trade between the three countries.

Why it matters

The USMCA is crucial for the North American economies, which are deeply integrated through cross-border trade and manufacturing. Any disruption to the agreement could have significant economic consequences, especially for Mexico and Canada, which rely heavily on trade with the US. Farmers, automakers, and other industries on both sides of the borders are closely watching the negotiations.

The details

The US is seeking changes to the USMCA, including stronger rules to prevent Chinese goods from entering the US through Canada or Mexico, more US-based production, and greater access to Canada's dairy market for US farmers. Mexico wants to avoid a major rewrite of the agreement and make the rules of origin more flexible. Canada is expected to join the talks later, but its priority is maintaining free trade with the US, its top commercial partner.

  • The USMCA trade negotiations will begin on Monday, March 16, 2026.
  • The USMCA took effect on July 1, 2020.
  • The USMCA can be renewed for another 16 years, but the countries have until 2036 to reach an agreement or the pact expires.

The players

Donald Trump

The former US president who negotiated the USMCA during his first term and has threatened to pull the US out of the agreement if he can't get the deal he wants.

Claudia Sheinbaum

The current president of Mexico, whose administration will have to manage existing security issues while negotiating the USMCA renewal.

Marcelo Ebrard

The Mexican Economy Secretary, who has said that Mexico wants to strengthen the USMCA's dispute resolution system and maintain free trade with the US.

Lori Wallach

The director of the Rethink Trade program at the American Economic Liberties Project, who has said that improvements are required to the USMCA for it to deliver the high-wage US manufacturing and balanced trade that Trump promised.

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What they’re saying

“The integration of our countries is an absolute prerequisite for the United States to remain competitive. We must move forward together; otherwise, we will not succeed.”

— Marcelo Ebrard, Mexican Economy Secretary

“Improvements are required for it to deliver the high-wage U.S. manufacturing powerhouse and balanced trade (Trump) promised and we need.”

— Lori Wallach, Director of the Rethink Trade program at the American Economic Liberties Project

What’s next

The US and Mexican trade officials will begin the USMCA renewal negotiations on Monday, March 16, 2026. Canada is expected to join the talks later. The countries have until 2036 to reach an agreement on renewing the trade pact or it will expire.

The takeaway

The upcoming USMCA negotiations will be crucial for the future of North American trade and economic integration. While the US is seeking changes to the agreement, Mexico and Canada are hoping to maintain the free trade framework that has facilitated over $1.6 trillion in annual cross-border commerce. The outcome of these talks will have significant implications for businesses, farmers, and consumers across the region.