Mexico’s Economy Minister Marcelo Ebrard has affirmed that the US-Mexico-Canada Agreement (USMCA) remains solid and that the three nations are on track to finalize a 16-year extension by the July 1 deadline. His statement comes days after former U.S. President Donald Trump dismissed the trade pact as “irrelevant” during a public appearance. The USMCA is vital to Mexico’s economy, but negotiations face political headwinds, with Trump potentially linking security issues to trade talks and maintaining aggressive tariffs on Mexican exports regardless of the treaty’s renewal.
Major Points Highlighted:
Confidence from Mexico: Economy Minister Ebrard asserts that the USMCA is “firmly intact” and that good progress is being made toward a 16-year extension ahead of the July 1 review deadline.
Trump’s Skepticism: Former President Trump recently called the trade agreement “irrelevant,” casting renewed doubt on its future and signaling potential obstacles.
High Stakes: The USMCA is described as a “backbone” of Mexico’s economy, having replaced NAFTA in 2020.
Political Complications: Analysts warn that Trump may merge security concerns—like military action against cartels—with trade negotiations, politicizing the renewal process.
Tariff Threats Persist: Even if extended, steep U.S. tariffs on Mexican steel, aluminum, and automobiles could undermine the pact’s benefits.
Timeline Uncertainty: While July 1 is the official deadline, many expect talks to stretch into late 2026, possibly delayed until after the U.S. midterm elections.
