Trump threatens to let USMCA lapse as July 1 review nears
Why it matters: The pact underpins about $1.6 trillion in annual North American trade and any exit process would take 10 years.
President Donald Trump said the United States may not renew its trade pact with Canada and Mexico as a July 1 review deadline approaches for the six-year-old USMCA. Trump criticized U.S. goods trade deficits with both neighbors while saying he was in contact with their leaders. Under the agreement, the three countries must approve a renewal by July 1 or signal plans to exit, a step that would start a 10-year withdrawal process and leave room for changes. The Office of the U.S. Trade Representative said U.S. and Mexican officials will meet in Washington on June 16-17, with another round set for Mexico City the week of July 20. Canada’s Dominic LeBlanc said talks with the United States had been positive, though no formal negotiating date was set.