US and Mexico restart USMCA talks as Trump hits Canada with tariffs
Why it matters: The July 1 nonrenewal starts a 10-year countdown for the pact unless all three countries agree on changes.
U.S. and Mexican negotiators are set to begin a third round of bilateral talks Tuesday aimed at revising the U.S.-Mexico-Canada Agreement, while President Donald Trump imposes new punitive tariffs on Canada. The three-day meetings in Mexico City are the first formal negotiations since the Trump administration declined on July 1 to extend the six-year-old trade pact. That decision set a clock for USMCA to expire within a decade unless the three countries agree on improvements. U.S. Trade Representative Jamieson Greer is expected to join on Wednesday. Mexico is also seeking relief from U.S. tariffs of 25% on autos and 50% on steel and aluminum, while Washington presses for lower trade deficits and more North American manufacturing.