Mexico has embarked on the inaugural annual review of the US-Mexico-Canada Agreement (USMCA) as it aims to mitigate rising trade tensions with the United States, driven by the potential imposition of new tariffs. In this context, Mexican President Claudia Sheinbaum is set to hold talks with U.S. Trade Representative Jamieson Greer in Mexico City. This meeting follows a series of technical discussions between officials from both countries.
The discussions take place against the backdrop of U.S. President Donald Trump’s consideration of additional tariffs on imports from over 60 countries, including Mexico. Greer has indicated to U.S. lawmakers that provisional agreements regarding the USMCA might be achieved before the conclusion of 2026. Nevertheless, complex issues such as rules of origin, labor standards, and environmental commitments are anticipated to be subjects of negotiation extending through 2027.
The United States is advocating for more stringent rules of origin under the USMCA framework. The aim is to ensure that products benefiting from the trade agreement are genuinely manufactured in North America, rather than being routed through Mexico from external countries.
These negotiations and reviews are part of broader efforts to address and resolve trade-related concerns, which have been a point of contention in the relationship between the United States and Mexico. By working through these technical and policy challenges, both nations hope to strengthen their economic ties and ensure a more balanced trade relationship under the USMCA.