U.S. President Donald Trump’s chief trade negotiator has mentioned that the administration is contemplating the possibility of dismantling the trilateral free trade agreement involving Canada and Mexico, exploring individual agreements instead. U.S. Trade Representative Jamieson Greer stated on Wednesday that the Trump administration is evaluating various options for the future of the Canada-U.S.-Mexico Agreement (CUSMA) as its renewal approaches in 2026.
Greer, a pivotal figure in trade talks, including the upcoming CUSMA review, is advocating for distinct bilateral agreements with the U.S.’s neighboring countries to the north and south. This potential shift would mark the end of three decades of a unified free trade pact in North America.
Addressing an event organized by the Atlantic Council, a Washington-based think tank focusing on global affairs, Greer emphasized the disparate economic dynamics between the U.S. and Canada versus the U.S. and Mexico. He highlighted differences in labor conditions, import-export patterns, and legal frameworks, suggesting that separate discussions with each nation would be more appropriate.
All three nations are required to declare by July 1 of the following year whether they intend to extend, renegotiate, or allow the agreement to lapse. Greer must submit a report to the U.S. Congress 180 days before this deadline, signaling the administration’s intentions.
During the recent discussion, Greer did not disclose any hints regarding the White House’s stance on CUSMA. However, he mentioned that various scenarios, including exiting, revising, or renegotiating the agreement, are being considered. While not definitive, Greer strongly implied the possibility of breaking up the agreement into individual deals with Canada and Mexico.
Greer revealed that separate conversations are already ongoing with Canada and Mexico. He emphasized that meetings this year did not involve joint discussions with both countries regarding the USMCA (United States–Mexico–Canada Agreement).
These developments align with Greer’s recent statements to Politico, where he discussed the potential for separate negotiations with President Trump. The deliberations follow a public consultation in Washington, where industries voiced support for the Canada-U.S.-Mexico Agreement and urged the administration not to abandon it.
Greer also testified before a U.S. Senate subcommittee, emphasizing the importance of strengthening CUSMA’s “rules of origin.” Allegations have surfaced that some Canadian companies exploit these rules by incorporating inexpensive Chinese content into their products, then exporting them to the U.S. under favorable terms.
While rules of origin discussions may be more suitable for a trilateral agreement, Greer suggested that critical minerals and trade policy alignment could also be included in a three-way deal. This indicates that the possibility of an agreement involving all three countries is not entirely ruled out.
