After a year of virtually no progress in improving relations between the government of Canada and the Trump administration, Prime Minister Mark Carney is set to face his biggest test yet as the free trade agreement between Canada, the United States, and Mexico is up for review in 2026.
Despite talk of diversification, the United States is far and away Canada’s biggest trading partner, with more than 75% of Canadian exports heading south of the border. Should CUSMA not be renewed, Canada’s economy would feel the equivalent of a sucker punch.
But it’s crystal clear that the Trump administration will not simply renew the agreement without changes. The US Trade Representative, Jamieson Greer, has been very candid about the changes he’s going to insist on before moving forward with a renewal. ---More...