Trump Says US Might Not Renew North America Trade Deal

Former President Donald Trump said on June 10 that the U.S. might not renew the United States-Mexico-Canada Agreement (USMCA), criticizing trade deficits with Canada and Mexico. He argued that the U.S. does not need imports from either country but claimed they rely heavily on American goods, adding they must 'treat us better.' The USMCA, in place since 2020, requires all three nations to approve its renewal by July 1 or face a 10-year exit process. The U.S. Trade Representative’s Office announced a second round of negotiations in Washington on June 16–17, focusing on agriculture and 'a level playing field,' with a third round scheduled for Mexico City in late July. Canada’s trade minister, Dominic LeBlanc, reported a positive review meeting with the U.S. on June 9 but noted no formal negotiations have been scheduled yet. The agreement has fostered a $1.6 trillion annual trade relationship, though trade deficits remain a point of contention—the U.S. recorded a $46 billion deficit with Canada and $197 billion with Mexico in 2025. Mexico has been the top U.S. trading partner since 2023, with 80% of its exports going to the U.S., while Canada sends nearly 70% of its exports southward. Nearly one-third of U.S. goods exports also go to these two neighbors, underscoring the deal’s economic importance.