U.S. says it won’t extend key trade deal with Canada and Mexico

The U.S. has decided not to extend a key trade pact with Canada and Mexico, according to the Office of the United States Trade Representative. 

July 1 was the deadline for the three countries to decide whether to extend the United States-Mexico-Canada Agreement, or USMCA, until 2042. The Trump administration’s decision means the USMCA remains in effect and subject to annual reviews for 10 years, until it expires in 2036, unless another agreement is reached to extend it.

“The United States will continue to engage with Mexico and Canada to address the agreement’s shortcomings and our trade deficits with these countries,” U.S. Trade Representative Jamieson Greer said in a statement. “However, the agreement remains in force pending resolution of these issues or until the agreement’s termination.”

President Trump signed USMCA into law in 2020, replacing the 1994 North American Free Trade Agreement.

—This is a developing story and will be updated