Trump Threatens to Quit $1.3 Trillion CUSMA Deal as July 1 Review Nears
Updated
Updated · CBC Sports · Jun 10
Trump Threatens to Quit $1.3 Trillion CUSMA Deal as July 1 Review Nears
3 articles · Updated · CBC Sports · Jun 10
Summary
July 1 is the next flashpoint for CUSMA after Trump said he is “not looking to renew” the North American trade pact when its six-year review begins.
2036 remains the agreement’s formal end date, but Trump said the deal’s value lies in its termination clause, which lets any member withdraw with six months’ notice.
$1.3 trillion in annual cross-border trade is covered by CUSMA, and the pact shields about 90% of Canada’s exports from Trump tariffs, making the review critical for Ottawa.
Canada and Mexico have both asked to extend the deal for 16 years, even as U.S. officials are already holding renewal talks with Mexico and Canada presses for tariff relief on steel, aluminum, autos and lumber.
Capitol Hill Republicans were praising CUSMA’s benefits to U.S. farmers and consumers even as Trump revived threats that could force annual reviews instead of a long-term extension.
Will the new Canada-Mexico alliance withstand U.S. pressure to renegotiate the massive trade deal?
With a $2 trillion trade bloc at stake, could annual reviews cripple North America's economy?
Is the USMCA renegotiation secretly a U.S. strategy to curb China's influence in Mexico?
USMCA’s 2026 Stalemate: Economic Fallout and Strategic Uncertainty for North America
Overview
As of June 2026, the USMCA faces deep uncertainty after missing its July 1 renewal deadline, pushing the agreement into annual reviews instead of a long-term extension. This shift has created ongoing instability for North American trade and investment, with the rolling review process expected to last until at least 2036. What was meant to be a routine assessment has now become a high-stakes negotiation, as the Trump administration refused to approve the extension. The upcoming formal review in July 2026 marks a critical moment, turning what was once stable into a period of significant unpredictability for all three countries.