U.S. declines to extend CUSMA, but trade deal remains in force

CUSMA trade pact stays in force as Canada, U.S. and Mexico seek changes See what the talks could mean for autos, tariffs and North American trade

The Trump administration has said it will not extend the CanadaU.S.Mexico Agreement, or CUSMA, but the pact continues to apply while the three countries negotiate possible changes. The decision, announced Wednesday after meetings with Canadian and Mexican officials, was expected by trade observers. CUSMA does not expire until 2036, and it would only be ended sooner if the United States formally gave six months’ notice to withdraw. U.S. officials said they want to address what they see as shortcomings in the agreement and reduce trade deficits, while also leaving room for countryspecific side deals. Canada’s trade minister, Dominic LeBlanc, said Ottawa is prepared to keep talking, though major disagreements remain over autos, dairy and U.S. tariffs on steel, aluminum and vehicles. Analysts say the next phase is uncertain, with no clear timeline for a new agreement and little sign that either side is ready to make major concessions soon.