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USMCA Sunset/Review Clause

17 posts

Whither the Worker-Centered Trade Policy?

The Biden administration changed U.S. trade policy significantly when it adopted a “worker-centered” trade policy that justified entering into “frameworks” and not trade agreements. That policy didn’t win many accolades from the trade crowd. Many critics felt that it forewent critical opportunities by refusing to discuss market access

Will USMCA Be Renewed in 2026?

At a Baker Institute event last week, C.J. Mahoney, who was a Deputy U.S. Trade Representative during the Trump administration, argued that renewal of the USMCA under the Article 34.7 review clause was unlikely to happen in 2026. He first provided some background on the provision: ... USMCA

Getting Ready for the USMCA Review

I noticed that the Canadians had started their preparation for the six year USMCA review and extension decision under Article 34.7, so I wrote a short piece for the Baker Institute about all this. This is the conclusion: The USMCA review and extension process is new and untested, and

Katherine Tai on USMCA Dispute Settlement and the USMCA Six Year Review

At a Brookings event yesterday, Josh Meltzer of Brookings had some interesting exchanges with U.S. Trade Rep. Katherine Tai on USMCA dispute settlement and the USMCA six year review. Here's the one on dispute settlement: Meltzer: What I'd like to do is ask you a

The U.S. “Worker-Centered Trade Policy” is helping some workers in Mexico but not in America

This Labor Day post seeks to shed light on the Biden administration’s “worker-centered” trade policy. It argues that the United States-Mexico-Canada trade agreement (USMCA) misses a critical opportunity to strengthen workers’ rights in America. The agreement’s provisions exclude protections for the most vulnerable workers in U.S. trade

Senator Toomey on the USMCA Sunset Clause

This is from the Q & A at a recent AEI event with Senator Pat Toomey, hosted by Derek Scissors: Derek Scissors: ... Let’s not talk about what we agree on. Let’s talk about what we might disagree on, or at least disagree partly on. And I’ll start

USMCA Implementing Legislation Provisions on the Sunset Clause

This is from the relevant section of the USMCA implementing legislation submitted to the House on Friday: Subtitle B—Joint Reviews Regarding Extension of USMCA SEC. 611. PARTICIPATION IN JOINT REVIEWS WITH CANADA AND MEXICO REGARDING EXTENSION OF THE TERM OF THE USMCA AND OTHER ACTION REGARDING THE USMCA. (a)

Congressional / Executive Power over Trade and the USMCA Sunset Clause

This is from Jennifer Hillman: Before it is too late, Congress should insist on including a number of items in the implementing legislation or on essential changes to the May 30, 2019, draft Statement of Administrative Action (SAA). Indeed, U.S. Trade Representative Robert Lighthizer’s transmittal letter for the

The USMCA Sunset Clause Will Not Help Much with Enforcement

A couple months ago, I pushed back on the idea that the USMCA sunset clause will help with enforcement. Now I see it popping up again. This is from Inside US Trade: ... [Tom] Vilsack also argued that the review function in the new agreement -- a watered-down version of a

Good Questions on the Sunset Clause

This is a good set of questions, as a follow-up to a recent Senate Finance Committee hearing, from Senator Toomey to U.S. Trade Representative Lighthizer on the USMCA sunset clause: The renegotiated NAFTA agreement contains a new mechanism called “Review and Term Extension,” i.e. a sunset provision, which