Sheinbaum clears up doubts about the T-MEC
President Claudia Sheinbaum affirmed that the trade agreement with the United States and Canada remains in force. The planned review does not imply its termination, he said.
“Mexico has done everything on its part, always with the obvious limits to guarantee the development of our country, jobs and companies; always without giving up things that we cannot give up, from sovereignty to other measures.”
If the United States does not express in writing the intention to extend the USMCA for an additional 16 years, the agreement continues for the next ten. An annual review process then begins.
Sheinbaum recalled that Washington has already imposed tariffs on vehicles, steel and aluminum beyond the treaty. He considered it feasible to seek better conditions in the review.
He stressed that the three countries can compete better if they work together. The treaty benefits the American population because it reduces prices, and Mexico because it generates jobs. It also improves access to goods in the three nations.
“Tomorrow the Secretary of the Economy is coming to talk about what was discussed today. It is not that the treaty is going to end, far from it.”
This Thursday’s virtual meeting includes Secretary Marcelo Ebrard, US Trade Representative Jamieson Greer, and Canadian Trade Minister Dominic LeBlanc.
Process details
The T-MEC was signed six years ago. The law stipulates its conclusion after 16 years of validity, that is, in 2036. It also establishes a joint review on the sixth anniversary, where the parties confirm in writing whether they wish to extend another 16 years. If not, annual reviews are carried out.
“Today is not the deadline. If the letter is not sent by the US, the treaty is maintained for 10 years, only with an annual review. In five months or three years the parties can decide to extend it.”
