U.S. Declines to Extend USMCA Beyond 2036 Expiration

The Office of the United States Trade Representative announced July 1 that the United States will not seek a 16-year extension of the United States-Mexico-Canada Agreement. The current agreement remains in effect until 2036 and includes provisions for annual review.

The announcement follows the statutory requirement that the president notify Congress of any intent to extend the pact at least 180 days before the July 1, 2026 deadline for such notification.

The Trade Representative's office stated that the decision leaves the agreement subject to annual review for the next decade. According to the announcement, U.S. trade deficits with Mexico and Canada have not been reduced under the current terms. The U.S. goods trade deficit with Mexico reached $196.8 billion in 2025, and the deficit with Canada reached $46.2 billion, per figures cited by the office.

" The official said negotiations with Mexico are scheduled for the week of July 20 to address rules of origin, intellectual property protections, and labor compliance provisions. The official indicated that discussions with Canada will continue but did not specify a date for formal meetings.

The original USMCA legislation, signed by President Trump in 2020, replaced the North American Free Trade Agreement and increased the required North American content for vehicles to 75 percent. The senior administration official stated that the president "remains skeptical" of the current arrangement but that ongoing talks serve U.S. interests.