Mexico, Canada sign deal to uphold USMCA

Mexican President Claudia Sheinbaum said on Thursday that the best path forward for North America is to uphold the USMCA trade agreement, following a new bilateral deal with Canada.

The agreement between the two North American allies comes after months of trade volatility driven by US President Donald Trump, who has threatened to withdraw from the trilateral trade pact as it faces review in July 2026.

"I am confident that the trade agreement will remain in place, and the most important thing is that there is ongoing dialogue with the United States government," said Sheinbaum.

On Thursday, Prime Minister Mark Carney and President Sheinbaum met to announce the Mexico-Canada Action Plan 2025-2028, a bilateral initiative to facilitate trade, investment, and port connectivity, as well as to promote cooperation in agriculture, energy, natural resources, health, security, emergency preparedness, and climate action.

Although the meeting and agreement excluded the US and Trump, both leaders agreed that the region would benefit most from a deal between all three nations.

"This agreement (the USMCA) has not only increased trade and investment opportunities, but also created better-paying jobs, stronger supply chains, and more competitive markets. I fully agree that we are the most important economic region in the world," Sheinbaum said.

During the press conference, she described herself as "optimistic" and reaffirmed that the USMCA is essential to making North America "the most competitive region in the world."

As part of the plan outlined between Mexico and Canada, Prime Minister Carney announced $9.9 million in funding for UN-led projects to support migrant integration initiatives in Mexico and to combat the illicit production and trafficking of fentanyl.

"This plan opens a new chapter in which we further deepen the economic, social, and cultural ties that unite us," she added.