US announces it will not renew trade deal with Mexico and Canada

On 1 July 2026, the United States announced it would not renew the USMCA trade agreement with Mexico and Canada. Trump declined to extend the agreement in its 'current format'. Asahi Shimbun wrote that the US passed on a 16-year extension, and the pact will instead be reviewed every year.

The US, Canada and Mexico have begun what the Associated Press called bumpy negotiations over renewing the pact, and the Wall Street Journal wrote that the decision puts it into doubt. El Universal reported that the US proposed an annual review of the agreement while negotiations on renewal continue. Handelsblatt wrote that the US wants to change the free trade agreement.