Trump says he might not renew trade deal with Canada: 'We don't need anything that Canada has'

The Canada–US–Mexico agreement may not be renewed after comments from US President Donald Trump, hinting at a move forward without renewing the deal. The president made the comments from the Oval Office on Wednesday. 

CUSMA, as it's known in Canada, and known in the United States as USMCA, is scheduled for a formal review on July 1, six years after it took effect. The agreement itself does not expire until 2036, but it includes a provision allowing any member country to withdraw with six months’ notice.

Trump, who signed the agreement during his first term in office in 2018, pointed again to that termination clause when discussing its future: "USMCA did one thing that I loved. After six years, it comes up for renewal. I don't know that I'm going to renew it," he said Wednesday. "We don't need anything Canada has."

He added, in a separate comment, "It was a great deal for one reason. It gave the right to terminate," he said. "It was very important that we be able to do that. So we're talking to them. We'll see if we do something."

Later, he continued to emphasize the flexibility built into the deal, saying, "It was very important that we be able to do that. So we're talking to them. We'll see if we do something."

The agreement remains a central pillar of North American trade, covering roughly $1.3 trillion in annual cross-border commerce and protecting about 90 percent of Canadian exports to the US from tariffs.

Despite the uncertainty, Canada and Mexico have both said they want the agreement extended, while also indicating they are open to negotiations on adjustments. The review process allows for either an extension of up to 16 years or a cycle of annual reviews if no extension is agreed.

US, Canadian, and Mexican officials have already been engaged in talks, according to CBC. Trump’s trade team, including US Trade Representative Jamieson Greer, has not publicly laid out a formal position on renewal.

Canadian Trade Minister Dominic LeBlanc and Canada’s chief negotiator Janice Charette met with Greer and his team in Washington last week, part of ongoing discussions on the file. LeBlanc did not provide details afterward but said Canada presented proposals addressing what he described as “long-standing issues that the United States has raised with us.”