Canada is set to initiate formal consultations on the North American trade pact in the coming week, following the commencement of a review by the Trump administration and a statement from the U.S. ambassador indicating that a larger deal is unlikely in the near future.
The office of Canada-U.S. Trade Minister Dominic LeBlanc informed CBC News that the government will soon release an official notice inviting the public to provide comments and feedback on the Canada-U.S.-Mexico Agreement (CUSMA).
In anticipation of the review process, Canada plans to engage with industry leaders, provinces, territories, and Indigenous partners, according to a statement from LeBlanc’s office.
The U.S. officially began consultations on Tuesday to assess the outcomes of the agreement over the past five years. This action initiates a lengthy process and hints that formal negotiations to review CUSMA could start early in 2026.
During a keynote address at a Canadian International Council event, U.S. Ambassador to Canada Pete Hoekstra expressed that a comprehensive deal between Canada and the U.S. seems unlikely at this time. He emphasized that the U.S. had hoped for broader negotiations beyond CUSMA.
Hoekstra stated that the consultations allow Americans to provide input to shape the revised CUSMA. The agreement mandates a joint review by Canada, the U.S., and Mexico on July 1, 2026, marking the sixth anniversary of CUSMA’s enactment.
Responding to Hoekstra’s remarks, Finance Minister François-Philippe Champagne mentioned that Canada had proposed an economic and security partnership after facing U.S. tariffs. Notably, President Donald Trump’s tariffs on steel and aluminum imports remain in effect.
Prime Minister Mark Carney, who initially aimed for a new agreement with the U.S., is now discussing smaller deals to assist industries impacted by tariffs. Carney also confirmed preparations for the CUSMA review.
Carney addressed questions from Bloc Québécois Leader Yves-François Blanchet about ongoing talks with the U.S. and highlighted the positive aspects of the Canada-U.S. relationship despite challenges.
Additionally, the Trump administration solicited feedback on potentially expanding tariffs on steel and aluminum products, while Mexico initiated its public consultation process. Canadian officials are visiting Mexico to strengthen bilateral ties ahead of the CUSMA review.
