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. The office of Canada’s Trade Minister with the U.S., Dominic LeBlanc, informed CBC News that the government will soon release an official notice to gather public input on the Canada-U.S.-Mexico Agreement (CUSMA).
As part of the preparation for the review process, Canada will engage with industry leaders, provinces, territories, and Indigenous partners, as stated by LeBlanc’s office. The U.S. declared on Tuesday the formal start of consultations to assess the agreement’s performance over the past five years. This action triggers a timeline for a lengthy process and indicates to Canada that formal negotiations for the review of CUSMA may commence in early 2026.
U.S. Ambassador to Canada, Pete Hoekstra, mentioned during a Canadian International Council event that the U.S. is proceeding with consultations as it appears unlikely that a larger agreement will be reached between Canada and the U.S. He expressed disappointment that negotiations did not lead to a more extensive deal beyond the current CUSMA terms.
Hoekstra highlighted the opportunity for Americans to provide input to shape the revised CUSMA by submitting comments to the federal government. In response to Hoekstra’s remarks, Finance Minister François-Philippe Champagne noted that Canada had proposed an economic and security partnership after facing U.S. tariffs, including significant taxes on steel and aluminum imports.
Prime Minister Mark Carney, who initially aimed for a broader economic and security pact with the U.S., now focuses on smaller agreements to aid sectors impacted by the tariffs. Carney confirmed ongoing discussions with Washington and mentioned preparations for the CUSMA review. Additionally, Mexico has also launched its public consultation process, and Canada’s officials are visiting Mexico to strengthen ties ahead of the CUSMA review.
The joint CUSMA review involving Canada, the U.S., and Mexico is mandatory after six years, as agreed upon during Trump’s first term. This review process is critical for assessing the trade pact’s effectiveness and making necessary adjustments to enhance the agreement.