With the U.S.-Mexico-Canada trade agreement scheduled for review in 2025, there’s talk Canada might cut its own deal with the United States. Such a bilateral deal would leave Mexico out.
Canadian leaders are now openly accusing Mexico of allowing China access to the North American free-trade zone. This would allow Chinese products to bypass both American and Canadian existing tariffs.
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Prime Minister Justin Trudeau said he raised those concerns with Mexican President Claudia Sheinbaum at the recent G20 summit. However, Sheinbaum dismissed the complaints as campaign rhetoric.
Ontario Premier Doug Ford took matters a step further in a phone call with other provincial premiers. He accused Mexico of bringing in cheap Chinese parts, putting made-in-Mexico stickers on those products and shipping them to the United States and Canada.
Ford says that process has caused job loss in both Canada and the U.S. He wants to see Canada make a separate bilateral trade deal with the United States.
Currently, Canada and Mexico send 80% of their exports to the United States. On the campaign trail, President-elect Donald Trump criticized Chinese investment in Mexico. He’s also threatened to place steep tariffs on products coming into the U.S. that might’ve been manufactured in China.
As 2025 approaches, Canada says it wants fair trade. As a result, Canadian leaders say that puts it at odds with Mexico.
