Why the expected fight over the North American trade deal never kicked off
Key takeaways
- Instead of a noisy fight over the agreement's future, the USMCA has slipped into the background.
- Earlier this year, there were concerns the US might use the renewal window to force a confrontation with Canada and Mexico, or even threaten withdrawal.
- But with foreign policy dominating the administration's agenda, the US has taken a more measured approach.
AFP via Getty Images By Michelle Fleury New York business correspondent Published5 minutes ago For months, policymakers, businesses and trade watchers in Washington had been bracing for a turbulent spring and summer around the future of the USMCA, the trade pact binding the United States, Canada and Mexico.
But, to quote former UK Prime Minister Harold Macmillan, "Events, dear boy, events." The war with Iran has dominated Washington's attention, stripping away much of the political heat that was expected to surround the pact's renewal.
Instead of a noisy fight over the agreement's future, the USMCA has slipped into the background. The Iran conflict has absorbed the White House's attention and, in practical terms, has become one of the best developments for keeping the trade pact out of the headlines.