Inside the US Tariff Card: "Wants Early Renegotiation with Canada and Mexico"

WSJ Cites Sources
"USMCA Renegotiation, Scheduled for 2026, May Happen Sooner"

U.S. President Donald Trump is reportedly using the threat of imposing high tariffs as leverage to push for an early renegotiation of the United States-Mexico-Canada Agreement (USMCA), the trade deal with Mexico and Canada.

The Wall Street Journal (WSJ), citing sources, reported on the 21st (local time) that although the USMCA is scheduled for a statutory review in 2026, Trump hopes to bring forward the renegotiation timeline.

The USMCA was established to replace the North American Free Trade Agreement (NAFTA). Currently, the trade volume between the U.S. and its neighboring countries under the USMCA is about $2 trillion. Since the agreement was signed, Mexico and Canada have surpassed China to become the U.S.'s largest trading partners.

Although President Trump did not mention specific new tariff measures during his inauguration, he told reporters late in the afternoon on the day of his inauguration that he expects to impose a 25% tariff on Mexico and Canada "on February 1."

Those familiar with President Trump's intentions said that through this renegotiation, he aims to change the automobile-related provisions of the trade agreement and bring automobile manufacturing plants currently located in Canada and Mexico back to the U.S.

An executive from the automobile industry said that under these circumstances, major automakers are looking for ways to satisfy President Trump without breaking the 'North American automotive supply chain' among the three countries.

President Trump is expected to instruct Howard Lutnick, the nominee for Secretary of Commerce, and Jaymeison Greer, the nominee for U.S. Trade Representative (USTR), to handle the USMCA renegotiations.