Canada is pushing the United States and Mexico to extend their trilateral trade pact for an additional 16 years, timing the request as U.S. President Donald Trump renews his rhetoric about incorporating Canada as America’s 51st state.
On Tuesday, Dominic LeBlanc, Canada’s minister for U.S. trade, dispatched correspondence to United States Trade Representative Jamieson Greer and Mexico’s Secretary of Economy Marcelo Ebrard expressing Canada’s position on the matter.
“The Agreement is highly beneficial to each of our countries and to the integrated North American economy,” LeBlanc wrote.
The correspondence arrives before the planned July assessment of the United States-Mexico-Canada Agreement, known as USMCA, which represents the current version of a North American trade framework that has connected the three nations’ economies since the early 1990s.
Both LeBlanc and Canada’s Chief Trade Negotiator, Janice Charette, traveled to Washington on Tuesday for discussions with Greer. LeBlanc has previously cautioned that the trade pact might face yearly assessments and suggested such uncertainty could be an aim of the Trump administration.
Trump shared “51st State!” on social media Monday, linking to coverage about Canada potentially entering a technical recession. U.S. Ambassador to Canada, Pete Hoekstra, subsequently shared the same post.
“I can’t believe I have to say this again, but Canada will never be the 51st state. Canada is not for sale,” Ontario Premier Doug Ford posted in response on Tuesday.
Prime Minister Mark Carney admitted to some economic challenges in Canada while entering Cabinet meetings Tuesday. Carney noted that the U.S. maintains roughly 30 trade disputes with Canada versus nearly 60 with Mexico.
The United States has the option to exit the agreement with six months’ notice, implement yearly reviews moving forward, or approve another 16-year extension.
“There is a possibility of a new partnership there,” Carney said.
The USMCA has protected Canada and Mexico from many of Trump’s protectionist policies since numerous goods from both nations fall under the free trade framework. However, certain targeted tariffs on products like aluminum continue to harm the interconnected North American economic system.
Trump’s repeated suggestions about making Canada the 51st state have angered Canadians, leading to significant numbers canceling travel plans to the United States.
