On November 3, AED issued the following statement to the United States Trade Representative (USTR) as part of its public consultation process in advance of the joint review of the United States-Mexico-Canada Agreement (USMCA).
"USMCA is the foundation of North American trade, and equipment dealers, manufacturers, and our customers have benefitted immensely from the agreement," said Brian P. McGuire, AED's president and CEO. "AED worked closely with the Trump administration and Congress when USMCA was originally ratified, and we look forward to ensuring its renewal as the process moves forward. We urge all parties to reaffirm their commitment to the agreement and reinforce the vital, trilateral economic relationship."
In its submission, AED stressed the importance of USMCA and the resulting economic growth and job creation in the United States. Additionally, the comments highlight the positive impact it's had on the U.S. equipment industry and the nation's farmers, ranchers, and contractors.
USMCA took effect on July 1, 2020, and provides that it will terminate 16 years after the date of entry into force, unless each party confirms that it wishes to continue the agreement for a new 16-year term. It mandated that by July 1, 2026, the U.S., Mexico, and Canada will review the operation of the agreement. Following this review, all three parties must agree whether or not to extend the term of the agreement for another 16-year term. If there isn't a consensus there is still another 10 years (until 2036) when the parties can seek to reach agreement on extending USMCA's term.
