CUSMA 2026 Review

Review Timeline and Process

CUSMA (known as USMCA in the United States and T-MEC in Mexico) entered into force on July 1, 2020. Article 34.7 of the agreement requires a joint review by all three parties within six years of entry into force. Public records from USTR and Global Affairs Canada indicate the review window opens on or around July 1, 2026.

The review process is not a renegotiation. It is a formal assessment of the agreement's operation, during which each party confirms whether it wishes to extend the agreement for an additional 16-year term. If all three parties confirm, the agreement extends. If any party declines, the agreement continues but with a reduced remaining term, creating a sunset mechanism.

Public Scope

Based on publicly available trade policy documents, the review is expected to cover the following areas.

• Rules of origin: Regional value content thresholds for automotive, steel, aluminum, and other manufactured goods.
• Digital trade provisions: Data localization, cross-border data flows, and emerging AI commerce frameworks.
• Labor and environment: Enforcement mechanisms under the Rapid Response Labor Mechanism (RRLM).
• Tariff schedules: Product-specific tariff rates and preferential treatment eligibility.

Domestic Sourcing Implications

The review may affect rules-of-origin calculations that determine whether goods qualify for preferential tariff treatment. Public records indicate that businesses relying on cross-border supply chains between the US, Canada, and Mexico should assess their domestic sourcing ratios in advance of the review window.

Changes to regional value content thresholds could affect qualification for duty-free treatment under CUSMA. This is particularly relevant for manufacturers with complex multi-country supply chains.

How to Check Your Domestic Sourcing Signals

A compliance scan can surface domestic sourcing signals across your supply chain, helping you assess readiness for potential changes to rules-of-origin requirements.