On July 2, reports confirmed that the US decided not to renew the North American trade agreement this Wednesday. The top US trade official pointed fingers at Canada for getting too friendly with China.
US Trade Representative Jamieson Greer said the three governments held an online meeting, but Washington won’t support keeping the United States-Mexico-Canada Agreement (USMCA) in its current form.
This doesn’t mean the deal is dead—it’s still in effect—but the three countries will kick off an annual review process that could drag on until the agreement expires in 2036.
While the announcement didn’t mention China directly, Greer took a shot at the country in an interview with Bloomberg, venting frustrations that seemed to come out of nowhere.
The tariff-free flow within the region means Chinese goods or investments entering Mexico or Canada could sneak into the US market.
Washington has been pushing its two neighbors to scrutinize Chinese capital and keep Chinese parts out of North America’s auto supply chain.
Greer said, “One day they say, ‘We want to help America reindustrialize, we want to help make America great again.’ But the next day, they talk about bringing in Chinese investment.”
He grumbled about tightening controls to stop Chinese components from slipping into the US through its neighbors.
China’s Foreign Ministry spokesperson has repeatedly emphasized that the new strategic partnership between China and Canada isn’t aimed at any third party, aligns with the common interests of both peoples, and contributes to world peace, stability, and prosperity.
