United States Blocks 16-year Renewal of USMCA

Background:

The United States–Mexico–Canada Agreement (USMCA) reached its first mandatory Joint Review on July 1, 2026, when the three countries met virtually to consider whether to extend the agreement beyond its current 16-year sunset clause. Following the review, United States Trade Representative, Jamieson Greer announced that the United States would not renew the USMCA in its current form. Instead, the United States will continue negotiating with Canada and Mexico to address concerns with the agreement. 

While those negotiations are ongoing, the USMCA will remain in effect until the issues are resolved or the agreement is formally terminated. If the parties agree to extend it, the agreement will continue for another 16 years, with the next review scheduled for 2032. If an extension is not agreed upon but the agreement is not terminated, the USMCA will move into a period of annual reviews until either an agreement is reached or it terminates in July 2036. Additionally, any country may choose to withdraw by providing six months’ written notice, which could lead to a shift toward bilateral arrangements or allow the agreement to expire in 2036. 

What We Know:

Canada and Mexico have expressed a desire to extend the current trade agreement for another 16 years, but the Trump administration wishes to resolve what USTR Greer described as “the Agreement’s shortcomings and our trade deficits with these countries” before any renewal. At times, the President has suggested ending the agreement and replacing it with separate trade deals between the U.S. and each country. However, many businesses and lawmakers expect the negotiations could result in updates or side agreements rather than a completely new deal.

Impact on the RV Industry:

The RV industry is concerned that replacing the USMCA with separate U.S.-Canada and U.S.-Mexico agreements could create different trade rules for manufacturers and suppliers. Because the industry relies on an integrated North American supply chain, we support maintaining a trilateral agreement and are working with our partners to advocate for a consistent set of trade rules across all three countries.

Key Dates: 

• July 1, 2026: The United States, Mexico, and Canada conduct a joint review of the agreement six years after implementation.
• July 20, 2026: The United States will meet with Mexico for a third round of bilateral negotiations related to the USMCA joint review.
• 2032: If the agreement is extended in 2026, the next scheduled joint review will take place.
• July 1, 2036: The agreement could expire if it is not extended during the review process.

The RV Industry Association is closely monitoring negotiations and will continue updating members as we receive information. 

To read the USTR announcement, click here. 

Please contact RV Industry Association Director of Federal Affairs Samantha Rocci at srocci@rvia.org with any questions and keep up with the latest tariff updates here.