Mexico's Ebrard confident in 'fruitful' USMCA review talks with U.S.

Mexican Secretary of Economy Marcelo Ebrard voiced optimism regarding the ongoing third bilateral review of the USMCA trade agreement, describing the upcoming conversations as potentially "fruitful." This round marks the first review since the United States rejected extending the agreement for another 16 years, opting instead for annual evaluations until 2036.

A U.S. Trade Representative (USTR) delegation is in Mexico City for technical meetings with their Mexican counterparts, which will continue until July 23. Discussions are focused on key sectors such as steel, aluminum and their derivatives, automobiles, economic security, labor issues, agriculture, and electronic payment services. Ebrard welcomed the U.S. delegation, emphasizing his confidence in productive outcomes.

President Claudia Sheinbaum indicated that her administration seeks comprehensive agreements that serve as a checklist for compliance rather than full renegotiations. She cautioned that annual reviews are not inherently beneficial for Mexico, the U.S., or Canada, and stressed that Mexico will not passively accept Washington's demands. Specifically, Sheinbaum noted U.S. intentions to tighten rules of origin and increase domestic content requirements, proposals Mexico will evaluate carefully to protect its economy.

Ebrard highlighted Mexico's priority of maintaining its tariff advantages, which have solidified its position as a leading exporter to the U.S. and benefited domestic workers and companies. The Mexican delegation aims to negotiate solutions for sector-specific tariffs on steel, aluminum, and automobiles, which represent a significant portion of the country's exports. The business sector, represented by the CCE, has expressed readiness to support these negotiations.