US trade chief sees progress with Mexico, Canada by year-end on T-MEC rules

The United States is pushing for robust rules of origin in the North American trade agreement to encourage production within the continent, according to U.S. Trade Representative Jamieson Greer. He expressed optimism about achieving progress on issues like rules of origin, labor, and environmental standards by the end of the year.

Greer's comments came as negotiators from Mexico and the U.S. convened in Mexico City for the third round of talks to review the North American trade pact. He emphasized the desire for "very solid" rules of origin to prevent production from shifting to regions with excess capacity or non-market practices. The U.S. also aims to strengthen the enforcement of labor and environmental standards, acknowledging that this may require time.

While U.S. President Donald Trump has expressed skepticism about a full renegotiation of the trilateral trade deal, Mexico and Canada have proposed a 16-year renewal. Trump, however, has indicated a need for more time to resolve disputes and has called for annual reviews. Greer suggested that by year-end, options for provisional agreements or measures could be presented to Trump and the leaders of Canada and Mexico.

Mexico, along with business and service sectors on both sides of the border, has voiced concerns about annual reviews, advocating for greater stability in the trade relationship.