On December 10, 2019, the USA, Canada and Mexico moved forward with the trilateral trade deal that is set to replace NAFTA, with the accord now in the hands of the US and Canadian legislatures for final approval.
Mexico has already formally ratified the US-Mexico-Canada Agreement (USMCA), and Canada is expected to follow suit shortly. With regard to the USA, White House trade adviser Peter Navarro predicted that the deal will pass the senate as early as Friday.
The legislation will determine the USMCA effective date. In the meantime, NAFTA rules will remain in place.
Once Canada and the USA have completed their ratification process, all three countries will move to publish the new regulations. The months ahead will no doubt will be filled with announcements, clarifications and legal interpretations that will shape the North American supply chain.
