A significant hearing in Washington concerning the fate of Canada’s trilateral trade agreement with the U.S. and Mexico commenced on Wednesday, with various U.S. agricultural, business, and policy organizations urging the Trump administration not to terminate the deal. The hearing, organized by the Office of the U.S. Trade Representative (USTR), serves as the focal point of the government’s public consultation on whether to extend the Canada-U.S.-Mexico Agreement (CUSMA) in 2026, renegotiate it, or withdraw from it.
Numerous speakers advocated for the extension of the agreement, highlighting how its free trade provisions have enabled their industries to enhance revenues by gaining access to both the Canadian and Mexican markets. Concerns were raised about the potential jeopardy to this beneficial access due to President Trump’s tariff-driven trade disputes.
Dave Walton, the secretary of the American Soybean Association, criticized President Trump’s imposition of tariffs on Canadian and Mexican exports, including those targeting specific industrial products like steel, aluminum, and automotive parts. Walton warned that such tariffs could escalate tensions and negatively impact U.S. soybean farmers.
Riley Bushue, the vice-president of the Northwest Horticultural Council, representing major U.S. apple, pear, and cherry growers, highlighted the adverse effects of retaliatory tariffs imposed by Mexico during the initial trade war under the Trump administration. Bushue emphasized the critical importance of maintaining preferential access to the Canadian and Mexican markets to sustain the agricultural industry.
The hearing, where approximately 150 individuals are scheduled to testify over three days, covers a wide range of industries, including agriculture, clothing, pharmaceuticals, and trade experts. While many sectors are in favor of renewing the trade deal, some have raised concerns about its implementation, particularly regarding Mexico. Avocado growers expressed worries about inadequate inspections of imported avocados and advocated for quotas to regulate tariff-free avocado imports.
Furthermore, issues were raised regarding Mexico’s enforcement practices, with Florida’s fruit and vegetable growers alleging that Mexican government subsidies are undercutting their businesses. The hearing also scrutinized Canada’s dairy trade practices, with criticisms directed at its protectionist stance in the dairy sector.
Industry leaders and policy experts defended the importance of CUSMA and called for its preservation, while also addressing areas for improvement in its implementation. The discussions at the hearing will play a crucial role in the Trump administration’s decision on the future of the trade agreement.
