Wounded but alive: What the USMCA means for Canada

The renegotiation of the North American Free Trade Agreement (NAFTA) resulted in a new pact, the United States-Mexico-Canada Agreement (USMCA). Negotiations were tense and acrimonious throughout, resulting in a new agreement that is worse for Canada than the status quo. This article outlines some of the key changes reflected in the USMCA from the perspective of Canada and how they are likely to impact the Canadian economy. Meanwhile, the future of the USMCA remains in doubt with no clear path for ratification through the US Congress. This ongoing uncertainty about the future of the agreement leaves Canada particularly vulnerable due to its deep dependence on access to the US market. Canadian efforts to diversify its trade relationships will be challenging.