The United States government confirmed on July 1 that it will not renew the T-MEC for 16 years and will seek annual reviews with Mexico and Canada due to trade imbalances.
United States Trade Representative Jamieson Greer announced that Washington will not renew the agreement in its current form. The United States trade deficit with Mexico reached a record 196.913 billion dollars in 2025, an increase of 14.8 percent from the previous year.
Mexico and Canada had already requested the 16-year extension. President Claudia Sheinbaum and Economy Secretary Marcelo Ebrard stated that the treaty remains in force until 2036 and that there is no rush for the reviews.
A United States delegation will visit Mexico City on July 20 to continue negotiations. The peso exchange rate closed at 17.54 pesos per dollar after the announcement.