Market access to Canada and Mexico is critical for American ag
More than 40 senators wrote to United States Trade Representative Jamieson Greer to remind him of the importance of access to Canada and Mexico for American agriculture under the current Unites States-Mexico-Canada Agreement (USMCA).
“The market access achieved under USMCA is a critical component of the success of American agriculture and contributes to our secure food supply chain and to the global competitiveness of U.S. producers,” the April 15 bipartisan letter says.
The trilateral trade agreement came into effect on July 1, 2020 during President Trump’s first term.
Since then, U.S. ag exports to Canada and Mexico have increased by about $10.7 billion and $7.6 billion, respectively.
The letter, signed by senators including Steve Daines (R-Mont.), Amy Klobuchar (D-Minn.), Marsha Blackburn (R-Tenn.), and Tammy Duckworth (D-Ill.), comes as the U.S., Canada, and Mexico prepare for a review of the USMCA.
If the three countries agree the deal in its current state is effective, the USMCA would receive a 16-year extension until 2042.
The senators want the review process to highlight USMCA’s benefits.
“We look forward to working with you to ensure that the joint review process reinforces, rather than undermines, the stability and opportunity that USMCA delivers to America’s farmers, ranchers, and rural communities,” the letter says.
Industry groups also support the USMCA’s continuation.
In February, for example, more than 40 organizations joined to form the Agricultural Coalition for the USMCA.
Work on the agreement can’t result in harm for ag, the group said.
“We are not saying it’s perfect, as some changes are warranted, but we are saying it is of paramount importance to farmers that all three countries renew the agreement,” said Bryan Goodman, a spokesperson for the coalition.
And In November, more than 125 organizations highlighted positive components of the deal like the dispute settlement chapter which helped resolve trade issues.
President Trump’s administration isn’t committed to a simple renewal.
The upcoming USMCA review process must put America first to be considered a success.
“There’s plenty of good in it, but there’s a huge amount of bad in it,” Commerce Secretary Howard Lutnick said during a conference, the New York Times reported. “And it needs to be reconsidered for the benefit of America.”