USMCA review: Mexico urged not to rush negotiations and to prioritize agreement content, Digi Mart USA News (León, Mexico): Decisions Mexico makes in the next USMCA review will not be easily reversed in the short term, so the country should prioritize the agreement’s content over haste in negotiating, according to specialists who spoke at the National Meeting of Coparmex, the Mexican employers’ confederation. They said tariff certainty and stronger domestic legal certainty are vital to keep Mexico’s position from weakening against the United States.
Kenneth Smith Ramos, former chief of Mexico’s technical negotiation for the USMCA, warned that what is agreed now is unlikely to be changed even under another administration. He said agreements reached now will probably remain in force for a long time, so they must be handled with care.
He added that Mexico should obtain certainty about the tariffs it may face in the future and maintain a privileged position in terms of access to the United States.
Smith Ramos stressed the importance of not rushing, ensuring that the substance of the negotiation, rather than U.S. pressure for a final deal, dictates the timing.
He also said that pressure from the United States to limit access of inputs from other regions to North American value chains will intensify until the end of the Trump administration. Mexican businesses that adopt traceability mechanisms, review their value chains and increase regional and national content, he said, would be better protected against U.S.
measures targeting Mexican exports.
Martha Bárcena Coqui, former Mexican ambassador to the United States, said that uncertainty currently defines the USMCA. Because the agreement was extended for 16 years, there are annual reviews and a long list of unresolved issues.
She said the negotiation may extend into next year and that annual reviews could continue beyond 2029, prolonging uncertainty and its effects on investment decisions.
Bárcena Coqui said Mexico’s main obstacles to advancing the USMCA are domestic. She pointed to legal uncertainty stemming from judicial system reforms and the disappearance of technical institutions, which she said has damaged technical dialogue.
She also cited a lack of mining investment, which she said leaves Mexico without a strong position on strategic minerals, as well as the dismantling of the automotive sector, and insufficient access to sustained and sustainable energy.
She also noted water scarcity and deficient infrastructure as real challenges to raising investment, and warned that Mexico should maintain its current situation rather than make concessions in a rush to reach an agreement. She said the final decision on extending the USMCA will most likely be made with the next U.S.
administration. Security is another concern for Washington, she said, making clear traceability of inputs essential for companies, since exports to the United States could otherwise be halted.
Bárcena Coqui also said the results of the U.S. congressional and gubernatorial elections open the door to a new strategy.
She pointed to a bilingual governor of Mexican origin in California and a bilingual governor very open to Mexico in Texas as creating possibilities for dialogue beyond national security, adding that a new strategy is now possible.
