As the trade agreement between Canada, the U.S., and Mexico undergoes a crucial evaluation, numerous U.S. industries are advocating for the preservation of the deal and an end to imposing tariffs on imports from the neighboring countries.
This week, public hearings are set to take place in Washington as part of the mandatory review of the Canada-U.S.-Mexico Agreement (CUSMA).
Prior to the hearings, prominent players in the U.S. manufacturing, industrial, and retail sectors have submitted statements lauding the benefits of the agreement to the American economy and commending President Donald Trump for securing the trade deal in his first term.
While around 1,500 public comments have been submitted to the Office of the U.S. Trade Representative, suggesting amendments, major industry groups overwhelmingly support the three-way agreement.
The National Association of Manufacturers, the largest organization within a sector contributing $2.9 trillion US to the nation’s GDP, hails CUSMA as “the most pro-U.S. manufacturing trade agreement in history.”
According to the manufacturers’ group, the deal has significantly enhanced manufacturing in the U.S., positioning CUSMA as a vital driver of the domestic industry’s global competitiveness.
The group describes the trade deal as a “key part” of Trump’s strategy to boost factory production in the U.S., highlighting its successful outcomes.
‘Careful and polite’
Julian Karaguesian, an international trade expert who reviewed a sample of 50 submissions, states that the overall sentiment leans towards maintaining the agreement intact.
“It’s very cautious and respectful, with a strong inclination towards supporting the renewal of CUSMA and advocating for the elimination of tariffs wherever feasible,” said Karaguesian, previously a special adviser on international trade with Canada’s Department of Finance and currently a visiting lecturer in economics at McGill University in Montreal.
Karaguesian notes that industry groups are emphasizing to the Trump administration the importance of Canadian and Mexican supplies to their operations and the significance of these countries’ markets for their businesses.
“The government of Canada has numerous private sector allies spanning small, medium, and large-scale enterprises,” he added.
Some submissions, notably from the U.S. steel and dairy sectors, express concerns about the impact of CUSMA.
However, accolades for the trade deal and the removal of tariffs on Canadian goods imposed by Trump come from a wide array of major industries.
Home builders
The National Association of Home Builders, representing 140,000 members in the residential construction industry, states that CUSMA has “yielded numerous benefits to the signatory countries and to America’s homebuilders specifically.”
The association urges the Trump administration to eliminate all tariffs on building materials imported from Canada and Mexico, including Canadian softwood lumber, which it argues plays a unique role in residential construction that cannot easily be replaced by domestic sources.
“Increasing the affordability of housing for more people necessitates reducing the costs of building materials through tariff elimination,” the submission emphasizes.
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