Mexican Consul General Carlos Iriarte Mercado, left, and Canadian Consul General Bernadette Jordan speak to an audience of AIM members about the US-Mexico-Canada Trade Agreement. 

The consuls general of Canada and Mexico today strongly endorsed renewal of the United State-Mexico-Canada trade agreement (USMCA), which they said has made North America the most dynamic economic region in the world.

Canadian Consul General Bernadette Jordan and Mexican Consul General Carlos Iriarte Mercado told an audience of AIM members that USMCA has increased trade among the three nations, promoted international supply chains and provided certainty to international commerce.

Their comments came three weeks after the U.S. declined to extend USMCA by 16 years. The pact remains in effect but is now subject to annual reviews until renewal or expiration in 2036.

It also came two days after US President Donald Trump imposed 50% tariffs on most Canadian goods, declaring that Canada has unfairly discriminated against American autos, alcohol and dairy products.

“USMCA provides the certainty that businesses need – predictable rules, integrated supply chains and the confidence to invest, hire and grow. The benefits of the agreement are real and measurable,” said Jordan, who noted that Canada buys more goods from the United States than from China, Japan and Germany combined.

Iriarte Mercado said that the three nations of North America represent 30 percent of worldwide GDP, but that the significance of USMCA transcends economics.

“The relationship between Mexico and the United States is not defined by just agreements, trade and exchange, but rather by time, respect and a shared vision,” he said.

Iriarte Mercado added that manufacturing in Mexico compliments rather than competes with manufacturers in the US. For example, some one million Mexican auto workers depend on cross-border supply chains.

Both consuls acknowledged the fraught nature of current trade relations with the US. Jordan said many Canadian industries “are really hurting” because of tariffs, an irony given the long history of collaboration between the two nations on trade, national security and border issues.

“One of the things Canada is doing is building our own resilience…73 percent of our trade is with the United States, and we have to start looking at other markets.”

AIM supports renewal of USMCA because it helps Massachusetts companies sell products and services to both Canada and Mexio.

“The relationship we share with our closest neighbors is critical to the region’s economy. Canada and Mexico are among the Commonwealth’s largest trading partners, and the United States-Mexico-Canada Agreement (USMCA) underpins the deeply integrated supply chains, investment flows, and cross-border commerce that support employers and workers across North America,” said AIM President and CEO Brooke Thomson during introductory remarks.

“With the agreement now entering its formal review, the months ahead will help define the next chapter of North American trade.”