Free Trade

Trump Called the USMCA His 'Best Deal.' Now, He Wants Out of It.

The decision not to renew the USMCA is less dramatic than it might appear. Even so, Trump is exchanging stability for more uncertainty.

Eric Boehm | 7.2.2026 2:30 PM

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When President Donald Trump signed a new North American trade deal during his first term, he celebrated it as "the fairest, most balanced, and beneficial trade agreement we have ever signed into law. It's the best agreement we've ever made."

Six years later, he wants out.

The Trump administration announced Wednesday that it would not renew the United States-Mexico-Canada Agreement (USMCA). That decision seems to have been driven by an ongoing worry about trade deficits between the U.S. and the other two members of the deal.

"The United States will continue to engage with Mexico and Canada to address the Agreement's shortcomings and our trade deficits with these countries," said U.S. Trade Representative Jamieson Greer in a statement.

Wednesday's announcement is significantly less dramatic than it might at first seem. The USMCA will remain in place while further negotiations take place. Compared to some of Trump's........

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