U.S. Trade Representative Jamieson Greer outlined a set of criteria that Canada must fulfill to extend the Canada-U.S.-Mexico Agreement (CUSMA) during the upcoming review next year. This marks the first public disclosure of the Trump administration’s expectations for Prime Minister Mark Carney to secure the agreement’s long-term continuation.

Greer, addressing Congress, indicated that while CUSMA has shown some success, modifications are necessary before President Trump considers extending it for another 16 years or opting for yearly reviews, a scenario Canada prefers to avoid due to yearly uncertainties. Greer emphasized that simply endorsing the agreement without addressing its shortcomings is not in the national interest.

Highlighting the surge in American exports to Canada and Mexico by 56% since 2020, Greer underlined the need for addressing identified issues before recommending renewal to the President. This stance contrasts with Trump’s earlier praise of CUSMA as the “best agreement we’ve ever made.”

Greer specifically pointed to two key Canadian policies for scrutiny: the Online Streaming Act and the supply-managed dairy sector. He stressed the importance of enhancing “market access for U.S. dairy products” and rectifying issues related to Canadian dairy exports to ensure a successful CUSMA review.

Moreover, Greer called for revisions to the Canadian streaming legislation, alleging discrimination against U.S. tech and media firms. Addressing provincial bans on U.S. alcohol distribution was also emphasized, citing the significant impact on companies like Brown-Forman, which witnessed a substantial decline in Canadian sales.

While Greer’s document did not address the lifting of section 232 tariffs imposed by Trump on critical Canadian sectors, it acknowledged the concessions made by Canada, including repealing the Digital Services Tax and rolling back retaliatory tariffs to seek tariff relief. Additionally, Greer highlighted the need for Canada to rectify discriminatory procurement practices and customs registration complexities affecting U.S. exports.

Greer hinted at the possibility of separate bilateral deals with Canada and Mexico instead of a comprehensive trilateral pact, although he emphasized collaborative efforts on continental-wide issues like rules of origin and economic security alignment with all three partners. The general sentiment from North American business and labor groups, as indicated by Greer, is in favor of extending the agreement with improvements.