The United States has proposed requiring vehicles built in North America to contain at least 50% U.S.-made content in order to qualify for trade benefits under the United States-Mexico-Canada Agreement (USMCA), according to reports tied to the ongoing review of the pact.
The proposal would also raise the regional content requirement for automobiles to 82%, up from the current 75%. Half of that total would need to come specifically from U.S. suppliers.
The discussions are part of the broader USMCA review process and reflect Washington’s efforts to strengthen domestic manufacturing, particularly in the automotive sector. If adopted, the measure would mark a significant shift in the agreement’s current rules of origin.
Industry observers note that stricter sourcing requirements could lead automakers operating across Mexico, Canada, and the United States to adjust their supply chains, given the region’s highly integrated production network.
Negotiations remain ongoing, and no final decision has been announced regarding potential changes to the trade agreement.
Source: El Diario MX
