Mexico is entering the upcoming USMCA review from a relatively solid position, according to the Mexican Institute for Competitiveness, known as IMCO. The organization said that around 88% of Mexican exports to the United States currently meet the trade agreement’s requirements.
IMCO noted that the USMCA remains an important framework for North American economic integration and for Mexico’s competitiveness in the U.S. market. However, it also pointed out that some industries, including steel, aluminum and automotive manufacturing, continue to face a more challenging trade environment.
At a press conference, IMCO Director General Valeria Moy said she sees a low likelihood of the United States withdrawing from the agreement. She argued that such a decision would require congressional involvement in the U.S. and would also raise practical challenges, given the region’s deeply integrated supply chains.
IMCO also said Mexico should oppose proposals that would favor exclusively U.S.-made content, arguing that such measures would weaken the regional nature of the agreement.
For the review process, the institute recommended using broader indicators to assess Mexico’s position in trade with the United States. These include sector-level trade reciprocity, effective tariff costs for importers, compliance with rules of origin and Mexico’s role in the U.S. trade deficit.
Source: Enfoque
