Rules of Origin Gain Importance in North American Trade

Rules of origin could become a major focus of international trade discussions in 2027 as the United States seeks to expand regional manufacturing and reduce its reliance on Asian supply chains.

Mexico’s Economy Minister Marcelo Ebrard said where products and components are made is likely to play a growing role in determining access to preferential trade treatment.

The issue is already part of Mexico-U.S. discussions surrounding the USMCA review. Talks have included possible changes for industrial goods, particularly in the automotive sector, as well as measures designed to increase North American content.

Mexico, the United States, and Canada agreed in July to keep the USMCA in place through at least 2036, with annual reviews. Ongoing discussions also cover automotive trade, steel and aluminum, economic security, and regional supply chains.

Ebrard said efforts to shift electronics and semiconductor production closer to the U.S. market could create additional investment and manufacturing opportunities in Mexico.

As sourcing requirements become more important, companies may face greater pressure to document where their products and components are manufactured in order to qualify for regional trade benefits.

Source: Forbes México

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