U.S. Trade Representative Jamieson Greer declared on July 15, 2026, that he has a direct mandate from President Donald Trump to ensure the USMCA review includes tariffs, quotas, or other mechanisms to control the bilateral trade deficit, which hit a record $197 billion in 2025.
Greer made these remarks at the Aspen Security Forum in Colorado, where he described Mexican officials as "quite pragmatic" and announced that a USTR technical delegation would travel to Mexico to continue negotiations. According to El Financiero, Greer explained that the White House views the deficit as a problem driven by global distortions including subsidies, overcapacity, and unfair trade practices.
The U.S. proposal includes tightening rules of origin in strategic sectors. In the automotive sector, the aim is to raise regional content requirements and demand that a higher share of components come from the United States. Stricter criteria are also proposed for electronics, pharmaceuticals, and industrial goods. Trade adviser Peter Navarro alleged at the same forum that vehicles assembled in Mexico contain Chinese components being passed off as North American content, according to Aristegui Noticias.
The third formal round of USMCA negotiations is scheduled for the week of July 20, 2026, in Mexico City. In contrast to talks with Canada, which have stalled without progress, Greer stated that negotiations with Mexico are moving forward. U.S. agricultural sectors sent a letter to the USTR requesting that agri-food trade remain tariff-free.
What began as a modernization exercise has become a full renegotiation that resets the terms of access to the U.S. market. The third round in the Mexican capital will define the room for maneuver available to all three countries in a process set to run through 2036, with annual reviews.
This article was drafted with artificial intelligence assistance from verified sources and reviewed by a human editor before publication.