US President Trump is expected to push for revisions to the United States–Mexico–Canada Agreement (USMCA) in mid‑2026 to secure more jobs for American workers, Commerce Secretary Howard Lutnick said on CBS’s “Face the Nation” on Sunday.
Lutnick described a review of the trade pact as a natural move. Under its rules, the USMCA can be examined every six years and will lapse after 16 years unless all three countries agree to carry it forward. That next check‑in is due in July 2026.
“I think the president is absolutely going to renegotiate USMCA, but that’s a year from today,” Lutnick said, referring to the July 2026 milestone. He stressed that Trump wants any vehicle parts now made abroad to shift back to plants in Michigan and Ohio.
“He wants to protect American jobs,” Lutnick added. “He doesn’t want cars built in Canada or Mexico when they can be built here at home.”
Trump negotiated the USMCA to replace the North American Free Trade Agreement in the first term, which was established in 1994. One requirement for USMCA is that 75% of a vehicle’s components be produced within the U.S., Mexico, or Canada to prevent tariffs. The agreement also brought fresh opportunities for U.S. farmers, boosting exports of eggs, poultry, and wheat.
Lutnick praised the president’s broader trade approach, saying Trump is handling tariffs and talks “the right way.”
Lutnick says the next 2 weeks will be historic
He went on to forecast that the next 2 weeks would be historic for U.S. trade. The administration has warned 25 trading partners that if they do not reach deals by August 1, they will face higher tariffs on American imports.
“The next two weeks are going to be weeks for the record books,” Lutnick told moderator Margaret Brennan. “President Trump is going to deliver for the American people.”
Despite months of negotiations, only a few formal agreements have emerged so far. A CBS News poll released Sunday found that 61 percent of Americans think the US administration focuses too heavily on tariffs. Lutnick countered that the tariff notices have pushed reluctant countries to the bargaining table.
“That’s gotten these countries to the table, and they are going to open their markets or they’re going to pay the tariff,” he said.
Smaller nations will likely be faced with a 10 percent baseline fee on their imports, while larger partners could see steeper rates. One key negotiation involves the EU, which last year exchanged $975.9 billion in goods, more than with any single nation.
In April, Trump briefly imposed 20 percent duties on EU exports. He now warns he will raise those to 30 percent for anything arriving after August 1 if no deal is reached. European leaders expect to strike an agreement but have prepared their own retaliatory measures set to begin on the same date.
“I am confident we’ll get a deal done,” Lutnick said after speaking that morning with a senior EU trade official.
North America’s two largest U.S. partners, Mexico and Canada, were also told to brace for higher levies, 35 percent for Canadian goods and 30 percent for Mexican goods, up from the 25 percent rate imposed early in Trump’s term. Trump has linked those tariffs to efforts to curb illegal border crossings and fentanyl trafficking.
Lutnick noted that while Canada has tightened its controls, little fentanyl crosses from the north. He said the president’s message is clear: “Stop this fentanyl and close the border, or tariffs will remain.”
However, products under the USMCA are exempt from these new charges, sparing most items imported through the US and Mexico-Canada borders from fresh duties.
Cryptopolitan Academy: Coming Soon – A New Way to Earn Passive Income with DeFi in 2025. Learn More
