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AFIA Concerned by USMCA Non-Renewal Decision

The American Feed Industry Association (AFIA) has expressed concern over the Office of the US Trade Representative’s decision not to renew the US-Mexico-Canada Agreement (USMCA) as of 1 July, warning that the lapse risks introducing uncertainty into one of North America’s most successful agricultural trade partnerships.

“We have reservations about the administration’s decision not to renew the USMCA at this time,” said Constance Cullman, AFIA President and CEO. “The USMCA has provided the confidence and predictability that the US animal feed and pet food industries need to invest, plan and compete.”

Industry impact

Animal feed exports to Canada and Mexico have grown from approximately US$2.3 billion in 2020 to over US$3.3 billion in 2024, according to AFIA data. The association joined the Agricultural Coalition for USMCA earlier this year, alongside hundreds of agricultural organisations across the country.

Cullman noted that while bilateral agreements may address specific issues, “they cannot fully replicate the efficiencies of a single, integrated North American market.” Moving away from the USMCA, she said, “risks creating unnecessary complexity and uncertainty for businesses that rely on seamless trade with Canada and Mexico.”

Looking ahead

The USMCA will remain in effect unless the United States formally withdraws, but annual reviews through 2036 would erode the predictability businesses need, the AFIA stated. The association urged the administration to prioritise negotiations now to secure a long-term renewal.

“We appreciate Ambassador Greer’s indication that discussions are continuing, and remain hopeful the administration can preserve the strong trilateral partnership that has made the USMCA such a success for US agriculture,” Cullman added.

The AFIA said it will continue to highlight the critical need for a trilateral trade agreement as the administration considers next steps.

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