NAFTA May Be Replaced by USMCA: What Would That Mean for Your Taxes?

On September 30, 2018, representatives from Canada, Mexico and the United States of America (the “U.S.”), announced that after thirteen months of intense negotiations, the three countries reached a preliminary agreement. This agreement revises the terms of the North American Free Trade Agreement (“the NAFTA”).

The full text of the proposed agreement was published by the U.S. government on October 1, 2018, under the name The United States – Mexico – Canada Agreement (“the USMCA”). Rather than being an amendment to NAFTA, the USMCA is a restatement that supersedes NAFTA.

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