The United States-Mexico-Canada Agreement, commonly referred to as USMCA, officially replaced NAFTA on July 1, marking a substantial shift in trade policy among the three North American nations. Initiated to modernize the 1994 NAFTA framework, the USMCA aimed to promote fairness and protections for workers while enhancing the comprehensive economic landscape of the member countries. It introduced enhanced labor rights protections, improved environmental standards, and new regulations for technology and digital trade.

Key provisions included measures to raise labor standards in Mexico, ensuring that wages and working conditions improved significantly, which in turn would protect U.S. jobs from being outsourced to countries with lesser regulations. The agreement also instituted stricter environmental rules and protections, addressing concerns over trade practices that adversely affect the environment. Additionally, it emphasized the protection of intellectual property and established new guidelines for agricultural trade designed to benefit U.S. farmers and ranchers.

Negotiations for the USMCA took over a year and involved discussions among various stakeholders and experts to ensure that the new agreement would effectively address current economic realities. With intense debate surrounding its terms, it was endorsed by various interest groups, including labor unions and agricultural entities, marking a shift in how trade agreements could serve to balance the needs of different economic segments within the member countries.