General Motors Canada says renewing the Canada-United States-Mexico Agreement (CUSMA) is essential to maintaining a competitive and integrated North American auto industry, as questions mount over the future of the trade pact.
Speaking at the Calgary Stampede, General Motors Canada President and Managing Director Jack Uppal said CUSMA has been instrumental in strengthening cross-border supply chains, manufacturing and trade across Canada, the United States and Mexico.
“CUSMA is very important,” Uppal said, noting that the agreement helps North America’s automotive sector compete with global rivals while supporting the region’s highly integrated manufacturing network.
His comments come after U.S. President Donald Trump said the United States would not support a full extension of CUSMA through 2042. Instead, Trump proposed annual reviews of the agreement. Without an extension, the current deal is set to expire in 2036.
Last month, Trump also suggested the United States might be “better without” CUSMA, raising further uncertainty about the future of the trilateral trade agreement.
Asked whether Washington could withdraw from the deal, U.S. Ambassador to Canada Pete Hoekstra said all options remain on the table, noting that any member country can leave the agreement by providing six months’ notice.
Despite the uncertainty, Uppal said General Motors continues to monitor tariffs closely while working to protect affordability for consumers.
He said the company’s priority is to manage costs without passing unnecessary price increases on to customers, emphasizing that affordability remains one of the biggest challenges facing the automotive sector.
General Motors finished the first half of 2026 as Canada’s best-selling automaker, capturing a 15.4 per cent market share with 148,640 vehicles sold. The company also reported more than 30 per cent year-over-year growth in electric vehicle sales, including similar growth in Alberta, where EV adoption has traditionally lagged behind other provinces.
Uppal said Canadian consumers continue to demand greater vehicle choice, advanced technology and improved connectivity, adding that GM remains focused on delivering value despite ongoing geopolitical and trade uncertainty.
He expressed confidence that negotiations among Canada, the United States and Mexico will eventually provide greater certainty around CUSMA’s future.
Meanwhile, Canadian Trade Minister Dominic LeBlanc said he and Mexico’s Economy Secretary sought clarification from U.S. Trade Representative Jamieson Greer on how the proposed annual review process would operate. While no detailed framework was provided, all three countries agreed to continue discussions in the coming weeks.
Although the review process could continue annually for up to a decade, the future structure of CUSMA remains unclear. Industry leaders say the agreement continues to play a vital role in supporting Canada’s automotive sector and preserving the integrated North American manufacturing market.
