The U.S.-Mexico-Canada Agreement (USMCA): Some Surprising Outcomes in Procurement

Abstract

The Trump administration recently released the proposed text of the U.S.-Mexico-Canada Agreement (USMCA), a major regional trade agreement that, if ratified, would replace the North American Free Trade Agreement (NAFTA). While the government procurement chapter of the proposed USMCA was largely a copy-and-paste from the abandoned Transpacific Trade Agreement (TPP), the procurement chapter of the USMCA did contain a few major surprises -- including the omission of Canada. This article reviews the background to the USMCA, some of the most important elements of the agreement, and the lessons learned for future international cooperation in procurement policy and law.

JEL Classification: F13, H57