On March 13, 2020, the Canadian Parliament approved the U.S.-Mexico-Canada Agreement (the “USMCA” in the United States or “CUSMA” in Canada), with Royal Assent, Canada’s equivalent to a U.S. presidential signature, following shortly thereafter. As a result, Canada became the final of the three countries to approve the revised NAFTA free trade agreement. Before implementing the USMCA, the member countries must take a number of additional steps including developing uniform regulations, approving the rules of the other countries, and assessing progress toward meeting certain commitments (for example, certain labor courts to be established in Mexico).

After the last party has issued its notification that the necessary additional steps have been completed, the USMCA will replace NAFTA and become effective on the first date of the third month after that notification. At this time a deadline for such notification has not been set and there is speculation that the process may be slowed by the COVID-19 pandemic.