Canadian Foreign Minister Anita Anand and Mexico’s Foreign Affairs Secretary Roberto Velasco Álvarez announced an investment of approximately $12 million [1] to advance the Canada-Mexico Action Plan.

The move comes as both nations seek to maintain the stability of the Canada-United-States-Mexico Agreement (CUSMA) amid growing uncertainty. The U.S. has decided to conduct annual reviews of the pact rather than extending the deal in its current form [2].

Anand and Velasco Álvarez said they are aligned on preserving the trade agreement to ensure the continued flow of goods and services across North American borders. The $12 million [1] investment is intended to bolster security and cooperation between the two nations as they navigate the shifting trade landscape.

This strategic alignment follows reports that the U.S. declined to extend the trade deal with Canada and Mexico [2]. The decision to move toward annual reviews creates a volatile environment for businesses and governments that rely on long-term regulatory certainty, a challenge both Canada and Mexico are now addressing through bilateral cooperation.

Officials said the joint investment in the Action Plan serves as a mechanism to strengthen the partnership independently of U.S. fluctuations. By coordinating their positions, Canada and Mexico aim to present a united front in negotiations to protect the benefits of the regional trade bloc.

The cooperation emphasizes a shared interest in regional stability. While the U.S. maintains the power to initiate reviews, the joint efforts between Ottawa and Mexico City suggest a desire to mitigate the impact of potential policy shifts from Washington.

“Canada and Mexico are aligned on preserving CUSMA”

The shift toward annual CUSMA reviews by the U.S. removes the long-term predictability that typically governs international trade agreements. By investing in a bilateral action plan, Canada and Mexico are attempting to create a secondary layer of stability and diplomatic leverage, signaling that they will coordinate their strategies to prevent the erosion of North American trade integration.