U.S. Commerce Secretary Howard Lutnick said the USMCA with Canada and Mexico must be re‑worked before its review, calling Canada’s strategy the worst he’s heard.

The comment comes as Washington prepares for bilateral talks with Ottawa and Mexico, and as the USMCA faces its first formal review since 2020, raising questions about future tariff schedules and market access for American exporters.

Lutnick made the remarks on Friday, April 16, 2026, during the Semafor World Economy Summit, a gathering of business leaders and policymakers that draws global attention.

"They suck," Lutnick said.

"That is the worst strategy I've ever heard," he said.

"The deal needs to be reconsidered ahead of the USMCA review," he said.

The USMCA review, mandated by the agreement’s ten‑year clause, will examine labor, environmental, and digital‑trade provisions, and could trigger renegotiation triggers if member nations fail to meet agreed benchmarks.

U.S. exporters watch closely because any shift in rules of origin or tariff rates could affect automotive parts, agricultural products, and technology shipments that flow across the border.

**What this means:** Lutnick’s blunt assessment signals that the administration may press for changes that favor U.S. industries, potentially complicating negotiations with Canada and Mexico. If the review leads to amendments, businesses on all three sides could see altered supply‑chain dynamics and new compliance requirements.

“"They suck."”

Lutnick’s blunt assessment signals that the administration may press for changes that favor U.S. industries, potentially complicating negotiations with Canada and Mexico. If the review leads to amendments, businesses on all three sides could see altered supply‑chain dynamics and new compliance requirements.