Dawn Desjardins, chief economist at Deloitte, has stated that the upcoming review of the Canada-United States-Mexico Agreement (CUSMA) will not bring major changes for Canada. In a recent interview, she emphasized that while the review opens the door to trade diversity, Canada must increase infrastructure spending to fully capitalize on the opportunity.
Limited Impact Expected from CUSMA Review
Desjardins explained that the CUSMA review, scheduled for 2026, is unlikely to alter the fundamental trade dynamics between the three nations. She noted that the agreement has already provided a stable framework for North American trade, and any adjustments would be incremental. According to Desjardins, "While this opens the door to trade diversity, we need more infrastructure spending to take advantage of the opportunity."
Infrastructure Spending Key to Trade Diversity
The economist stressed that Canada's ability to diversify its trade partners depends heavily on improving transportation and logistics infrastructure. Without significant investment in ports, railways, and pipelines, Canada may struggle to compete in new markets. Desjardins pointed out that the CUSMA review alone will not solve Canada's trade challenges; proactive domestic policies are essential.
Canada's Trade Outlook
Canada's trade with the U.S. and Mexico remains robust, but the review could prompt discussions on digital trade, labor standards, and environmental provisions. Desjardins believes these areas will see modest updates rather than overhauls. She concluded that Canada should focus on building resilience through infrastructure and innovation to thrive in a changing global trade environment.
