Industry Stakeholders Discuss State of USMCA at US Trade Representative Hearing

Holland & Knight Alert LLP
December 11, 2025
Category: Business & Politics
Region: Canada, United States

The Office of the US Trade Representative (USTR) held a hearing regarding the six-year review of the United States-Mexico-Canada Agreement (USMCA). Though some stakeholders advocated for maintaining the current framework, many called for targeted updates. Despite varied perspectives, there was broad consensus that USMCA should be preserved. Transshipment and circumvention of Section 232 tariffs emerged as recurring concerns, particularly from the automotive, steel and aluminum, and wood and lumber sectors. …Stakeholders from the wood products, millwork and cabinetry industries raised serious concerns about how USMCA’s current rules of origin are being exploited to circumvent U.S. trade remedies and undermine domestic manufacturers. …The organization’s representative urged the adoption of Labor Value Content (LVC) rules for wood products modeled after those used in the automotive sector to ensure that qualifying goods reflect substantial North American production and fair labor practices.

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