Marketplace Morning Report What's next for the USMCA?
Mar 27, 2026
Lori Wallach, director of Rethink Trade and trade policy expert, breaks down what went wrong with the USMCA. She discusses why it failed to revive U.S. manufacturing and rising trade deficits. Topics include where negotiations stand, Mexico’s low wages, Canada’s EV policies, and political prospects for renegotiation.
AI Snips
Chapters
Transcript
Episode notes
Repeat Tech Layoffs Drive Survivor Anxiety
- Tech layoffs increasingly repeat: Zeddy found almost a third of tech companies did at least two rounds of layoffs from 2023 to 2025.
- Kimberly Adams cites Zeddy and experts describing rising survivor anxiety, morale drops, and 20% productivity decline after layoffs.
USMCA Failed To Deliver Jobs Or Balanced Trade
- The USMCA has not delivered its promised boost to U.S. manufacturing jobs and has coincided with a larger trade deficit with Mexico and Canada.
- Lori Wallach says the pact left Mexican wages too low, undermining the goal of higher regional wages that would rebalance trade and spur U.S. manufacturing.
Raising Mexican Wages Is Central To Any Fix
- Fixing the USMCA requires addressing low wages in Mexico and adding rules to block imports from countries that undercut labor standards.
- Wallach suggests a renegotiation could add enforcement and external tariffs to protect a high-wage North American market.