Washington DC [US], July 2 (ANI): The United States on Tuesday (local time) declined to renew the United States-Mexico-Canada Agreement (USMCA) in its current form after a mandatory joint review with Mexico and Canada, saying the pact would nevertheless remain in force while the three countries work to resolve outstanding issues.

The development came after representatives of the three countries met virtually as part of the USMCA's six-year joint review mechanism, which requires the parties to assess the operation of the agreement and determine whether to extend it.

Announcing the outcome in a post on X, the Office of the United States Trade Representative (USTR) said, 'Today, the United States, Mexico, and Canada met virtually to discuss the operation of the USMCA. The United States did not agree to renew the USMCA in its current form. However, the Agreement remains in force pending resolution of these issues or until the Agreement's termination.'

In an official statement, US Trade Representative Ambassador Jamieson Greer said the review was conducted in accordance with the agreement's provisions.

Greer said, 'The Agreement between the United States of America, the United Mexican States, and Canada (USMCA or 'Agreement') requires the USMCA Free Trade Commission, composed of government representatives of each Party, to conduct a joint review of the Agreement on July 1, 2026. In accordance with the Agreement, the United States, Mexico, and Canada met virtually today to discuss the operation of the USMCA. '

Outlining Washington's position, Greer said, ' The United States did not agree to renew the USMCA in its current form. As a result, the USMCA is not renewed. The United States will continue to engage with Mexico and Canada to address the Agreement's shortcomings and our trade deficits with these countries. However, the Agreement remains in force pending resolution of these issues or until the Agreement's termination.'

The USTR said the United States will continue negotiations with Mexico as part of the review process. Greer said, 'As previously announced, the United States will meet with Mexico the week of July 20 for a third round of bilateral negotiations related to the USMCA joint review.'

The USMCA replaced the North American Free Trade Agreement (NAFTA) on July 1, 2020. (ANI)