In 2026, the USMCA will undergo an open-ended review that could result in anything from minor changes to significant renegotiations. Nonresident fellow Simon Lester discusses this unprecedented process and argues that the U.S. and Mexico must follow Canada’s lead in starting preparations.
While the U.S. has tried to appear assertive in taking action against China’s trade practices, this strategy has yielded limited results. In a new commentary, fellow Simon Lester summarizes current U.S. policies addressing China’s trade conduct and advocates for the U.S.’ revitalized engagement with the World Trade Organization’s dispute settlement system.
The Office of the United States Trade Representative recently stepped back from ongoing negotiations on digital trade at the World Trade Organization, citing unsettled domestic policy, and suspended support for digital trade rules in the Indo-Pacific Economic Framework too. But if the U.S. wants to be a part of the conversation, it should reengage and help craft rules flexible enough to meet its future domestic policy needs, writes nonresident fellow Simon Lester.
Despite recent claims that “free trade is dead,” fellow Simon Lester explains that America was never close to anything resembling free trade in the first place. Instead, current U.S. trade policy, just like past policy, reflects a messy mix of free market and industrial policy views.
With the recent enactment of the CHIPS and Science Act, the conversation about industrial policy has started up again. Are state-directed economic policies back, and will such initiatives work?