During a visit to Detroit, Michigan, U.S. President Donald Trump stated that the United States-Mexico-Canada Agreement (USMCA) is "irrelevant" to the U.S., while asserting that Canada desires the agreement. Trump made the remarks on Tuesday, emphasizing his push for companies to repatriate manufacturing operations.

Trump stated, "There's no real advantage to it; it's irrelevant," referring to the trade agreement. He further added, "Canada would love it. Canada wants it. They need it."

The USMCA, a trade pact between the United States, Mexico, and Canada, succeeded the North American Free Trade Agreement (NAFTA). It governs trade and investment between the three countries. The agreement aims to eliminate barriers to trade, promote fair competition, and increase investment.

Detroit's major automakers, including Ford, General Motors, and Stellantis, rely heavily on supply chains that involve significant parts production in both Mexico and Canada. These companies also produce hundreds of thousands of vehicles annually in both countries. The automotive industry's integrated supply chains across North America highlight the potential implications of any disruptions to the USMCA framework.

The President's comments raise questions about the future of trade relations between the U.S., Canada, and Mexico. His stance contrasts with the views of some industry stakeholders who see the USMCA as a crucial framework for maintaining stable trade and investment flows within the region. The implications of potentially altering or abandoning the agreement could have far-reaching effects on various sectors, particularly the automotive industry, which has established complex and interconnected supply chains across the three countries.