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gray vehicle being fixed inside factory using robot machines

U.S. trade commission launches review of USMCA automotive rules of origin

The U.S. International Trade Commission (ITC) has opened an investigation into automotive rules of origin under the United States-Mexico-Canada trade agreement (USMCA) to assess “impact on the U.S. economy,” competitiveness, and how the rules fit “recent technology changes.” USMCA requires 75% North American content for duty-free U.S. access, plus labor value rules requiring 40% of passenger car content (45% for pickups) be made in the U.S. or Canada using “core parts” such as engines and transmissions. The ITC will hold a public hearing later this year and issue a report by July 2027.