August 8, 2019
The USMCA or so called T-MEC, a multilateral international treaty between the United States, Mexico and Canada, created to replace the North American Free Trade Agreement (“the NAFTA”) and signed by all parties on 30 November 2018, the day before President Peña Nieto´s administration ended has been ratified in Mexico.
The T-MEC included an agreed Protocol, namely the Protocol replacing the North American Free Trade Agreement with the Agreement between the United States of America, the United Mexican States, and Canada. This purpose of the Protocol is to determine how and when the T-MEC will come into force.
In June 2019, the Mexican Senate ratified the Protocol and the T-MEC. Last week, the Mexican Senate published its decision to approve the Protocol in the Official Gazette of the Federation, making Mexico the first country to officially notify the other parties that it has completed its internal procedures for entry into force. While the United States and Canada have still not provided such written notification, this is an important step that may encourage them to do so in the near future.
Once the parties have completed their internal procedures required for entry into force of the Protocol, they must notify the other parties in writing. The T-MEC will then come into force approximately three months later.
T-MEC will have a considerable impact in the domestic legislation; therefore, the developments will continue to be monitored and informed by OLIVARES partners and associates.