NAFTA is being replaced by USMCA (CUSMA) on July 01.2020

Global Affairs Canada have announced that the Canada-United States-Mexico Agreement (CUSMA, or USMCA as it is known in the U.S.A.) is scheduled to replace the existing NAFTA agreement.

From Global Affairs Canada:

The Canada-United States-Mexico Agreement (CUSMA) is scheduled to enter into force onJuly1,2020, replacing the North American Free Trade Agreement (NAFTA). There will be no transition period.

We urge all of our customers to contact their suppliers of U.S.A. and Mexican origin goods and services to confirm that they have verified that any goods and services that currently qualify under NAFTA will continue to qualify under CUSMA/USMCA.

If you are exporting goods and services to U.S.A. or Mexico you must also verify that your goods and serviceswill continue to qualify under the new agreement.

Many of the goods that currently qualify under NAFTA will continue to qualify under the new agreement (some notable exceptions are automobile sector, agricultural sector and others). However it is criticalthat all goods and services be reviewed to make certain that they do continue to qualify under the new agreement.

Another important item to note is that the current NAFTA Certificate of Origin will no longer be valid effective July 01st.Both CBSA and CBP have made it very clear that they will not accept NAFTA certificates for goods declared under the CUSMA/USMCA agreement.

The NAFTA certificate is replaced by a CUSMA/USMCA Origin Declaration.There is no set format for this declaration however it must contain the 9 Minimum Data Elements set out in the Origin Procedures of the Agreement.

The rules of origin can be found at the following website:

https://www.international.gc.ca/trade-commerce/assets/pdfs/agreements-accords/cusma-aceum/r-cusma-04.pdf

The origin procedures (including the Minimum Data Elements) can be found at the following website:

https://www.international.gc.ca/trade-commerce/assets/pdfs/agreements-accords/cusma-aceum/r-cusma-05.pdf

There is also a link to an information page on the CBSA website (CUSMA: What importers need to know)

https://www.cbsa-asfc.gc.ca/services/cusma-aceum/menu-eng.html

*Note: All details provided in this announcement are for information purposes only