By Jose Medina Mora for Brookings
The year 2026 will be a turning point for the prosperity of North American families. Under the USMCA framework, Mexico, the United States, and Canada are preparing for a joint review that will define regional competitiveness. According to José Medina Mora’s analysis for the Brookings Institution, renewing this agreement for 16 years would send a clear signal of global unity. Furthermore, it would consolidate the region as one of the most dynamic economic zones in the world.
The Importance of Mexico in the U.S. Market
Mexico’s relevance is fundamental to the United States economy. During 2025, Mexico was the most important market for U.S. exports, with purchases reaching $337 billion. Critical sectors such as livestock, dairy, steel, and automotive depend directly on Mexican demand.
Consequently, this interdependence currently sustains more than 13 million jobs in U.S. territory. Regional trade is not an isolated competition; rather, it is a deep collaborative structure that benefits all parties involved.
Shared Production and Value Chains
A key highlight is the nature of shared production. Unlike other partners, Mexican exports incorporate a large number of U.S. inputs. For example, a vehicle assembled in Mexico contains, on average, 35% U.S. content. This figure is significantly higher than that of vehicles imported from Europe or Asia.
Geographic proximity facilitates this co-production. In fact, 59% of all Mexican exports are intermediate goods that strengthen manufacturing in the United States. This allows the region to be more efficient and less dependent on distant suppliers.
Toward a Resilient Tech Industry
The article identifies strategic opportunities in high-tech sectors, such as semiconductors. While the U.S. invests trillions in silicon wafer manufacturing, Mexico appears as the ideal partner for assembly, testing, and packaging (ATP).
Currently, over 80% of this supply chain is concentrated in Asia, which creates vulnerability. By integrating the Mexican manufacturing base, North America can create a more secure and resilient production ecosystem against global crises.
Finally, the Mexican private sector proposes four principles to strengthen the USMCA during its review:
- Guarantee duty-free access for all goods.
- Promote regional integration without discrimination.
- Encourage regulatory convergence in industrial sectors.
- Strengthen dispute settlement mechanisms.
In conclusion, the success of the 2026 review will be decisive. It will ensure the region competes successfully against other economies while generating quality jobs.
Reference
Medina Mora, J. (2026, March 4). 2026 is a decisive year for North America. Brookings Institution. https://www.brookings.edu/articles/2026-is-a-decisive-year-for-north-america/