Maintain Georgia’s economic momentum by renewing USMCA trade agreement
Every day, goods made in Georgia move across North America. They roll off the auto lines in West Point, lift from aerospace hubs on the coast, and move through the freight corridors serving the Port of Savannah and Hartsfield-Jackson Atlanta International Airport. Cars, aircraft parts and industrial equipment built here travel seamlessly to customers in Mexico and Canada.
That system works because it’s anchored by the United States-Mexico-Canada Agreement, better known as the USMCA.
With the three countries preparing for an upcoming review of the USMCA, Georgia has a great deal at stake. Renewing the agreement — while making sure each country meets its obligations and improving a few targeted areas — is essential to maintaining the state’s economic momentum.
USMCA, which replaced the 25-year-old North American Free Trade Agreement, known as NAFTA, in 2020, modernized the continent’s trade rules for a far more advanced and interconnected economy than existed in the 1990s.
It strengthened “rules of origin” — the requirements that determine how much of a product must be made in North America — to keep manufacturing rooted in the region, added a digital trade chapter and set clearer, more enforceable standards across industries. It also provided the certainty companies need to invest, plan production and coordinate supply chains across borders.
Georgia’s main exports to North American neighbors
The results are clear. Trade among the United States, Mexico and Canada has grown by 50% since USMCA took effect. The agreement has deepened North American economic integration and given Georgia firms a stable framework to participate in a continentwide supply chain.
More than a quarter of Georgia’s goods exports — $13 billion in 2023 — now go to Canada and Mexico, supporting more than 71,000 jobs statewide. Canada and Mexico bought $7.8 billion and $4.9 billion in Georgia-made goods last year, respectively, making them two of our most important markets.
Georgia’s export mix to these partners reflects the strength of its industrial base: cars, bulldozers, aircraft parts, electrical equipment and other high-value manufactured goods.
These industries depend on being able to move components across borders with minimal friction.
Consider a Georgia-made auto sensor. It might be produced in West Point, shipped to Mexico to be built into a wiring harness, then returned for calibration and final assembly. The finished vehicle is then exported to Canada.
That kind of back-and-forth is possible only when the trade rules are clear and consistent. When they’re not, costs rise, delays increase and competitiveness suffers.
Consistency keeps trade fair and predictable
That’s why renewing the USMCA during the upcoming joint review is so important. The agreement provides the stable, predictable standards that keep North American production running smoothly — to the benefit of all three countries.
Closer alignment among the United States, Canada and Mexico also strengthens our ability to address unfair trade practices, protect key industries and keep essential supply chains within the region. That shared strength is one reason the USMCA remains indispensable to Georgia’s economy.
The review also offers a chance to reaffirm that each country is living up to its commitments. USMCA established clear rules for manufacturing, agriculture, digital trade and customs procedures.
Consistent enforcement keeps trade fair and predictable — especially for small and midsize Georgia manufacturers that rely on certainty.
For Georgia, the stakes are straightforward. USMCA supports tens of thousands of jobs and billions in exports. The upcoming review is an opportunity to renew the agreement for another 16 years and secure the integrated trade system our state depends on.
Chris Scheve is a former executive director of the Republican Party of Cobb County and former senior policy adviser at the U.S. Department of Commerce.
