Economy February 11, 2026

White House Discussions Include Possible U.S. Exit From North American Trade Pact

Internal talks reportedly touch on withdrawal as officials keep options open ahead of a mandatory July review

By Avery Klein
White House Discussions Include Possible U.S. Exit From North American Trade Pact

President Donald Trump has privately explored the option of withdrawing from the United States-Mexico-Canada trade agreement he ratified in his first term, according to people familiar with internal White House discussions. Administration officials say they are weighing several courses of action while pursuing renegotiation on outstanding issues ahead of a mandatory review on July 1.

Key Points

  • President Trump has privately asked aides to evaluate the implications of withdrawing from the North American trade agreement he signed in his first term - this inquiry has not produced a final decision.
  • A White House official framed the discussions as part of the president’s effort to secure better deals for Americans and warned that pre-announcement speculation is baseless.
  • An official from US Trade Representative Jamieson Greer’s office said simply renewing the 2019 terms is not in the national interest; the administration intends to keep options open and pursue negotiated fixes to identified issues (affecting trade and defense-related considerations).

Overview

President Donald Trump has asked aides to assess the potential consequences of pulling the United States out of the North American trade agreement he signed during his first term, according to people familiar with the matter who spoke on condition of anonymity. Those discussions are reported to be private and exploratory; the president has not made a definitive decision to withdraw.


Administration posture

A White House official, briefing on the reported conversations, characterized the president as someone who is continually seeking better arrangements for American interests and said that speculation about actions taken prior to any formal presidential announcement is unfounded. Separately, a representative from US Trade Representative Jamieson Greer’s office signaled that simply reverting to the 2019 terms of the agreement would not align with the national interest and described the administration’s approach as keeping a range of options available while attempting to address identified shortcomings through negotiation.


Process and timeline

The trade pact between the United States, Mexico and Canada is subject to a mandatory review before a possible extension on July 1. What had been expected to proceed as a routine review has instead turned into a more contentious set of negotiations. Reported internal pressure from the president includes demands for additional trade concessions from both neighboring countries and negotiations that extend to issues beyond trade - including migration, drug trafficking and defense.


Sources and limits of reporting

Officials who commented did so anonymously and did not explicitly confirm whether the president is actively considering a formal withdrawal from the agreement. The description of discussions is limited to what those anonymous sources provided; no formal policy decision has been announced.


Implications

The administration has signaled a dual track of reserve authority - retaining the option of withdrawal while engaging in talks intended to modify or remedy the administration’s stated concerns with the current terms. The mandatory July 1 review provides a near-term procedural milestone for any change in the relationship among the three countries, though reported conversations indicate that internal debate remains unresolved.

Risks

  • Uncertainty over whether the United States will withdraw from the pact - raises near-term policy risk for cross-border trade and investment decisions in North America.
  • Contentious negotiation dynamics - the review process ahead of the July 1 deadline has become more fraught, with demands for additional concessions and linkage to non-trade issues such as migration and drug trafficking, creating negotiation risk.
  • Limited clarity from anonymous officials - comments from unnamed sources mean there is ambiguity around the administration’s intent and timeline, sustaining political and market uncertainty.

More from Economy

U.S. Trade Office to Open Broad Section 301 Reviews Covering Major Partners Feb 20, 2026 Supreme Court Term Spotlight: High-Stakes Cases Shaping Law and Policy Feb 20, 2026 Trump Vows Fresh 10% Global Tariff After Supreme Court Limits His Trade Authority Feb 20, 2026 Supreme Court Ruling Narrows Presidential Tariff Options, Treasury Secretary Says Feb 20, 2026 Supreme Court Curbs Emergency Tariff Authority, Sparking Market and Policy Reactions Feb 20, 2026