As the United States undertakes the six-year review of the US-Mexico-Canada Agreement (USMCA), it is important to remember what the agreement delivers for the broader economy. The USMCA’s digital trade commitments support growth and innovation across every sector. These rules help American manufacturers design safer vehicles, allow farmers to analyze weather and soil data, enable financial institutions to detect fraud, and give creative industries access to global audiences. Millions of jobs rely on the ability to move data securely and efficiently across borders.
More than $1 trillion in US digitally enabled exports depend on trusted cross-border data transfers. When foreign governments impose localization mandates, the cost and complexity of delivering goods and services increase sharply. These burdens fall hardest on small and medium-sized enterprises, which make up 97 percent of US digital exporters and rely on digital tools to reach customers worldwide. Data restrictions don’t promote competition. They often entrench dominant local incumbents and make it harder for new entrants to scale.
Digital Trade Supports a Competitive, Innovative North America
The USMCA’s digital trade rules prevent discriminatory barriers, promote interoperable standards, and create a stable environment for businesses to invest and grow. They strengthen supply chains, reduce fragmentation, and ensure that North American industries can compete globally on quality, security, and innovation rather than on regulatory duplication.
Critical to America’s AI Leadership
Access to diverse, global datasets is essential for responsible AI development. U.S. companies and public agencies rely on this data to train, evaluate, and improve AI systems that support sectors such as agriculture, manufacturing, clean energy, cybersecurity, and healthcare. Without access to global data, artificial intelligence (AI) systems become less accurate, less reliable, and less competitive. Maintaining strong digital trade rules helps ensure that North America remains a leader in the development and deployment of advanced AI technologies.
Importantly, the USMCA does not restrict Congress from advancing new AI or privacy legislation. Policymakers retain broad authority to establish robust guardrails, strengthen consumer protections, and shape the long-term governance of emerging technologies.
Strengthening America’s Strategic Position
The US has long championed open, trusted data flows as essential to economic security and technological leadership. Upholding these commitments signals confidence in American innovation and helps ensure that global standards evolve in ways that reflect shared democratic and economic interests.
A Framework to Build Upon
As policymakers evaluate the USMCA’s performance, its digital trade provisions offer a foundation for the next generation of North American competitiveness. Building on these rules will help secure jobs, strengthen economic resilience, and keep the region at the forefront of innovation.