The Toy Association in the United States has called for strengthening manufacturing in the United States-Mexico-Canada Agreement (USMCA).
From its perspective, the benefits of the USMCA are substantial, and it therefore fully supports the extension of this trade agreement.
“The continued success of the Agreement will continue to depend on its effective implementation and enforcement,” it said in a letter sent to the USTR as part of the USMCA consultation that the three countries must conduct by July 1, 2026.
Strengthening manufacturing
The Association asked the Office of the U.S. Trade Representative to urge all Parties to comply with USMCA rules. It also requested that transparent and predictable procedures be maintained for customs administration, rules of origin, and certificates of origin.
According to the toy industry, consistent application of these rules is key. It allows for tariff-free trade, reduces administrative delays, and ensures stable trade flows in North America.
Since its implementation, he added, the USMCA has strengthened coordination between customs and border agencies. It has also improved cooperation on trade compliance and reinforced intellectual property protection. In doing so, it has protected innovation, brand integrity, and product design.
The Association, founded in 1916 as Toy Manufacturers of America, now represents more than 900 companies. Together, these companies drive a toy market valued at $42 billion and contribute an estimated annual economic impact of $155.7 billion.
In his view, the Agreement’s emphasis on regulatory cooperation also promoted the harmonization of safety standards. Similarly, it facilitated testing and certification procedures in all member markets. Thus, it reduced duplication of requirements, promoted uniform consumer protection, and supported fairer and more transparent trade.
Proposals
In view of the above, the Association asked the USTR to carefully evaluate the effects of any changes to the USMCA. In addition, it stressed the need to maintain a stable and predictable agreement that provides certainty to toy manufacturers throughout North America.
He also called for support for policies that strengthen regional manufacturing, boost investment, and reinforce the resilience of the sector’s supply chain. Similarly, he requested continued collaboration with industry stakeholders to maintain agile and efficient cross-border trade.
Finally, he urged the Administration to preserve tariff exemptions for toys that comply with the USMCA. He stated that these measures support investment, innovation, employment, and regional competitiveness for U.S. companies and their North American partners.