USMCA: “emergency response” subcommittee

Mexico, the United States and Canada agreed to create an «emergency response» subcommittee under the North American Competitiveness Committee of USMCA, according to a USTR statement.

The USMCA Free Trade Commission directed the North American Competitiveness Committee to establish a Trilateral Coordination Subcommittee on Emergency Response (“Subcommittee”) to share information and coordinate activities related to issues affecting trade in response to an emergency situation.

The Commission expects each Party to designate a contact point for the Subcommittee and notify the other Parties of the contact point within 30 days of the date this Decision enters into force and promptly notify the other Parties. about any subsequent changes to your point of contact.

Recognizing that the emergency response requires comprehensive risk management in all its phases or stages, the Commission instructs the Subcommittee to agree within 180 days from the effective date of this Decision, and annually from then, unless the Subcommittee decides otherwise.

The Subcommittee may:

• Consider any matter that affects the operation of this Decision to encourage greater coordination and consultation between the Parties.
• Establish, as appropriate, technical working groups in specific areas related to responding to emergencies affecting North American trade flows and the continuity of supply chain operations.
• Participate in other activities that the Parties decide.

USMCA

According to the statement issued by the USTR, The Covid-19 pandemic exposed serious gaps in the three countries’ responses to disruptions to the flow of trade during emergencies, as well as their understanding of what constitutes critical infrastructure priorities.

From the USTR perspective, increasingly integrated supply chains depend on the shared maintenance of North American trade flows, especially in light of supply chain disruptions caused by the unjust and unprovoked invasion of Ukraine by Russia, as well as the continuing challenges posed by non-market players.

This Commission decision will create important trilateral bodies to enable timely cooperation during emergency situations and to coordinate critical infrastructure priorities.