Part 6/8:
A significant positive milestone recently occurred when the U.S. reaffirmed its commitment to the Canada-U.S.-Mexico Agreement (CUSMA). The U.S. clarified that Canadian exports compliant with CUSMA (or KOSMA, its other acronym) will not be subject to the AIPA tariffs.
The Implication of the U.S. Commitment
This reassurance effectively sets the U.S. tariff rate on Canadian goods at 5.6%, compared to the global average of 16%. It also means that over 85% of Canada-U.S. trade remains tariff-free—making Canada's trade agreement with the U.S. the most favorable among all its trading partners.