Canada Hopes World Cup Will Pave Way for New US-Mexico Trade Deal

The World Cup as a Diplomatic Opportunity

Canada's sports minister, Adam van Koeverden, has expressed confidence that hosting the World Cup this summer could be the key to agreeing a new trilateral trade deal with the United States and Mexico.

Trade Agreement Review Deadline Approaches

The three World Cup hosts are facing a deadline of 1 July for a mandatory review of the existing free trade agreement between the countries, the USMCA. Initial discussions have been problematic, with Donald Trump suspending formal discussions with Canada last October and floating the idea of scrapping USMCA in favour of separate bilateral trade deals.

Informal Talks During the World Cup

However, van Koeverden believes that informal talks during the World Cup could help smooth the path to a deal, as Trump, Mexican president Claudia Sheinbaum and Canadian prime minister Mark Carney are all due to attend matches.

Economic Benefits of Hosting the World Cup

The Canadian government has forecast a $2bn boost to GDP from staging the World Cup, and has committed to investing $755m in a four-pronged legacy programme to boost participation.

The Future of Canada-US-Mexico Relations

Van Koeverden added that sport is fundamental to Canada's economy and that hosting the World Cup is a great way to demonstrate how powerful sport can be in creating jobs, creating opportunity, showcasing Canada to the rest of the world, and growing the economy.