Glossary
What is USMCA?
USMCA – the United States, Mexico, Canada Agreement is the free trade agreement governing trade between the three countries. It replaced NAFTA on 1 July 2020, keeping duty-free treatment for qualifying goods but tightening the rules that decide what qualifies. |
What changed from NAFTA?
- Tighter automotive rules of origin, with higher regional value content requirements
- A labour value content rule, tying preference to production at specified wage levels
- New chapters covering digital trade and small business
- A joint review mechanism, replacing NAFTA’s open-ended term
Claiming preference under USMCA
There is no prescribed certificate form. A certification of origin can be made on the commercial invoice or another document by the exporter, producer or importer, provided it carries the required minimum data elements. Whoever claims preference must hold that certification at the time of the claim, not produce it afterwards.
Why UK businesses should care
UK goods do not qualify for USMCA preference. But UK companies with manufacturing, assembly or distribution operations in North America sit squarely inside its rules because origin follows where production actually happens, not where the parent company is registered.
iCustoms holds origin evidence against every entry, so a USMCA claim still stands up at audit. |
