New USMCA rules change how North American auto parts and textiles are counted

The US, Mexico, and Canada have updated their trade rules for how goods like car parts and clothing move between them. These changes define which goods qualify for lower tariffs and how companies must keep records.

The new rules clarify what counts as a North American product for trade purposes. This means manufacturers in all three countries will need to adjust their supply chains and record-keeping to meet the new definitions. It also means that some goods that previously qualified for lower tariffs might not anymore, and vice-versa.