USMCA auto rules to be staged in over three years, with a two-year extension possible

While auto manufacturers will have three years to meet more stringent rules of origin for passenger vehicles and light trucks under the U.S.-Mexico-Canada Agreement, the text of the deal leaves open the possibility that companies could continue to receive duty-free treatment for some autos for up to five years after USMCA’s implementation under an “alternative staging regime.” Most of the new rules of origin -- which include a 75 percent regional value content threshold for autos, labor value content provisions,...