Optimizing North American Supply Chains in Critical Technologies : The USMCA Digital Advantage

Major developments in technology with geopolitical implications since the updating of the North American Free Trade Agreement (NAFTA) through the US-Canada-Mexico Agreement (USMCA) put the agreement in a new context, magnifying the significance of provisions on governance of the digital economy, which is the foundation for a new economic era that will be defined by the widespread application of artificial intelligence systems. In a context of uncertainties about the eventual contours of the emergent multi-polar geopolitical landscape and its implications for trade in advanced technologies, the North American space promises to be the zone of lowest risk and thus the prime destination for private investment. The USMCA’s strong commitments on digital governance will support the development of an integrated North American digital realm, which will be essential for continued prosperity and security