Detroit Regional Chamber > Detroiter Magazine > Why Stronger Trade Deals Matter More Than Tariffs

Why Stronger Trade Deals Matter More Than Tariffs

December 23, 2025

In Michigan, we’re proud of our partnership with our Canadian neighbors. Our two countries share a deep-rooted friendship and trade relationship that is vital to our national security and economy. In fact, if Michigan were its own country, we would be among Canada’s largest
trading partners in the entire world. This is especially true for our state’s robust automotive industry, which is heavily integrated with Canada.

The U.S.-Mexico-Canada Agreement (USMCA) was implemented in 2020 with the goal of strengthening this trade partnership and ensuring products like auto parts can move freely and securely across our northern border. Unfortunately, the tariffs enacted by the Trump administration are making it harder for manufacturers and suppliers in our state to work with our ally to the North.

Tariffs Have Created Chaos and Uncertainty

I support tariffs that make sense, like those imposed on our adversaries, like China, to help protect our national security and support American jobs. But as we have seen this year, President Donald Trump’s tariff strategy has created chaos and uncertainty for Michigan manufacturers who need clarity and stability. We need to create a trade environment that allows businesses to plan for long-term success in Michigan and throughout the U.S.

The only way to do that is by pushing for beneficial trade deals that promote collaboration with our trusted international partners and protect Michigan jobs.

USMCA Renegotiation is An Opportunity

Next summer, the U.S. will have an opportunity to renegotiate the USMCA, and we need to seize that opportunity. We must pursue changes that support our manufacturers, improve labor standards, and prevent non-USMCA countries from taking advantage of the agreement. But we can’t stop there.

We must also aggressively enforce the trade laws that we already have on the books to deter trade cheats like China.
Doing so will help us counteract countries that try to evade our laws, dump products into U.S. markets, and engage in illegal and deceptive transshipment.

We should also reinstate incentives that were created through the Inflation Reduction Act that Republicans repealed in their so-called “Big Beautiful Bill.” These investments were working to support job growth and usher in new manufacturing opportunities in our state and across the country.

Action Needed to Ensure Michigan’s Competitiveness

All of these efforts combined will demonstrate our country’s commitment to leveling the playing field for American producers and provide businesses with needed certainty in the face of the President’s chaotic tariff approach.

I look forward to working in a bipartisan way to improve this agreement and bolster our nation’s trade policy. The bottom line is there is no option but to take action to ensure Michigan remains economically competitive and protects good jobs here at home.

Sen. Gary Peters has represented the State of Michigan in the U.S. Senate since 2015.