Canada's Minister for Canada-U.S. Trade, Dominic LeBlanc, described the Canada-United States-Mexico Agreement (CUSMA) as 'like trying to unscramble an omelette' ahead of a critical review that will determine whether the pact extends to 2042. Speaking after a visit to Fort McMurray's Chamber of Commerce on June 23, LeBlanc emphasized the deep economic integration between the three nations, particularly through oil trade.
Record Oil Exports Underpin Trade Ties
In 2025, Canadian crude oil exports to the United States reached a record $127.37 billion, according to the Annual Trade Summary. In 2024, exports averaged 4.20 million barrels per day, with an additional 750,000 barrels per day flowing through the Trans Mountain Pipeline, which began operations in May 2024. These figures underscore the energy interdependence that LeBlanc says benefits both economies.
Review Could Extend or End Agreement
On July 1, 2026, Canada, Mexico, and the United States will decide whether to extend CUSMA for another six years beyond its 2036 expiry. 'If there is no extension … it’s not because Canada or Mexico was resisting,' LeBlanc told Postmedia. He noted that discussions are underway with U.S. Trade Representative Jamieson Greer, who has scheduled meetings to address bilateral technical issues. The outcome may influence how companies like Suncor manage their workforce.
Suncor's Local Residency Mandate
Suncor Energy, headquartered in Alberta with its largest base plant in Fort McMurray, refines up to 65% of its oil production in Canada, making it a major employer. LeBlanc met with Suncor leaders during his visit. The company is phasing out approximately 200 contractor positions from company-provided work camps as part of a local residency mandate, shifting away from fly-in, fly-out (FIFO) workers. This move aims to bolster local economic growth in resource-rich regions like Fort McMurray.
Historical Reliance on FIFO Workers Declining
For decades, oilsands companies relied on FIFO workers attracted by premium wages, but at the cost of hollowing out local economies. LeBlanc stressed that renewing CUSMA is of national importance to maintain economic partnerships. 'Oil trade from Fort McMurray is an example of that economic partnership that has benefitted the American and Canadian economy,' he said.
