Strengthening the Canada-Mexico Partnership

Q: In February 2026, you oversaw the largest-ever Canadian trade mission to Mexico. What were the most significant commercial breakthroughs from this mission, and how will it redefine the scale of Canadian investment in Mexico for the next decade?

A: After 32 years of free trade between Canada and Mexico, we have built a very deep commercial relationship that covers trade in goods, services, and investment. If you look at the numbers, trade of goods represents US$56 billion per year, plus US$46 billion, equivalent to two-way investment, which is mostly Canadian investment into Mexico. When you add tens of billions more in trade in services, such as young Mexicans studying in Canada or the large numbers of Canadian tourists coming to Mexico, it adds up to a commercial relationship worth more than US$100 billion.

However, after 32 years of free trade and given the size of our economies, with Mexico’s GDP just under US$2 trillion and Canada’s around US$2.4 trillion, we should be doing even more business than we currently are. We believe there is a massive opportunity to deepen the partnership, and that was the driving force behind the trade mission. It was a tremendous success and the largest trade mission Canada has sent abroad in decades.

We had just over 390 delegates from Canada representing 230 business organizations. Interestingly, 55% of those were SMEs, while the other 45% were larger corporations or business associations.

The heart of the mission was the more than 1,700 business-to-business meetings held during the trip. We promised every Canadian business at least five curated meetings with potential Mexican partners, and many ended up with nine or eleven meetings. While there were some immediate contracts signed, the real value lies in those 1,700 B2B meetings. We are confident they will generate thousands of follow-up calls, return visits, and long-term investment. It takes six months to a year for these things to fully materialize, but we will be tracking the success of every client we set up.

Q: You have mentioned before the role that "middle powers" like Canada and Mexico play, especially in the context of the upcoming USMCA review. How can this collaboration insulate both countries against global political and economic changes?

A: It was with that strategic vision in mind that Prime Minister Carney and President Sheinbaum met last September and agreed to elevate our relationship to a "Comprehensive Strategic Partnership." This is the highest level of diplomatic partnership two countries can have. It is backed by a very detailed three-year action plan.

Both leaders have instructed their officials to provide a quarterly report on the implementation of this plan. It is not just an announcement to be forgotten; it requires a high level of discipline to ensure the bureaucracy delivers on what the leaders agreed upon. While the partnership covers many areas, the commercial and trade relationship is undoubtedly the most dynamic pillar. As middle powers, deepening this partnership is essential for our regional stability and prosperity.

Q: How do the quarterly reports you mentioned change your daily operations at the Embassy?

A: It is a breath of fresh air. In my long career, I have never had to do quarterly reports to a Prime Minister, but it is a very effective tool for ensuring discipline. It ensures the bureaucracy is actually delivering on what the leaders promised. Every quarter, we work with Mexican officials in the Foreign Ministry to track every single commitment in the Canada-Mexico Action Plan, whether it is a memorandum on disaster management or a trade initiative. It helps me as a leader to keep both governments focused. 

If our leaders said they want these goals achieved, we have to show exactly what we have done to get there. It makes us operate with the efficiency of a business, and I think that is a great thing for the relationship.

Q: Regarding the USMCA review, what is the current stance of Canada and Mexico to ensure the agreement remains strong or is even improved?

A: Both governments absolutely agree that this trade agreement has benefited all three countries for 32 years. It has been vital for the Canadian and Mexican economies, and the United States has also benefited deeply. Last fall, when all three governments consulted their respective business communities about the upcoming review, the response was overwhelming.

Canadian, Mexican, and US businesses across the board said this is a strong agreement and they want to preserve it. Canada and Mexico are very well-aligned: we want to preserve the agreement and its benefits. If the US government wants to propose specific tweaks, we are open to talking, but our primary goal is a smooth renewal.

Q: The trade mission prioritized five sectors: advanced manufacturing, clean technology/energy, agriculture, ICT, and creative industries. Why were these chosen as the top opportunities?

A: Those five sectors were identified by the Canadian Trade Commissioner Service as having the highest prospect for growth. We are already doing good business there, but we see deeper complementarities. For example, Canada has a lot to offer in clean technology and water treatment, which matches Mexico’s market need for advanced environmental solutions.

In agriculture and agri-food, we want to move beyond just trading commodities, like Mexicans enjoying Canadian wheat in their tortillas or Canadians eating Mexican produce in the winter, to actually building things together. We have done this in the automotive and aerospace sectors where parts move back and forth across the border to create a finished product. We want to replicate that model in agriculture and ICT. We are also very supportive of growth in critical minerals. These are the foundation of the green transition and an electrified future; we simply cannot achieve our climate goals without deepening our capacity in strategic minerals.

Q: How does nearshoring fit into this vision for North American supply chains?

A: As we move toward the trade agreement review, there is an expectation to look at how we can strengthen North American supply chains for the benefit of our own companies and workers. Some Canadian businesses with supply chains reaching back to Asia are looking to de-risk by moving those operations to Mexico. If a Mexican supplier can provide those specialized parts, it reduces political and logistical risk.

At the same time, we see increased investment flowing back into the Canadian economy for similar reasons. Critical minerals are a perfect example. We have the assets, the legal system, and the capital-raising capacity of the Toronto Stock Exchange to tackle this sector. A great recent example is the Mexican company Fresnillo purchasing a major gold asset in Quebec through Probe Gold. We would love to see more Mexican investment like that coming into Canada.

Q: While Mexico is a top destination for FDI, Canadian companies do face hurdles. What are the main challenges you hear about, and what progress is being made to address these?

A: Thanks to our trade agreement, there are very few formal barriers to trade. However, there is always risk when taking capital from Canada and putting it into any foreign market. The risks depend heavily on the sector. Exporting an agricultural product is a very different risk profile than building a physical plant, hiring hundreds of people, and navigating the local legal system.

Companies in remote areas face different security challenges than those in urban hubs. Our advice to Canadian businesses is always the same: know the market, talk to the right people, understand your specific sector, and, ideally, find a trusted Mexican business partner to help navigate the local ecosystem. Sophisticated Canadian businesses with experience in Mexico generally have a very realistic and nuanced view of how to manage these challenges.

Q: With the FIFA World Cup 2026 coming up, how is the cooperation between Canada, Mexico, and the US progressing?

A: We are so excited to co-host with Mexico and the United States. It is going to be the biggest sporting event in history. I have heard that schools are even starting summer holidays early to let kids out early to watch the matches. From June 11 to July 17, it is going to be all football, all the time. I look forward to being a full-time fan during that period and seeing all three North American nations do well.


Cameron MacKay is a senior Canadian diplomat serving as the Ambassador of Canada to Mexico, a role he assumed in December 2024. An economist by training from McGill University, he joined the foreign service in 1995 and has served as Canada’s top representative in India, Indonesia, and Costa Rica. He participated in high-level trade negotiations and economic diplomacy, including roles as Director General for China Trade Policy and Director General of the Trade Negotiations Bureau.