PolicyBrief
S.CON.RES. 5
119th CongressJan 15th 2025
A concurrent resolution expressing the sense of Congress that the proposed "joint interpretation" of Annex 14-C of the United States-Mexico-Canada Agreement prepared by United States Trade Representative Katherine Tai is of no legal effect with respect to the United States or any United States person unless it is approved by Congress.
IN COMMITTEE

Affirms that Congressional approval is required for any joint interpretation of Annex 14-C of the USMCA, and any interpretation without it has no legal effect.

Katie Britt
R

Katie Britt

Senator

AL

LEGISLATION

Congress Reasserts Trade Authority: USMCA Annex Interpretation Requires Legislative Approval

This concurrent resolution is basically Congress putting its foot down on trade agreement interpretations. It centers around Annex 14-C of the USMCA—the trade deal that replaced NAFTA—which protects U.S. investments in Canada and Mexico. The resolution declares that any "joint interpretation" of this annex by the U.S. Trade Representative (USTR) is legally meaningless unless Congress gives it the thumbs-up.

What's Actually Changing?

The core issue here is about who gets to define the rules of the game in international trade. The bill asserts that the USTR, currently Ambassador Katherine Tai, is attempting to alter Annex 14-C through a joint interpretation with Canada and Mexico without proper Congressional input. The resolution states this is a no-go. According to the text, Congress approved the USMCA, and therefore they need to approve any significant changes to it. Specifically, the bill states: "...the proposed 'joint interpretation'...is of no legal effect with respect to the United States or any United States person unless it is approved by Congress."

Real-World Rollout

Right now, this resolution is more of a statement than a direct action. Think of it as Congress publicly reminding the Executive Branch, "Hey, we make the trade laws around here." It doesn't immediately change anything on the ground for businesses or workers. However, it sets a precedent. If the USTR or other agencies (like the Department of State) try to use this "joint interpretation" in legal proceedings or claim it has legal weight, this resolution says they can't—at least not without Congressional approval.

Who Feels the Change, and How?

  • Congress: This is a win for legislative authority, reinforcing Congress's role in shaping trade policy. They're essentially saying, "We're watching, and we have the final say."
  • U.S. Businesses with Investments in Canada and Mexico: Potentially, these businesses get a bit more certainty. Any changes to Annex 14-C, which could affect their investments, would be subject to Congressional review. This could mean more stability, but it depends on how Congress acts.
  • The Executive Branch (USTR, State Department, etc.): They're being told to slow down and get Congressional approval before making significant changes to the interpretation of the USMCA. This could limit their flexibility in trade negotiations.

Potential Roadblocks?

Since this is a concurrent resolution, it's not legally binding in the same way a law is. A future administration could technically ignore it, but that would create a major political and potentially legal showdown with Congress. It's more of a strong warning shot than an ironclad rule.

How It Fits with Existing Laws

This resolution directly references the USMCA, which itself replaced NAFTA. It's all about maintaining the balance of power established when Congress originally approved the USMCA. The resolution is a way for Congress to say, "We agreed to this deal, and any changes need our approval, too."