The committee heard SJR 25, a resolution sponsored by Senator Scott Kawasaki (D – Fairbanks) urging the continuation and modernization of the United States-Mexico-Canada Agreement (USMCA). Enacted in 2020 with bipartisan backing, the agreement faces a pivotal review in 2026, and the resolution aims to preserve its benefits while removing trade obstacles. Kawasaki framed it as essential for Alaska, given its close ties to Canada—its primary trading partner and land-border neighbor—supporting supply chains, jobs, and economic stability.
The presentation began lightheartedly with hockey banter, celebrating the UAF Nanooks’ Governor’s Cup win, before delving into the topic at hand. Staffer Samuel Marquardt detailed USMCA’s role in predictable trade, noting Alaska’s reliance on Canadian transit for goods like construction materials and fuel. He warned that missing the 2026 review could delay updates until 2032, injecting uncertainty. Senator Gray-Jackson (D – Anchorage) questioned Mexico’s role, prompting Kawasaki to affirm the tri-national scope, though Canada dominates Alaska’s trade volumes.
Chair Bjorkman (R – Nikiski) raised dynamic risks, referencing recent violence in Mexico trapping Alaskans and a Supreme Court decision on tariffs potentially enabling unilateral presidential changes. Kawasaki preferred keeping the resolution focused on trade architecture, avoiding geopolitical entanglements. He noted tariffs as consumer cost drivers and praised the Trump-era renegotiation.
Invited testimony from Steven Myers of the Pacific Northwest Economic Region (PNWER) reinforced the case, citing post-2020 trade growth of 56% and $343 billion in Canadian investment, supporting over 20,000 Alaska jobs. Myers emphasized stability for energy, minerals, and Arctic logistics, with the July 2026 joint review as a critical juncture.
Myers highlighted economic interdependence: “Canadian trade supports more than twenty thousand Alaska jobs, with nearly six thousand additional jobs provided by Canadian-owned businesses operating in the state.” The committee set SJR 25 aside for further consideration, potentially incorporating amendments on barriers or tariff implications. Rationale centers on sustaining investment and supply chains, especially Alaska-Canada corridors, without delving into crises. This resolution underscores Alaska’s strategic position in North American trade, where USMCA has driven growth amid global uncertainties. Unresolved elements include integrating Mexico-specific language and addressing tariff jurisprudence, as per legislative tracking. If advanced, it could influence federal negotiations, benefiting sectors like tourism and defense.
