Trade between the United States and Canada has been shaped by major trade agreements. From 1994 to 2020, trade was regulated under the North American Free Trade Agreement (NAFTA). In 2020, the United States–Mexico–Canada Agreement (USMCA) replaced NAFTA as the governing trade framework.
Because these agreements are widely associated with cross-border economic activity, some may assume they are the legal basis for investor visa eligibility. That assumption is understandable but incorrect for the E-2 Treaty Investor visa.
How the E-2 treaty framework differs from NAFTA and USMCA
E-2 eligibility does not come from NAFTA or USMCA. It is based on U.S. immigration law and on whether the applicant’s country has a qualifying treaty of commerce and navigation with the United States. Canada qualifies under this treaty framework, which operates separately from trade agreements that govern goods and services.
Under U.S. immigration law, eligibility for the E-2 Treaty Investor visa depends on whether the applicant is a national of a country with which the United States maintains a qualifying treaty of commerce and navigation. This requirement is set out in section 101(a)(15)(E) of the Immigration and Nationality Act and is applied by U.S. consular officers when adjudicating E-2 visa applications, and by USCIS when adjudicating E-2 status requests inside the United States.
The U.S. Department of State’s Foreign Affairs Manual explains that E-2 visas are available only to nationals of countries that have such treaties with the United States. U.S. Citizenship and Immigration Services (USCIS) uses the same framework when describing E-2 eligibility, referring to treaty countries as those with which the United States maintains a treaty of commerce and navigation or a qualifying international agreement.
By contrast, NAFTA and its successor, the United States–Mexico–Canada Agreement, are administered as trade agreements. According to U.S. trade authorities, these agreements govern commercial matters such as tariffs, rules of origin, customs procedures, digital trade, and trade enforcement between countries. They are implemented and updated by U.S. trade agencies, not by immigration or consular authorities.
Because these instruments serve different legal purposes, trade agreements such as NAFTA and USMCA are not used to determine E-2 visa eligibility or processing. E-2 adjudications rely on U.S. immigration law and treaty status as recognized by the Department of State, not on trade agreement provisions or trade negotiations.
Do USMCA updates and trade negotiations affect Canadian E-2 applicants?
No. USMCA updates and trade negotiations do not, by themselves, change eligibility or processing for Canadian E-2 applicants.
E-2 applications are adjudicated under U.S. immigration law based on treaty status and E-2 statutory requirements. Trade agreements and trade negotiations are administered separately and are not used in evaluating E-2 visa eligibility or applications.
What this means for Canadian E-2 applicants
For Canadian applicants, this means that E-2 eligibility criteria and application review standards are determined under U.S. immigration law and treaty status, not by trade negotiations or trade agreement updates. Canadian E-2 applicants continue to be evaluated based on E-2 requirements under U.S. immigration law, not on developments in trade policy.
Sources
- USCIS.
https://www.uscis.gov/laws-and-policy/legislation/immigration-and-nationality-act - Foreign Affairs Manual.
https://fam.state.gov/FAM/09FAM/09FAM040209.html - U.S. Department of State.
https://travel.state.gov/content/travel/en/us-visas/visa-information-resources/fees/treaty.html - USCIS
https://www.uscis.gov/working-in-the-united-states/temporary-workers/e-2-treaty-investors - Office of the United States Trade Representative
https://ustr.gov/trade-agreements/free-trade-agreements/united-states-mexico-canada-agreement - International Trade Administration. https://www.trade.gov/usmca-trade-agreement-updates