Canada's Not the Challenge for U.S. Dairy, Trudeau Says

25 April, 2017, 13:42 | Author: Roderick Gutierrez

President Trump blasted Canada on Thursday over a trade dispute affecting dairy farmers, calling it a "disgrace" that's the result of the North American Free Trade Agreement (NAFTA).

"The U.S. has a $400 million dairy surplus with Canada so it's not Canada that's the challenge here", Trudeau said Thursday, adding many other countries subsidizes agriculture.

On dairy, Freeland said, Canada buys five times more than it sells to the US; on lumber, Canadian producers have always prevailed in past court cases, and a protracted dispute would only drive up USA housing costs.

"It's absurd for the Canadian government to assert there is no relationship between its new Class 7 policy and the lost US milk sales there".

In a story April 18 about a U.S.

Gov. Andrew M. Cuomo of NY and Gov. Scott Walker of Wisconsin have also complained about the Canadian dairy pricing practices.

Trump said in Wisconsin Tuesday that he'll work on a solution.


"Any increase of trade barriers between our countries would significantly impact jobs in the United States, as well as in Canada", she said.

Canada brought in almost one billion dollars in American dairy products a year ago, while the USA imported just a hair above $112 million of Canadian products.

Trump's criticism came two days after he first knocked Canada's impact on Wisconsin dairy farmers during a visit to the state on Tuesday, when he vowed the USA would "stand up for our dairy farmers". Almost 70 dairy producers were affected after imposing of this taxes in both the USA and Canada.

President Donald Trump singled out Canadian dairy industry trade practices on Thursday, bashing America's northern neighbor for their rules on imported dairy products. It had been duty free. However, because the U.S. President refrained from providing much detail, it's unclear exactly what specific reforms will be discussed during future trade negotiations. And that means it will likely be on the table of any future NAFTA renegotiation. Lumber was excluded from NAFTA and its predecessor, the Canada-U.S.

- The U.S. has over 49,000 dairy farms with about 9.3 million animals. "I think that's the frustrating part. We will judge American policy when American policy is announced".

"The three of us, in conjunction with Senator Tammy Baldwin and other stakeholders, will develop a comprehensive plan to tackle this issue", Schumer said. The letter didn't say how many NY producers are affected.

Luis Ribera, an agriculture economics expert at Texas A&M University, said that while the ultra-filtered milk issue may technically fall outside the scope of NAFTA, it is a sign of US anger towards Canada's supply management system.

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