USDEC, NMPF Thank Administration for Maintaining Pressure on Canada to Resolve USMCA Dairy Concerns

The National Milk Producers Federation (NMPF) and U.S. Dairy Export Council (USDEC) expressed their strong appreciation to the Trump Administration for its continued focus on using all available trade tools to resolve outstanding U.S.-Mexico-Canada Agreement (USMCA) dairy market access issues with Canada. With a 50 percent tariff on certain Canadian imports taking effect on Saturday, the organizations urged Canada to return to the negotiating table and prevent further escalation.

“We appreciate the Administration’s persistence in standing up for American dairy producers and exporters who have waited far too long for Canada to live up to its promises,” said Krysta Harden, president and CEO of USDEC. “Canada has had plenty of chances to fix its unfair market access practices and close the loopholes it’s used to dodge its dairy commitments under USMCA. This weekend’s action makes clear that patience has run out. We look forward to continuing to work with the Administration until Canada resolves these issues and America’s dairy farmers and exporters see the full benefits USMCA promised.”

“This action sends an unmistakable message that Canada’s ongoing disregard for its USMCA dairy commitments carries real consequences,” said Gregg Doud, president and CEO of NMPF. “It’s time for Canada to stop looking for workarounds and instead sit down in good faith to resolve these outstanding USMCA dairy implementation issues. Canadian retaliation would only serve to force the United States’ hand in escalating its leverage. The objective should be for both our countries to prevent increased friction and build on the progress made through weeks of negotiations.”

Under USMCA, Canada committed to providing meaningful additional duty-free access for U.S. dairy exports through a series of tariff-rate quotas (TRQs). Canada’s administration of those TRQs has repeatedly resulted in chronic underfill. In addition, Canada has continued to exploit loopholes to sidestep USMCA disciplines on dairy protein exports. NMPF and USDEC have consistently urged the Administration to prioritize resolution of both issues as part of the ongoing USMCA Joint Review and continue to call on Canada to come to the table and negotiate in good faith.