Trump calls Canada's dairy trade policies a 'disgrace'

Implemented in the 1970s, it protects Canadian farmers in three ways: by setting high, stable prices for the country's dairy products; by limiting the amount of milk farmers are allowed to produce; and by imposing high tariffs on dairy products coming into Canada, in order to safeguard the domestic market.

Trump said during a speech Tuesday in Kenosha, Wisconsin, that Canada has been "very unfair" to dairy farmers and "we're going to start working on that".

"The facts do not bear this out".

U.S. Sens. Charles Schumer and Kirsten Gillibrand are requesting President Donald Trump's attention to a trade matter they say is hurting dairy farms in upstate NY.

The governors say Canada's actions could cost the US economy hundreds of millions of dollars.

After what has been a relatively warm beginning in relations with Canada, which included what was seen by many as a positive trip to Washington by Prime Minister Justin Trudeau, Trump dropped the gloves on Canada's well-guarded dairy sector, one of the sacred cows of Canadian industry.

In Canada, through supply management, quotas for milk are set for producers and demand is met with little surplus.

The president then broke from a prepared statement to attack Canada's dairy, energy and lumber industries. Cayuga Milk Ingredients in Auburn, New York, said it also lost all of its Canadian exports, a source of about 30% of overall sales.

Canada's dairy industry was less protectionist than its US counterpart, the ambassador said in the letter. "The implementation of Class 7 does not block imports, or restrict American access to the Canadian market - Canadian businesses are still free to choose their own suppliers, just like American companies do".

Dairy farmers say they are confident that the government has their backs, but are concerned that any potential concessions on dairy in a renegotiated NAFTA could lead to significant job losses. Dismantling it would mean lower prices at the supermarket, and a more internationally competitive industry, says the paper.

"As the report unequivocally indicates, Canada does not contribute to this overproduction", the ambassador insists.

Earlier this month, Isabelle Bouchard, spokesperson for the Dairy Farmers of Canada, said Canada was being used as "a scapegoat" for the financial woes facing dairy farmers in the U.S.

He said the trade balance on dairy "massively" favours the U.S.by a five-to-one margin. "He's under the impression that every time he speaks, people are going to jump and that's not how it works".

"We're going to call Canada and we're going to say 'What happened?' We're going to get the solution", he said before turning his attention to the North American Free Trade Agreement that's the source of at least some of the U.S.

Why does the US care so much about it? While he doesn't see the policy being reversed, he's hopeful the US government will use it as a bargaining chip when renegotiating NAFTA.

"The whole thing is ridiculous".

The Trump administration has yet to give Congress a required 90-day notification that it plans to open negotiations on NAFTA with Canada and Mexico.

Trump later announced that "we're going to have to get to the negotiating table with Canada very, very quickly...this is another NAFTA disaster, and we're not going to let it continue onward".

Related Articles

  • Jon Ossoff Landslide Reinforces Resistance to Trump — Triumph in Georgia

    Jon Ossoff Landslide Reinforces Resistance to Trump — Triumph in Georgia

    Republicans are bidding to prevent a major upset in a conservative Georgia congressional district Tuesday wh. Heading into Tuesday, 18 candidates were competing - 11 Republicans, five Democrats and two independents.
    Move Over Oscar Robertson: Russell Westbrook Just Made NBA History

    Move Over Oscar Robertson: Russell Westbrook Just Made NBA History

    The Hall of Famer said Westbrook's triple-double numbers show his overall impact on the game beyond his team's record. Harden also is having an outstanding season, averaging 29.3 points and leading the league with 11.3 assists per game.
    3 politicians to stand trial over Indian mosque demolition

    3 politicians to stand trial over Indian mosque demolition

    If convicted, Advani and others could be sentenced to five years in jail. It set a deadline of two years to complete the trial proceedings.
  • Protesters march to demand Trump release tax returns

    Protesters march to demand Trump release tax returns

    White House press secretary Sean Spicer said Monday that Trump's 2016 tax returns remain under audit and will not be released. Many people in the rallies were seen holding signs which read "We do care" and "Release your taxes", sending Trump a message.
    Kelly Oubre Jr. puts up postgame jumpers after Game 2

    Kelly Oubre Jr. puts up postgame jumpers after Game 2

    The Wizards hung onto to the win, despite a combined 54 fouls and 68 free throws, both up from an already foul-prone Game 1. Because of their defense, they hung with the Hawks, despite their early shooting woes, while playing Atlanta's slow style.
    United CEO says nobody is getting fired - including the CEO

    United CEO says nobody is getting fired - including the CEO

    Munoz declined to comment on any other policy changes coming to United Airlines, according to The Tribune. He initially supported employees and blamed Dao, calling him "disruptive and belligerent".
  • United States orders review of lifting Iran sanctions

    "I think the key is what comes next", one senior White House official familiar with the interagency review told the Free Beacon . But his predecessor Barack Obama insisted the deal was the best way to prevent Iran from building nuclear weapons.

    Ex-Wells Execs Ordered To Pay $75M After Fake-Sales Report

    Carrie Tolstedt speaks during the 8th Annual 25 Most Powerful Women in Banking Awards dinner in New York, Oct. 6, 2010. In the report, Tolstedt , who was head of the Community Bank, was described by the board as "insular and defensive".
    Cleveland Facebook shooting victim Robert Godwin from Alabama

    Cleveland Facebook shooting victim Robert Godwin from Alabama

    In several posts, he claimed to have killed as many as a dozen people, but police have not found evidence to support that claim. According to employees at the restaurant, Stephens ordered a 20-piece McNuggets and a large order of fries in the drive-thru.
  • What happened before man was dragged from United flight

    What happened before man was dragged from United flight

    But his lawyers filed an emergency petition on Wednesday asking that all potential evidence from the episode be preserved. Despite initially saying Dao was " disruptive and belligerent ", Munoz added that he certainly "deserved an apology".
    National Basketball Association  roundup: Bulls trounce Nets to clinch playoff spot

    National Basketball Association roundup: Bulls trounce Nets to clinch playoff spot

    The Washington Wizards and Miami Heat meet Wednesday in National Basketball Association action at the American Airlines Arena. The full draft order has some ties that need to be resolved, but Portland is on track to have three picks in the first round.
    Gunners star apologises after Palace defeat

    Gunners star apologises after Palace defeat

    The two victories were such great victories, in such a short space of time, but it was well deserved. It has consequences on our chances to be in the top four.