U.S. Trade Representative Katherine Tai said two of the three USMCA dispute panel members found that Canada’s dairy import policies don’t breach its commitments under the U.S.-Mexico-Canada agreement. “I’m very disappointed by the findings in the USMCA panel report on Canada’s dairy TRQ allocation measures,” Tai says. “While the United States won a previous USMCA dispute on Canada’s dairy TRQ allocations, Canada’s revised policies still haven’t fixed the problem for U.S. dairy farmers.” In the dispute panel’s report, it found that Canada’s measures are not inconsistent with the USMCA provisions cited by the U.S. The panel split on the U.S. claims that Canada’s exclusion of retailers, food service operators, and others from eligibility and its historical market share approach to allocating dairy TRQs breach its obligations. House Ag Committee Ranking Member David Scott (D-GA) says, “It’s critical we enforce USMCA as this decision allows Canada to continue with its protectionist practices.”
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