Dairy Trade Tensions Rise Between Canada and U.S. | Ottawa News

Canada and the U.S. are locked in tense trade talks over dairy, with America pushing for market access while Canada defends its supply management system — a quota-based model that shields domestic producers. Though President Trump promised zero tariffs for U.S. farmers, details remain murky. Canada’s Trade Minister insists the system stays intact, but U.S. dairy advocates argue Canada’s loopholes favor processors over retailers, undermining existing agreements like CUSMA. Despite past rulings siding with both sides, U.S. exports to Canada have surged past $1.3 billion — yet Canadian farmers fear concessions could erode their quotas. A potential compromise? Shift quota allocation to retailers without dismantling supply management. Meanwhile, lingering concerns about U.S. farming practices — including hormone use and scale — persist, even as officials insist safety standards are met.

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