WASHINGTON, Jan. 4, 2022 – “Today, the U.S. Trade Representative announced that the United States has prevailed in the first dispute settlement panel proceeding under the United States-Mexico-Canada Agreement (USMCA). The panel agreed with the United States that Canada is unfairly restricting access to its market for U.S. dairy products by breaching its USMCA commitments regarding allocation of dairy tariff rate quotas (TRQs).

“This ruling is a big step for the U.S. dairy sector towards realizing the full benefits of the USMCA and securing real access to the Canadian market for additional high-quality American dairy products such as milk, cheese and skim milk powder.

“In order for trade deals to be effective and have the trust of the American people, they must be enforced. Today’s action reflects the Biden-Harris Administration’s deep commitment to enforcing the USMCA and to ensuring that trade rules work for American farmers, ranchers and producers. It also signals to our trading partners that that the United States will stand firm against unjustified trade restrictions and continue fighting on behalf of our farmers and workers to ensure that we have full and fair access to foreign markets.”