Trump Vows to Back US Dairy Farmers in Canada Trade Spat

Dairy farmers in both NY and Wisconsin - the nation's top two milk-producing states - say the new Canadian trade policy in effect blocks USA dairy producers from exporting ultra-filtered milk, which is used to make cheese and yogurt, to Canada.

Canada regulates milk prices in a much more aggressive fashion than the USA government does, but the Canadian government had not lowered the price of Canadian-made ultra-filtered milk until recently.

"What they've done to our dairy farm workers is a disgrace".

"But it's certainly one of the most protectionist countries in the world for dairy", he added.

Ambassador David MacNaughton said in a letter to the governors of Wisconsin and NY that Canada is aware of their letter to Trump asking him to address Canadian dairy practices.

Trump on Tuesday responded to appeals for help from the dairy industry during an event in Wisconsin, where he also renewed his complaints about the North American Free Trade Agreement.

On Tuesday, Trump targeted Canada explicitly in taking the next steps in his "Buy American, Hire American" policy, suggesting Wisconsin farmers are suffering because of the Canadian system.

"We're also going to stand up for our dairy farmers", Mr. Trump said.

The statement was part of larger comments on American trade deals that Mr Trump made while signing an executive order on steel imports.

"It's not Canada that's the challenge here", Trudeau said Thursday, saying the USA has a large dairy trade surplus with Canada.

MILWAUKEE (AP) - Dairy farms in Wisconsin and other states could be forced out of business as early as May because of a trade dispute that's halted the export of their milk to Canada. The move comes as 75 Wisconsin dairy farms won't have buyers for their milk beginning May 1st because of the restrictions.

"This has been an issue for a very long time, Trump or no Trump", she said.

Canada's ambassador to the USA sent a letter to the Governors of NY and Wisconsin after Trump's comments, saying the trade balance in dairy between the two nations favored America by a ratio of about five to one. Almost 70 dairy producers were affected after imposing of this taxes in both the USA and Canada.

Trump says he'll have more to say about upcoming NAFTA negotiations within a couple of weeks.

"When there's trade discussions we're always concerned and watching what's happening", Smith said.

The tariff prices USA milk out of the Canadian market.

The threat to get rid of or alter NAFTA has clouded the economic outlook for Canada, whose biggest trade partner is the United States.

  • Salvatore Jensen