Canada's envoy to Washington has shot back at criticism by President Donald Trump and United States milk producers, saying the facts don't support a charge that the Canadian dairy industry is to blame for the woes of some American farmers.
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.
John Mueller, Willow Bend Dairy: We've invested millions and millions of dollars and now they're trying to take that away and obviously it's going crush our exports for NY.
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.
Donald Trump also expects to have some major changes to the policies and procedures of the NAFTA trade agreement that would be in favor of the people of the US. We have had concerns over the NAFTA renegotiation for a long time, "said Agriculture NDP spokesperson Ruth Ellen Brosseau". "It's a disaster. It's a trading disaster".
That echoed comments he made Tuesday during a visit to Wisconsin, where he said "in Canada, some very unfair things have happened to our dairy farmers" and promised to "start working on that".
How much leverage does Canada have in renegotiating a trade deal with the U.S.?
"I wasn't going to do this, but I was in Wisconsin the other day..."
Industry groups in New Zealand, Australia, the European Union, Mexico and the United States complained the new prices for Canadian milk ingredients under-cut exports to Canada.
The only change has been Canada's deliberate pricing policy decision - starting a year ago in Ontario and spreading more recently to other provinces - to create a national ingredients strategy to undercut competition from the United States.
The two nations are embroiled in a long-standing dispute over exports of Canadian softwood lumber, which US producers complain are unfairly subsidized.
Still, Henderson said, Trump "has a tendency to shoot from the hip" and he believes the Canadian government will defend supply-management.
Trump toured a Wisconsin factory Tuesday, touting his "Buy American-Hire American" executive order and calling out the Canadian dairy industry by name.
Some Canadians agree with Trump, CBC News reports. He also criticized recent pricing changes for dairy ingredients in Canada for making USA imports less competitive and costing Americans revenue and jobs. Canada carries a near $16 billion surplus when it comes to the exchange of goods from the forestry & logging, wood product manufacturing and paper manufacturing industries, according to data obtained from Statistics Canada and the U.S. Census Bureau.