A settlement panel has dismissed complaints from the U.S. Trade Representative's office regarding how Canada allocates its dairy import quotas.
This dispute revolves around Canada's management of dairy tariff rate quotas, a matter of contention for the U.S. The decision is seen as a significant victory for Canada.
The findings mark the second resolution panel in three years to explore U.S. complaints that Canada is unfairly favouring processors over producers, with the latest outcome clearly favoring Canada.
International Trade Minister Mary Ng praised the results, stating they are beneficial for Canada's dairy industry and uphold the nation's supply management system.
The clash is part of ongoing disagreements under the U.S.-Mexico-Canada Agreement (USMCA).
Ottawa remains committed to upholding its trade obligations while working to stabilize food prices and supporting the dairy sector, which contributes significantly to the Canadian economy.