IDFA Statement on Potential U.S. Tariff on Canadian Dairy Products

Becky Rasdall Vargas, senior vice president of trade and workforce policy at the International Dairy Foods Association (IDFA), released the following statement in response to President Trump’s suggestion that the United States may place a reciprocal tariff on Canadian dairy products:

“It is accurate that Canada imposes a tariff of approximately 250% on U.S. exports of certain dairy products into Canada, and even more with Canada’s 25% retaliatory tariffs in place. However, that tariff would only apply if we were able to reach and exceed the quota on U.S. dairy exports agreed to under the U.S.-Mexico-Canada Agreement (USMCA). Frustratingly, the U.S. has never gotten close to exceeding our USMCA quotas because Canada has erected various protectionist measures that fly in the face of their trade obligations made under USMCA.

“U.S. dairy is grateful for the Trump Administration’s efforts to hold Canada accountable on these protectionist measures. At the same time, a prolonged tariff war with our top trading partners will continue to create uncertainly and additional costs for American dairy farmers, processors, and our rural communities.

Will the 2026 USDA November crop report redeem itself after a shocking higher U.S. 2026 corn yield in October? The Democrats taking control of Congress and the Senate was not on anyone’s bingo card except ours! The AI stock selloff knee jerk reaction over Dem’s looking to slow done the AI build out is a gift! The Dems will now try to reign in Trump on the Iran war, tariffs (first 100 days tariffs on Canada could be removed), immigration and the corruption in the Trump administration. E15 and a new farm bill in 2027 may struggle with gridlock in Washington. Does China walk away with U.S. ag trade as Trump has lost leverage? China to buy more U.S. ag but hinges on U.S. tariff reductions? Hang Tung Resources signs $600 million China agreement of U.S. wheat and sorghum. Crude oil plunges 8%. U.S. Midwest soil moisture profile is a concern. Brazil looks wet in the next 10 days. Hogs to new contract lows. + CFTC