Dairy Industry Calls for Balanced USMCA Trade Standards

Lawmakers urge stronger enforcement of dairy commitments under USMCA review

U.S. dairy leaders are calling for stronger enforcement of trade commitments as the United States prepares for the 2026 Joint Review of the U.S.-Mexico-Canada Agreement. This discussion gained momentum after 74 bipartisan House lawmakers sent a letter urging the government to address long-standing concerns related to dairy trade obligations under the agreement. 

The National Milk Producers Federation and the U.S. Dairy Export Council welcomed the letter, noting that it highlights continuing challenges with Canada and Mexico’s implementation of USMCA dairy provisions. Lawmakers stressed that the upcoming review offers an important opportunity to ensure improved market access and fair trade for American dairy farmers. 

A major concern outlined in the letter involves Canada’s handling of dairy tariff rate quotas. According to the lawmakers, Canada has not fully honored its commitments and has instead allocated quotas in a way that limits meaningful access for U.S. dairy products. They emphasized that these practices reduce opportunities that USMCA was designed to provide. 

The letter also addressed issues in Mexico, particularly its responsibility to fully apply agreed-upon protections for common cheese names. These rules are intended to prevent unfair restrictions on U.S. cheese products in the Mexican market. 

Industry leaders say these concerns must be addressed during the upcoming review. “USMCA raised the standard for what a trade agreement could be and promised new opportunities for U.S. dairy farmers,” said Gregg Doud, president and CEO of NMPF. “Unfortunately, the Canadian government has continued to evade its dairy trade obligations, and U.S. dairy farmers are not seeing the full benefits USMCA intended. We commend Representatives Tenney, DelBene, Wied, and Costa for championing this effort and working with the Administration to hold our trading partners accountable.”  

“Our industry thrives when trade agreements deliver real results for the people they are meant to support,” said Krysta Harden, president and CEO of USDEC. “Representatives Tenney, DelBene, Wied, and Costa are standing up for our dairy producers and processors by ensuring our trading partners honor their trade obligations. We are grateful for their leadership and for their commitment to securing the full benefits of USMCA for U.S. dairy. USDEC is committed to working closely with both Congress and the Administration to address these dairy issues as the USMCA Review moves forward.” 

U.S. dairy exports to Mexico and Canada exceeded $3.6 billion last year, accounting for nearly half of all U.S. dairy export value. USMCA preserved duty-free access to Mexico and was intended to expand access to Canadian markets. However, dairy groups argue that this expansion has not been fully realized. 

As the 2026 Joint Review approaches, dairy organizations say resolving these issues will help strengthen North American trade and ensure that U.S. dairy farmers benefit from the agreement as intended. 

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