Does Canada really have a 250% rate in place on American dairy products imported into Canada? Here are the facts

Trade tensions between the United States and Canada warm up, with the president Donald Trump Affirming that Canada has been “having been arguing for years” with a price of 250% on American dairy products. But is this really the case? Although the complaint has a certain truth, the complete image is more complicated. Here’s what you need to know.

Canada imposes high prices – sometimes up to 298.5% – on American dairy products. However, these prices do not apply to all levels. According to the site to verify the SNOPES facts, these rates were only when American dairy exports exceed the quotas set under the American-mexico-Canada agreement, which replaced the North American free trade agreement in 2020.

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Becky Rasdall VargasThe main vice-president of trade and the workforce of the workforce at the International Dairy Foods Association, said the question, declaring: “It is correct that Canada imposes a rate of around 250% on American exports of certain dairy products in Canada. However, that the price would only apply if we have been able to achieve and go beyond the American dancing agreement.

So far, these quotas have never been exceeded, which means that higher rate rates have not been applied.

Trump has prioritized trade throughout his presidency, and his most recent movements comply with this position. In March, he imposed a 25% rate on imports from Canada and Mexico, although some of these prices were delayed until April 2. He also announced an additional 50% rate on Canadian steel and aluminum.

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In response, the Canadian Minister of Commerce Mary NG Called Trump’s potential dairy rates “completely unjustified” and stressed that Canada has worked to eliminate existing American rates. It also defended the Canada dairy system, which is structured to protect national farmers thanks to a supply management model. This system limits imports through price rate quotas, allowing a certain amount of dairy products to enter the country or no price before higher prices take effect.