Trade tensions build between U.S., Canada

Trade tensions between the United States and Canada are escalating, with President Donald Trump announcing additional measures targeting Canadian imports. Beginning Sept. 29, the U.S. will ban imports of many Canadian dairy products and alcoholic beverages and will also impose additional tariffs. Trump says Canada is shutting American farmers and businesses out of Canadian markets. In a YouTube address, Canadian Prime Minister Mark Carney said Canada has consistently sought a mutually beneficial trade relationship with the United States. Carney said negotiations broke down after the U.S. introduced what he characterized as unreasonable last-minute demands, including seeking influence over Canada’s trade agreements with other countries: “Since a fair deal wasn’t on the table, we made the right choice to walk away from a bad one.” In response to 50% tariffs imposed by the United States last month, Canada has imposed similar duties on U.S. products.

Dairy and agriculture in focus for U.S. trade

Dairy remains part of the U.S. Canada trade dispute, with some Canadian dairy products and other goods facing a ban beginning at the end of this month. U.S. Trade Representative Jamieson Greer says access to Canada’s dairy market has been a longstanding concern. “Since even before the second Trump term, they’ve limited our ability to sell dairy into Canada,” Greer said. “Do we think that our dairy farmers and everyone should have a fair shot in Canada? We do.”

Shapiro: U.S.-Canada relations at a critical crossroads

This is a chaotic time, with global headlines ranging from $100 crude oil and the war in Russia and Ukraine to what’s happening in the Strait of Hormuz. While these issues are important, geopolitical analyst Jacob Shapiro considers the biggest issue today to be U.S.-Canada relations: “I cannot believe we are talking about a trade war between the United States and Canada, that you have both sides insulting each other’s militaries and insulting each other’s security preparedness.” Canada is now realizing how dependent it is on the United States. Once Canada actually takes its capital out of the U.S., Shapiro believes it’ll be too late to return to normal. “I think we have a window of two to three more months where cooler heads could prevail, but here, I’ll let you know, I’ll eat my slice of humble pie, I didn’t think we’d get this far in the first place with Canada,” Shapiro said. “I thought this would be wrapped up by summer, and here we are in September, and things are getting worse.”

U.S., Canada officials respond to trade skirmish

The U.S.-Canada trade dispute is putting more pressure on a relationship that supports billions of dollars in agricultural trade. Former Canadian ambassador to the United States, Kirsten Hillman, says the latest negotiations broke down because the deal offered by Washington did not work economically for Canada. “The U.S. came back and said, ‘But we were putting the very best deal on the table, the best deal that we had given anyone,’” said Hillman. “That’s not the metric. The metric that we have to judge this by is not whether it’s better than anyone else’s; it’s whether it works for Canada.” Canada imposed new counter tariffs last week on U.S. products, including dairy and agricultural equipment. Former U.S. Ambassador to Canada, James Blanchard, said the dispute is also creating problems for states with close economic ties to Canada: “There’s no excuse for all this, really, none.”

Trump calls Canada-European Union discussion ‘laughable’

The head of the European Commission promises to work to make Canada the trading bloc’s first associate member. Canadian Prime Minister Mark Carney is seeking this status to offset the current chaotic trading relationship with the United States. President Trump said the idea was “laughable” and that, if Europe did make Canada an associate member, it would be considered a “hostile act,” and more tariffs would be possible.

Farm bill advances to Senate floor

The Senate Agriculture Committee advanced its farm bill on a party-line 12-11 vote. The legislation includes year-round E15 and mandatory country-of-origin labeling but does not include a fix to California’s Proposition 12. Ranking Member Amy Klobuchar said current economic pressures make passage of the farm bill particularly important: “The headwinds of the tariffs, the headwinds of the closing of the Straits of Hormuz, the cost of fertilizer have all hit them very hard, and that makes it even more imperative that we get this farm bill done.” Senate Democrats opposed the bill while seeking a 2-year delay in Supplemental Nutrition Assistance Program cost-shifting provisions. “We share this goal of reducing error rates, but we recognize the reality that states across the country need time and equal resources to bring them down.” Senate Majority Leader John Thune expressed frustration with the opposition, saying a 1-year delay is reasonable.

USDA ends environmental, social, governance commitments for the dairy checkoff

All commodity checkoff programs are being scrutinized for environmental, social and governance initiatives. Effective immediately, checkoffs cannot enforce mandatory ESG commitments or net-zero or climate-neutral frameworks. The dairy checkoff and its sustainability efforts are mentioned specifically, following a lawsuit by three Wisconsin dairy farmers. In a statement, the U.S. Department of Agriculture said the dairy checkoff is largely a success, but swift action was taken to bar the promotion and research program from “spending farmer-paid dollars on the radical ESG ideology.” Other checkoff programs with sustainability initiatives will also face cuts.

Thompson introduces eminent domain bill

House Agriculture Committee Chair Glenn “GT” Thompson has introduced legislation to protect farmland from eminent domain. The “Not in My Barnyard Act” would prevent the federal government from initiating eminent domain proceedings on any farmland when there are feasible alternative options. Thompson said the loss of productive farmland is a threat to U.S. food security and rural communities.

Investment made in cottage cheese project

Westby Cooperative Creamery has completed its $14.1 million manufacturing upgrade at its Westby, Wisconsin, plant. The facility has added a state-of-the-art enclosed vat cottage cheese production system.

Marathon Cheese invests in Mississippi plant

Marathon Cheese is expanding its production facilities in Booneville, Mississippi. The central Wisconsin cheese packaging company is adding a new production line to increase slicing and packaging capacity. Marathon Cheese is investing $326,000 in this project.

Romanski completes term as MASDA president

Wisconsin Department of Agriculture, Trade and Consumer Protection Secretary Randy Romanski has wrapped up his term as president of the Midwestern Association of State Departments of Agriculture. “I appreciated the opportunity to represent my counterparts in national discussions and bring Wisconsin’s perspective in important conversations,” he said.

A new role for Brooks Christy

Dana Brooks Christy is the new managing director for Kincannon & Reed, an executive search and leadership development team. Most recently, she was president and CEO for the Pet Food Institute. Her prior experience includes leadership roles with Land O’Lakes, Elanco, National Milk Producers Federation and the American Farm Bureau.

Trivia challenge

H20 is the chemical formula for water. That answers our last trivia question. For this week’s trivia, which dairy product is proven to refuel tired muscles after physical activity? We’ll have the answer in our next edition of the Dairy Star.

Don Wick is owner/broadcaster for the Red River Farm Network of Grand Forks, North Dakota. Wick has been recognized as the National Farm Broadcaster of the Year and served as president of the National Association of Farm Broadcasting. Don and his wife, Kolleen, have two sons, Tony and Sam, and five grandchildren, Aiden, Piper, Adrienne, Aurora and Sterling.