Canada Responds to New Zealand's Dairy Tariff Challenge

On October 19, 2024, Canadian ministers Mary Ng and Lawrence MacAulay issued a statement regarding New Zealand's challenge to Canada's dairy tariff rate quota (TRQ) policies under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). The ministers expressed disappointment over New Zealand's decision to continue the challenge, highlighting Canada's history of defending its dairy sector in similar trade disputes under CUSMA and CPTPP. They emphasized Canada's commitment to defending its supply management system and supporting the dairy industry, farmers, and workers. Despite the dispute, the ministers noted that New Zealand remains an important partner for Canada and expressed confidence that Canada's new policies meet the obligations to eliminate non-conformities identified by a panel.