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Canada Faces U.S. Trade Pressure as CUSMA Review Nears

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U.S. Raises Trade Concerns With Canada Ahead of CUSMA Review

Canada — The United States has outlined several trade concerns ahead of the 2026 review of CUSMA.
The review allows Canada, the U.S., and Mexico to reassess the trade agreement after six years.

U.S. Trade Representative Jamieson Greer addressed lawmakers about unresolved trade issues.
He said the U.S. expects progress before agreeing to extend the pact.

Dairy Market Access Remains a Key Issue

U.S. officials continue to raise concerns about Canada’s dairy market rules.
They argue current policies limit access for American dairy producers.

Canada uses a supply management system to protect domestic farmers.
High tariffs apply only when imports exceed agreed quota levels.

Canadian officials say those quotas have not been fully used.
They also defend the system as compliant with trade obligations.

Digital and Cultural Policies Under Scrutiny

The U.S. has also questioned Canada’s digital regulations.
These include the Online Streaming Act and the Online News Act.

American officials argue the rules disadvantage U.S. media and technology firms.
Canada says the policies protect local content and journalism.

Ottawa insists cultural protection remains a long-standing national priority.
Officials say they remain open to dialogue.

Other Trade Barriers Identified

U.S. representatives pointed to provincial alcohol distribution rules.
They also raised concerns about government procurement policies.

Some U.S. firms say local purchasing rules restrict fair competition.
Energy market access in Western Canada also drew attention.

U.S. officials claim some policies affect cross-border electricity trade.
Canada has not announced any policy changes.

What the CUSMA Review Means

The CUSMA review begins formally in 2026.
Any country can exit the agreement if talks fail.

Trade experts say negotiations will likely intensify next year.
Canada exports most of its goods to the U.S.

Both sides say the agreement works overall.
However, unresolved disputes could shape future trade relations.

The outcome will affect jobs, supply chains, and investment.
Negotiators aim to avoid disruption while protecting national interests.

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