Canada prepares for possible retaliation over COOL

Jun 07, 2013

Canada prepares for possible retaliation over COOL

Ag Minister releases list of U.S. products which could face retaliatory tariffs

Federal agriculture minister Gerry Ritz released a list of U.S. products Friday which could face retaliatory tariffs from Canada, unless the United States resolves the dispute over the country of origin labeling also known as COOL. But the retaliation actions aren’t expected to take place anytime soon, says Ritz, noting that actions could be 18 to 24 months away.

The Canadian government says COOL has costs beef and pork producers close to 1 billion in losses. In a joint statement with Minister of International Trade Ed Fast, Ritz said, “despite consistent rulings by the World Trade Organization, the U.S. government continues its unfair trade practices, which are severely damaging to Canadian industry and jobs.”

Releasing the U.S. product list marks the next phase of the WTO resolution process. The U.S. failed to comply with a May 23 deadline set by the trade body to meet trade rules, after Canada and Mexico filed a complaint with the WTO arguing that U.S. labeling rules were discriminatory.

Canadian authorities say they will not retaliate until the WTO gives them authorization to do so.

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