Trump trade rep targets Canada's beer and dairy rules in new CUSMA review conditions

U.S. President Donald Trump's point-person on trade laid out a series of conditions Wednesday that Canada must meet in order to extend the Canada-U.S.-Mexico agreement (CUSMA) when it comes up for a review next year — revealing publicly for the first time what the administration expects Prime Minister Mark Carney to do to keep the pact for the long term.

U.S. Trade Representative Jamieson Greer told the U.S. Congress that CUSMA has been "successful to a certain degree" but there need to be changes before Trump agrees to extend it for another 16 years or revert to yearly reviews, something Canada is eager to avoid given the resulting annual uncertainty.

"I don’t think we can say that USMCA is an unqualified success," Greer said in his remarks.

Greer said the U.S. will take aim at two major Canadian policies: the Online Streaming Act, which brought online platforms like Netflix, Spotify, and YouTube under Canadian broadcasting rules, and the supply-managed dairy sector, among others.

Greer said for the CUSMA review to be successful Canada must bolster "market access for U.S. dairy products," and address "Canada's exports of certain dairy products," an apparent reference to claims that the Canadian sector allegedly dumps milk ingredients cheaply, undercutting American producers.

Greer also wants Canada to address the "provincial bans on the distribution of U.S. alcohol beverages," which came about as a form of protest to Trump's aggressive tariff action on key sectors like steel, aluminum, autos and lumber.

The Trump administration is also demanding Canada address "discriminatory procurement measures" in Ontario, Quebec and B.C. and "complicated customs registration" that some Canadian companies must adhere to when receiving U.S. exports.

Lastly, Greer said Alberta must revisit its "unfair treatment of electrical power distribution providers in Montana."

This is a breaking story. More to come.