There are a couple of things around NAFTA that failed to come out during the campaign. First, candidate Trump failed to mention that Canada made up one third of the partners in NAFTA…and in many cases free trade with Mexico and Canada is very beneficial for some American producers. Like those in agriculture for instance. Until things like this happen:
Dairy farms in Wisconsin and other states could be forced out of business as early as May because of a trade dispute that has halted the export of their milk to Canada.
About 75 farms in Wisconsin have already been told that, in less than 30 days, Grassland Dairy Products of Greenwood will no longer buy their milk – leaving the farms without a place to ship their product in an already oversupplied market.
At issue is a U.S-Canada trade dispute over what’s called “ultra-filtered milk,” a protein liquid concentrate used to make cheese. Until recently, it had entered Canada duty-free from the United States.
Canadian dairy farmers objected, resulting in Ontario and other provinces applying import taxes.
Until recently it entered Canada duty free…but now they are applying import taxes. So farmers in the United States are at risk of losing their livelihoods. Obviously NAFTA has been a boon to them.
So now that it will negatively affect American jobs if it is not enforced from our side…will President Trump take up supporting NAFTA and save these American jobs?
And if NAFTA is dissolved or renegotiated or if we enact border taxes…expect to see more retaliatory tariffs from our trading partners that will result in job losses like these.
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