Dairy Industry Leader Testifies to Congress on USMCA Review Priorities

Ted Vander Schaaf, an Idaho dairy farmer and member-owner of Northwest Dairy Association, testified today before the Senate Finance Committee on the importance of the U.S.-Mexico-Canada Agreement (USMCA) to the U.S. dairy industry and the improvements needed for the agreement to fully deliver for American dairy farmers.

Vander Schaaf serves on the board of directors for the Northwest Dairy Association, the cooperative that owns Darigold, and the Idaho Dairymen’s Association, both of which are members of the National Milk Producers Federation and the U.S. Dairy Export Council.

“Strong, enforceable trade agreements are critically important to the U.S. dairy industry. The United States exported approximately $9 billion in dairy products in 2025, including a record 559,000 metric tons of cheese last year through November,” Vander Schaaf said at the hearing.

Mexico and Canada are critical markets for U.S. dairy, purchasing $3.6 billion in American dairy products in 2024 and accounting for 44 percent of total U.S. dairy export value. USMCA is vital to those trade flows. However, Canada’s ongoing, blatant disregard of key USMCA obligations has undermined the agreement, and Mexico’s strong collaboration and partnership with the U.S. has yet to extend to its intellectual property office, as it pertains to common food names.

Vander Schaaf highlighted Canada’s continued manipulation of its dairy tariff-rate quotas and its circumvention of USMCA dairy protein export disciplines, which have limited U.S. producers’ ability to compete in Canada and other markets. He also noted that while Mexico has been a great partner, it has still not fully met its commitments to protect common cheese names such as “parmesan” and “feta.”

USMCA mandates a “joint review” in 2026, offering the U.S. government an opportunity to negotiate solutions to the current shortcomings in dairy trade.

“For U.S. dairy producers exports are critical not just for growth but for survival, and we all agree it must continue. But a firm base depends on Canada upholding their end of the bargain, and on preserving our fully open trade flows with Mexico,” continued Vander Schaaf. “The U.S. dairy industry is counting on Congress and the Administration to help us fix the issues that I have laid out today, and to secure a better, stronger USMCA for American dairy farmers.”

Vander Schaaf’s testimony also builds on the Feb. 5 launch of The Agricultural Coalition for USMCA. Co-led by USDEC and NMPF, the Coalition is advocating for the strengthening and renewal of USMCA.

A link to the written testimony can be found here.

 

NMPF Leads Charge to Prioritize Dairy in 2026 USMCA Review

As preparations continue for the 2026 review of the U.S.-Mexico-Canada Agreement (USMCA), NMPF and the U.S. Dairy Export Council are advancing a coordinated strategy to ensure the agreement delivers on its promises to U.S. dairy producers.

NMPF Executive Vice President for Trade Policy and Global Affairs Shawna Morris testified before the Office of the U.S. Trade Representative at a Dec. 3 hearing, to highlight the trade pact’s importance for U.S. dairy producers and emphasize the need for the administration to address violations of USMCA dairy commitments. Morris detailed how Canada continues to manipulate dairy tariff-rate quotas and offload surplus nonfat milk solids into global markets at artificially low prices. She also pointed to Mexico’s failure to implement USMCA protections for common cheese names like “feta.”

Congress reinforced the message the same day, as a bipartisan group of 74 House members sent a letter to U.S. Trade Representative Jamieson Greer urging the administration to address unresolved dairy issues in the USMCA review. Developed with support from NMPF, USDEC, and dairy stakeholders, the letter calls out Canada’s unfair import restrictions and global dumping practices, while pressing for full implementation of Mexico’s commitments on common cheese names.

NMPF and USDEC also took their case directly to Capitol Hill. NMPF Trade Policy Director Tony Rice participated in a pair of briefings for House Ways and Means and Senate Finance Committee staff on Dec. 9 and 10 as part of the new U.S. Agriculture Coalition for USMCA. Rice emphasized the importance of targeted improvements to the agreement, noting that 44 percent of U.S. dairy exports by value went to Mexico and Canada last year.

The progress builds on sustained engagement by NMPF and USDEC, including joint written comments submitted Oct. 31, an Aug. 5 appearance before the U.S. International Trade Commission, and multiple filings tied to the Commission’s investigation into nonfat milk solids competitiveness that will inform the administration’s approach to address Canada’s offloading of dairy proteins.

All together, these efforts reflect NMPF’s ongoing push to ensure the USMCA review strengthens the agreement, holds U.S. trading partners accountable, and delivers fair market access for American dairy producers.

NMPF, USDEC Praise Bipartisan Call for USMCA Dairy Enforcement

The National Milk Producers Federation and the U.S. Dairy Export Council commended 74 House lawmakers today for sending a bipartisan letter urging the U.S. government to leverage the U.S.-Mexico-Canada Agreement (USMCA) 2026 Joint Review to address concerns over the deal’s dairy provision implementation.

The letter to United States Trade Representative Jamieson Greer highlights Canada’s attempts to evade its dairy commitments by misallocating its USMCA dairy tariff rate quotas and continuing to export artificially low-priced dairy proteins without appropriate limits. It also touches on Mexico’s need to fully implement common cheese name protections agreed to as part of USMCA. The lawmakers called on the administration to ensure these issues are resolved during the upcoming review process.

“USMCA raised the standard for what a trade agreement could be and promised new opportunities for U.S. dairy farmers,” Gregg Doud, president and CEO of NMPF said. “Unfortunately, the Canadian government has continued to evade its dairy trade obligations, and U.S. dairy farmers are not seeing the full benefits USMCA intended. We commend Representatives Tenney, DelBene, Wied, and Costa for championing this effort and working with the Administration to hold our trading partners accountable.”

“Our industry thrives when trade agreements deliver real results for the people they are meant to support,” Krysta Harden, president and CEO of USDEC said. “Representatives Tenney, DelBene, Wied, and Costa are standing up for our dairy producers and processors by ensuring our trading partners honor their trade obligations. We are grateful for their leadership and for their commitment to securing the full benefits of USMCA for U.S. dairy. USDEC is committed to working closely with both Congress and the Administration to address these dairy issues as the USMCA Review moves forward.”

U.S. dairy exports to Mexico and Canada last year exceeded $3.6 billion, accounting for 44% of total export value. USMCA preserved duty-free access for U.S. dairy into Mexico and introduced a series of provisions to expand market access into Canada and discipline trade-distorting practices, both of which Canada has failed to fully implement.