The US government has formally cataloged its trade complaints against Canada as both countries barrel toward the first joint review of the USMCA, the trade agreement that replaced NAFTA. The review is set for July 1, 2026, and the stakes are about as high as trade negotiations get: the outcome will determine whether the pact extends for another 16 years or enters a far less stable arrangement of annual reviews.
What Washington wants to talk about
The Office of the US Trade Representative wrapped up public consultations in late 2025, collecting over 1,500 comments from stakeholders across industries. The USTR subsequently reported its concerns regarding Canada to Congress by early January 2026.
At the top of the complaint list sits Canada’s dairy supply management system. For those unfamiliar, Canada uses a quota-based system that tightly controls domestic milk production and effectively limits how much foreign dairy can enter the market. American dairy producers have long argued this amounts to a trade barrier dressed up as agricultural policy.
Then there’s Canada’s digital services tax, which applies levies to revenue earned by large tech companies operating in the country. Washington views this as disproportionately targeting American firms, a complaint the US has lodged against similar taxes in other countries as well.
