Quebec Says Canada Should Rethink Milk Pricing to Appease U.S.

  • Premier Philippe Couillard says class 7 a source of friction
  • Dairy an escalating source of tension between U.S., Canada
Quebec Premier Warns Against a North American Trade War
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Canada’s largest dairy-producing province said the nation should reconsider its new milk price policy to ease tensions with the U.S.

The perception is Canada’s new class 7 milk pricing was enacted to hurt the competitiveness of American products, Quebec Premier Philippe Couillard said Friday in an interview at Bloomberg’s New York office. Couillard, who met U.S. Agriculture Secretary Sonny Perdue in Washington this week, said the policy seems to be the main sticking point with the U.S., not the Canada’s supply management-system that controls output by matching production with demand through quotas and import tariffs.