American farmers are bracing for the impact of new tariffs exchanged between the U.S. and Canada on both their supply costs and their sales, according to a report from Wisconsin Public Radio.
President Donald Trump’s administration placed new 50 percent tariffs on around $20 billion worth of Canadian goods after trade talks between the two countries fell apart in late August. Canada came back with its own list of equivalent import taxes on American goods.
Dairy products are a central part of both tariff lists, including everything from finished cheeses to ingredients like whey.
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Karen Gefvert, chief policy officer for Wisconsin-based Edge Dairy Farmer Cooperative, said the dairy supply chains between the two countries are tightly interwoven. She said both processors and farmers will feel the pain if sales to Canada are slowed or canceled.
Almost half of Wisconsin’s 2024 exports ($12.1 billion, or 44.5%) stayed within North America, including $7.5
billion (or 27.7%) destined for Canada. Canada is Wisconsin’s largest trading partner – nearly doubling the amount of trade with the next closest country, according to the Wisconsin Economic Development Corporation.
