COOL Retaliation & its Impact on the U.S.

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The World Trade Organization (WTO) Appellate Body will soon rule on Canada and Mexico’s case against the U.S. on the mandatory Country of Origin Label (COOL) requirement on muscle cuts of beef and pork.This is the fourth and final decision by the WTO, and in the three previous decisions it has ruled against the U.S. COOL law. 

If the U.S. loses this case, Canada and Mexico have indicated their intention to retaliate on hundreds of U.S. products, ranging from meat and fruit to jewelry, furniture, and biofuels. Pending arbitration, retaliation claimed by Canada and Mexico could be economically devastating.

Canada and Mexico are our top export partners, and these preferred relationships are vital to our local and national economies. The tariffs would harm companies and threaten jobs in every state. Find out the impact COOL would have on a wide range of products in your state and their export value by clicking here. The figures are estimated based on the preliminary retaliation list provided by Canada and past retaliatory tariffs implemented by Mexico. 

Below are a few examples:

  • Montana:  Potential tariffs on $30 million worth of exports on Pasta, Molybdenum, Wheat, Sulfites, Cherries, Cattle
  • Wyoming:  Potential tariffs on $8.2 million worth of exports on Cattle, Wood, Water Filters, Appliances
  • North Dakota:  Potential tariffs on $354 million worth of exports on Spirits, Corn, Fructose, Malt, Barley
  • South Dakota: Potential tariffs on $344 million worth of exports on Pork, Beef, Brewing Waste, Spirits, Tallow

Texas

Michigan

Arizona

California

Louisiana

 

 

 

Source:  US House of Representatives Committee on Agriculture

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