U.S. trade officials say Canada needs to resolve several policy concerns to secure a future extension of the CUSMA trade agreement. CTV
The Canada-U.S.-Mexico trade deal faces a major review next year. U.S. officials now signal firm expectations. Canada must change some policies to secure long-term certainty. The agreement does not extend automatically.
U.S. Trade Representative Jamieson Greer spoke to lawmakers on Thursday. He said the deal helped American exporters. He also said serious issues remain unresolved.
“(CUSMA) has been successful to a certain degree,” he said. He added the benefits do not outweigh “structural shortcomings.”
Dairy Market Access a Major Issue
The United States wants wider access to Canada’s dairy market. Current rules allow limited U.S. dairy imports without tariffs. Greer said Canada still blocks fair access.
He told lawmakers Canadian policies “unfairly restrict market access” for U.S. products. A past dispute panel rejected U.S. complaints. That ruling did not settle concerns in Washington.
The dairy issue remains central ahead of the review.
Digital Laws Raise U.S. Concerns
Greer also criticized Canada’s digital content laws. These include the Online Streaming Act and Online News Act. Both laws place digital platforms under Canadian cultural rules.
“Canada insists on maintaining its Online Streaming Act, a law that discriminates against U.S. tech and media firms, as well as a number of other measures that restrict digital services trade,” Greer said.
The U.S. sees these laws as barriers. Officials argue they hurt American companies operating in Canada.
Alcohol and Procurement Rules Targeted
U.S. officials also flagged provincial alcohol rules. Some provinces ban certain U.S. alcohol products. Greer said those bans hurt American exporters.
He also raised concerns about provincial procurement rules. Ontario, Quebec, and British Columbia drew specific attention. Greer said these rules limit U.S. business access.
Customs rules also came under criticism. Greer described registration processes as complicated. He said these systems slow U.S. exports into Canada.
Power Dispute Involving Alberta
Energy trade also entered the discussion. Greer pointed to a dispute involving Alberta power rules. He said the issue affects electricity providers in Montana.
In March, U.S. officials listed Alberta’s grid operator as a trade barrier. They accused the operator of favouring local power.
“For example, during times of surplus or transmission congestion, AESO favours electricity generated within Alberta over equally priced U.S. power flowing across the border,” the report said. “The AESO has also proposed additional fees and other restrictions on imported energy.”
Alberta Rejects Claims
Alberta officials rejected the allegations. Minister Nathan Neudorf responded earlier this year. He denied unfair treatment.
The province does not “treat generators in the U.S. or any other jurisdiction any differently than generators within Alberta.”
Neudorf also noted trade shifts. Alberta imported less power from Montana recently. Exports to Montana increased during that time.
Market data still shows Montana exports power to Alberta. Alberta imported more Montana power than from nearby provinces.
Review Outcome Remains Unclear
The CUSMA review looms closer. U.S. officials want changes before renewal. Canada now faces tough negotiations ahead.
