[The great dairy trade war that will test President Trump]The showdown sets a strained tone for discussions about the North American Free Trade Agreement. But Canada’s dairy market is one of the world’s most highly protected, and U.S. exports into the country are limited, to begin with. Under a system called supply management, the Canadian government controls how much milk dairy farmers produce and how much it sells for, guaranteeing a high price for domestic farmers. (The U.S. dairy market is modestly oversupplied, which has exacerbated the Canadian trade situation.) They also accuse Canadian farmers of manipulating and selectively applying domestic dairy rules to the disadvantage of the competition.

Source: Washington Post April 25, 2017 16:41 UTC