WASHINGTON, March 4, 2025—The United States levied new tariffs on imports from Canada, Mexico and China last night, prompting China and Canada to announce new tariffs on U.S. exports including dairy products. The International Dairy Foods Association (IDFA) released the following statement in response to the tariffs:

"The U.S. dairy industry urges the Trump Administration to quickly resolve the ongoing tariff concerns with Canada, Mexico, and China—America’s top agricultural trading partners. A prolonged tariff war will deliver significant economic damage to American dairy farmers, processors, and the rural communities, and therefore we urge the Administration to resolve these tariffs as soon as possible.  While we recognize that China and Canada have yet to fulfill the promises made in the Phase One and U.S.-Mexico-Canada Agreements, respectively, prolonged tariffs will further diminish market access. We strongly urge the Administration to both resolve U.S. dairy’s trade barriers with these markets and the newly announced tariffs.” 

Background

The U.S. dairy industry, which supports more than 3.2 million jobs in the United States and pumps almost $800 billion into the U.S. economy, has invested more than $8 billion in new processing capacity that will come online in the next few years. The industry exports roughly 18% of the milk it produces, and it relies on increased trade access to open new markets and increase exports. After being a net importer of dairy products a decade ago, the United States now exports $8 billion worth of dairy products to 145 countries. U.S. dairy exports topped $8.2 billion in 2024, the industry’s second-highest level ever. Mexico and Canada—U.S. dairy’s top two global trading partners representing more than 40% of U.S. dairy exports—each imported record values of dairy in 2024 at $2.47 billion and $1.14 billion respectively. China in recent years has imported between $500 million and $800 million worth of U.S. dairy in recent years.

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Contact: press@idfa.org

The International Dairy Foods Association (IDFA), Washington, D.C., represents the nation’s dairy manufacturing and marketing industry, which supports more than 3.2 million jobs that generate $49 billion in direct wages and $794 billion in overall economic impact. IDFA’s diverse membership ranges from multinational organizations to single-plant companies, from dairy companies and cooperatives to food retailers and suppliers, all on the cutting edge of innovation and sustainable business practices. Together, they represent most of the milk, cheese, ice cream, yogurt and cultured products, and dairy ingredients produced and marketed in the United States and sold throughout the world. Delicious, safe and nutritious, dairy foods offer unparalleled health and consumer benefits to people of all ages.