Canada: COOL Cost Us $2.4 Billion

Canada filed a request with the World Trade Organization (WTO) last week seeking to impose $2.4 billion in retaliatory tariffs on United States exports. The request is a response to the failed Country-of-Origin Labeling (COOL) rule.

Mexico, which also was affected by the COOL rule, may seek $653 million in retaliatory measures on U.S. products.

Canada and Mexico have fought the rule since 2002, when Congress enacted a mandatory country-of-origin labeling system for meat that included where an animal was born, raised, and slaughtered. Canada and Mexico filed suit with the WTO claiming the rule diminished the value of their livestock. The WTO ruled in favor of the countries repeatedly. The decision in May exhausted the appeals process for the United States.

Legislation is pending in Congress that would repeal COOL. The WTO will consider Canada's request June 17. S