Sen. Roberts Calls for COOL Repeal Ahead of Ag Hearing
Repeal of country-of-origin labeling law is the "only solution" for the U.S. to avert Canadian and Mexican retaliation, said Senate Agriculture Chairman Pat Roberts, R-Kansas, two days before a heavily-anticipated hearing on the issue. The World Trade Organization gave the go-ahead on June 17 for the U.S. and Canada to begin another round of arbitration, in a step which brings the WTO closer to approval of retaliatory tariffs (see 1506170045).
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Roberts had previously avoided an all-out call for repeal, instead vowing to continue to explore other options (see 1505270016). "The WTO determination process is uncertain and can take at minimum months, potentially longer," the release said. "During this time, the U.S. economy will continue to suffer."
According to Roberts' office, retaliatory tariffs are expected to target "U.S. meat, dairy, wine, distilled beverages, baked goods, furniture, steel, mattresses, jewelry and other goods." If the U.S. doesn't bring its COOL regulations into compliance with World Trade Organization rules, Canadian and Mexican retaliatory tariffs are poised to reach roughly $3.2 billion annually, said the release. A Canadian minister recently cited similar figures (see 1506170045). The Office of the U.S. Trade Representative challenged those claims, which draw from domestic industry damage, in recent days (see 1506190023).
The Senate Agriculture Committee will hear testimony from U.S. agriculture producers on June 25 (see 1506230009). The House overwhelmingly passed COOL repeal, HR-2393 (here), on June 10 (see 1506100067). No COOL-related legislation has yet to surface in the Senate this Congress.