SFA MEMBER ALERT: WTO Strikes Down COOL Rule, Retaliation Next Step

May 18, 2015

SFA MEMBER ALERT: WTO Strikes Down COOL Rule, Retaliation Next Step

Today, the World Trade Organization (WTO) found the U.S. country of origin labeling (COOL) rule in violation of international trade obligations. With no further appeals available, this sets the stage for Mexico and Canada to impose tariffs that will impact billions of dollars worth of U.S. exports as soon as summer 2015. A wide variety of SFA member products could be targeted, including prepared foods, meats, nuts, baked goods, potatoes, cheese, and seasonings.

What's Next? 

This decision now sets in motion a series of events in Geneva and in Washington, DC. In Geneva, Canada and Mexico will most likely act quickly to ask that arbitrators work to determine how much they can retaliate based on their losses by raising tariffs. A panel would then have 60 days to set the amount, as well as the possibility of a settlement.

Meanwhile in the U.S. lawmakers have about two months to determine the next course of action. While the House of Representatives appears poised to introduce legislation to repeal the COOL requirements, such a clear path does not yet exist in the Senate.

What Can You Do To Help?

While actual retaliation is not expected until at least late summer, the time to let Congress know we need a fix is now! Urge your elected officials to pass COOL relief by TAKING ACTION HERE, it's simple takes less than 30 seconds! All you have to do is enter your address and a form letter will automatically generate addressed to your Member of Congress based on your zip code.

 

Questions?

Contact Kailee M. Tkacz

Director of Government Affairs

Snack Food Association

703.836.4500 ext. 218

ktkacz@sfa.org