1.In order to off-set the significant losses the Quebec maple syrup industry had suffered from the beetle infestation, the Quebec Government has been providing Quebec maple syrup farmers and producers with financial assistance, through grants and interest-free loans. This financial assistance resulted in the Quebec maple syrup producers being able to charge 40% less for their maple syrup exported to the US.

The 40% reduction in the price of maple syrup imported from Quebec resulted in the US producers suffering a more than 40% reduction in sales in the US. An internal investigation has determined that the US-maple syrup producers did not suffer any losses in the year 2020, mostly because of the popularity of maple syrup during the pandemic. However, they would have made more profit if it was not for the 40% reduction in sales. The US maple farmer association has complained to the US Government that the Canadian imports have caused them injury. To address these complaints, the US Government has imposed a 40%ad valorumtariff on all imports of maple syrup from Canada.

A.Does the new US tariff on maple syrup violate the GATT / WTO? Explain your answer by relying on the relevant GATT / WTO principles (2 points)

B.Are there any GATT /WTO exceptions that the US tariff may quality under? Explain your answer by relying on the relevant GATT / WTO exceptions (3 point)

C.Does the US tariff violate CUSMA / NAFTA and if so, why? Explain your answer by relying on the relevant CUSMA /NAFTA principles and exceptions (1.5 points)

D.The Quebec maple syrup producers want to launch a formal dispute resolution process regarding these tariffs under CUSMA / NAFTA. What is the procedure that the Quebec maple syrup producers must follow?

Answer your question with reference to the CUSMA / NAFTA relevant rules and procedures (2 points)

E.The Canadian Government wants to launch a formal complaint under CUSMA / NAFTA against the US Government regarding the tariffs. What is the procedure that it should follow to resolve this dispute? Answer your question with reference to the CUSMA / NAFTA relevant rules and procedures (1 point)