The Country of Origin Labeling (COOL) Reform Coalition is asking Congress to repeal the existing U.S. Mandatory COOL rule for muscle cuts of meat. In a letter sent by the group’s 109 stakeholders, the signers say they are gravely concerned about the negative impact the rule will have on the U.S. economy.

On October 20, 2014, a World Trade Organization (WTO) Compliance Panel released a report determining that the rule violates obligations the United States has undertaken as a member of the WTO with regard to our two largest export markets, Canada and Mexico. While there is an opportunity for the United States to appeal this decision, final adjudication should occur in early 2015. At that time, if the Compliance Panel’s original findings are found to be valid, both Canada and Mexico could subject an array of U.S. exports to retaliatory tariffs. A finding of non-compliance would surely result in serious economic harm to U.S. firms and farmers that export to our neighbors.

Canada has already issued a preliminary retaliation list targeting a broad spectrum of commodities and manufactured products that will affect every state in the country. Mexico has not yet announced a preliminary retaliation list, but has implemented retaliatory tariffs in the past which may be indicative of future tariff opportunities. It is expected that U.S. industries would suffer billions in lost sales if retaliation is allowed. We invite you to review the state-by-state retaliatory analysis available at www.COOLReform.com.

The coalition goes on to say that “it would be intolerable for the United States to maintain, even briefly, a rule that has been deemed non-compliant by the WTO.” The group wants Congress to give the U.S. Secretary of Agriculture immediate authority and direct the secretary to rescind elements of COOL that have been determined to be non-compliant with international trade obligations.