It was Canada’s ultimate prize in the original free-trade deal with the U.S.: a third-party arbitration system to judge whether punitive duties were being applied unfairly. On the final night of negotiations, after a tense phone call involving Brian Mulroney, Canada got what it wanted.
It had been a high priority back then because Canadian industries were being clobbered with duties over allegations of unfair subsidies and product-dumping. They had been hit with about 34 dumping complaints by American competitors in the decade preceding free trade.
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