U.S. dropping, adding some tariffs on Canadian exports
U.S. President Donald Trump is lifting some tariffs on Canadian exports at the end of this month, but adding tariffs to dozens of new products, including Canadian garbage and sewage.
As the trade war with Canada becomes a ballot box issue in key races ahead of November's midterm election, Maine Sen. Susan Collins, a Republican, said Friday nine categories of Canadian exports will be exempted from tariffs. Those include corrugated paper, plastic boxes and several types of machinery important to her state's agricultural industries.
Collins is in a tough re-election battle and her Democratic challenger, Troy Jackson, has made the trade war with Canada a key issue in the tight race.
"Many of our farmers and growers rely on specialized equipment, packaging materials, and other products from Canada that are either unavailable from American suppliers or cannot be replaced without incurring significant expense," Collins said in a media statement Friday.
Collins said the tariff exemptions are for products crucial to Maine's agricultural industries.
The executive order signed Friday by Trump says the tariffs will disappear from those products on Oct. 30, and that the changes are being made after Trump received new advice from senior executive branch officials.
"In my judgment, the modification in this proclamation will offset the burden or disadvantage on U.S. commerce, is consistent with the public interests and the interests of the United States, is required by the public interests, and will better serve the public interest," the order reads.
Ontario Premier Doug Ford responded to Collins' announcement of limited tariff relief by posting on social media, "Now get rid of the rest."
However, the same executive order will also impose new tariffs on dozens of new categories as cocoa powder, paints and varnishes, shampoos, vinyl flooring, archery equipment and carpets. It also will apply 50 per cent tariffs on sewage sludge, and some municipal waste.
Trump's trade war with Canada has become a political flashpoint in states such as Maine and Michigan ahead of November's midterms.
Trump slammed an array of Canadian products with 50 per cent tariffs in August after trade talks with Ottawa broke down. Ottawa responded with retaliatory tariffs on specific American imports.
Trump again escalated trade tensions the following month by banning imports of certain Canadian goods.
Earlier this week, a U.S. food importer filed a legal challenge against the Depression-era trade statute — Section 338 of the Tariff Act of 1930 — that Trump used to hit Canada with the heavy duties and trade embargoes.
Collins has argued on the campaign trail that her behind-the-scenes advocacy has secured tariff relief, pointing to the Trump administration's decision to lift duties on road salt and concrete.
Jackson responded to his challenger's tariff announcement Friday by saying Collins "enabled this chaos, voted to confirm the people behind it, and now wants credit for bringing a cup of water to put out the fire."
— The Canadian Press