Trump Eases Canada Tariffs Two Weeks Before Midterms — SkimNews
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- Trump lifted tariffs on some Canadian imports on Friday, Oct 23, two weeks ahead of the Nov. 3 midterms, after Republican Senator Susan Collins said she lobbied for the change.
- White House said the exemptions cover plywood sheets, some paper products, certain machinery and refrigeration equipment, while new levies on carpets, certain valves and waste products take effect Oct 30.
- Collins said she "secured" exemptions for products crucial to Maine's blueberry, potato, apple and seaweed producers, adding that farmers rely on Canadian equipment and packaging that is unavailable or costly to replace.
- Democrats are targeting Collins's seat in their attempt to win control of Congress from the Republicans, and she faces a strong challenge in the US-Canada border state of Maine.
- Canada entered a technical recession this year after two consecutive quarters of contraction, with previous Trump levies on autos, steel, aluminium and lumber hitting the country hard, forcing job losses and stunting growth.
- United States takes roughly 70 per cent of all Canadian exports, and tariffs imposed after August talks broke down covered about US$20 billion in goods, or 5.5 per cent of Canadian exports to the US.
Why it matters: The timing is the point: exemptions landed two weeks before the Nov. 3 midterms, after Collins said she secured them. Maine's blueberry, potato, apple and seaweed producers gain cheaper access to hard-to-replace Canadian inputs, while Canada still carries roughly US$20 billion of exposed goods and a technical recession.
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