Economics

White House says the US is lifting tariffs on some Canadian goods

Susan Collins, a Republican in a tight race to keep her senate seat in next month's elections, said she had been working with the White House on tariff relief.

White House says the US is lifting tariffs on some Canadian goods

Senator Susan Collins said she had worked with the administration to secure "tariff relief"

The US is removing some of its 50% tariffs on Canadian goods, with the White House saying on Friday that it was acting to "protect the economic prosperity and national security of the American people".

The exemptions could also give a lift to Republican candidates in the midterms elections on 3 November, as many US voters rank affordability and economic strain among their biggest concerns.

Republican Senator Susan Collins, who is locked in a close race in Maine to retain her seat in the election, was the first to announce the exemptions, saying they would support her state's agriculture industry.

After trade talks broke down this summer, the US and Canada entered an escalating tariff war that has hit both sides of the border.

In a statement, the White House said the US was taking certain products off the list of Canadian goods it taxes, including plywood sheets, some paper products, certain machinery and refrigeration equipment, and certain packing crates and boxes.

It added that those items would be replaced with certain valves, carpets, waste products, among others.

Also on Friday, President Donald Trump said that Canada is "working very hard" on a ⁠trade ​deal with the US.

The Wall Street Journal reported that the exemptions, which are largely centered on Canadian agriculture and forestry, were introduced in an effort to help Collins and other Republicans in the coming midterm elections.

The reductions could be balanced by increasing levies on ​other Canadian goods, the Journal reported.

In a statement Collins released shortly after the report, the incumbent lawmaker, who is seeking her sixth term, said that nine categories of products, including blueberry, potato, apple, and ​seaweed producers, will be exempt from US tariffs on Canada.

"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," she said on X.

Collins said she has asked US officials and senior administration officials to seek further relief and promote a broader trade agreement with Canada.

​Maine's economy, along with that of other border states, is closely tied to Canada and has felt the impact of the month-long trade war.

Michigan lawmaker Mike Rogers, also a Republican, has run adverts urging Trump to end the standoff in his trade-reliant state after spending months backing the policy.

In New Hampshire, former Senator John Sununu has also criticized the retaliatory tariffs.

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