US Revises 50% Tariffs on Canadian Products, Exempting Farm-Related Goods Ahead of Midterm Elections

The move was announced by Senator Susan Collins, a Maine Republican who faces a tough re-election fight amid rising prices.

1.    Tariff Restructuring: On October 23, 2026, President Donald Trump announced changes to the additional 50% tariffs on selected Canadian products, exempting certain goods while imposing the duties on other Canadian exports.

2.    Products Exempted from Additional 50% Tariffs: The exemptions cover specified Canadian products, including:

o    Corrugated paper

o    Refrigeration equipment

o    Plywood

o    Packing machinery

These products are widely used by American farmers and growers and had been subject to the additional 50% duties.

3.    New Products Subject to 50% Tariffs: The revised measures will impose additional tariffs on specified Canadian products, including:

o    Cocoa powder

o    Vinyl flooring

o    Shampoo

o    Canoes

o    Wooden coffins

o    Parts for yachts

o    Carpets

o    Archery equipment

4.    Effective Date: The revised tariff treatment will take effect at 12:01 a.m. Eastern Time on October 30, 2026, according to the White House proclamation.

5.    Relief for American Farmers: The exemptions follow lobbying by Republican Senator Susan Collins of Maine, who argued that American agricultural producers depend on Canadian equipment, packaging materials and other supplies that are either unavailable domestically or expensive to replace.

6.    Beneficiaries in Maine: The tariff relief is expected to benefit producers of:

o    Blueberries

o    Potatoes

o    Apples

o    Seaweed

Senator Collins said she would continue seeking additional exemptions and a broader trade agreement with Canada.

7.    US Administration's Position: The White House justified the changes by citing Canada's alleged continued discrimination against American farmers, manufacturers and workers. President Trump stated that the revised measures would offset disadvantages to US commerce and serve American interests.

8.    Background to the Trade Dispute:

o    The dispute escalated after Trump returned to office, when he imposed tariffs on Canadian exports over allegations relating to fentanyl trafficking.

o    In August 2026, the administration imposed tariffs on more than $20 billion of Canadian exports.

o    Canada retaliated with tariffs on hundreds of US products.

o    In September 2026, the US imposed additional restrictions on certain Canadian products, including alcoholic beverages, dairy byproducts and molasses.

9.    Legal Challenge: A food importer has sued the Trump administration over the tariffs, arguing that they could increase its tax burden by $40 million annually. The outcome of the case remains uncertain.

10.  Political Significance: The tariff changes come ahead of the US midterm elections. Senator Collins is facing a close re-election contest in Maine, where dissatisfaction with tariffs and their economic effects has become a political issue. Her Democratic opponent, Troy Jackson, criticised the exemptions as insufficient.

Effect of the Announcement

·         Partial relief: Specified Canadian goods used by American farmers and growers will no longer face the additional 50% tariff.

·         New tariff coverage: Other Canadian products will become subject to the additional 50% duty under the revised product coverage.

·         Trade uncertainty continues: The changes do not resolve the wider US–Canada trade dispute.

·         Political dimension: The exemptions may provide relief to selected American industries while addressing concerns raised by voters ahead of the midterm elections.

Key date: October 30, 2026 — effective date of the revised tariff treatment.

Note: The specific product coverage is determined by the relevant annexes to the presidential proclamation. The complete list of affected tariff classifications is not reproduced in the supplied news report.

 

[ABS News Service/24.10.2026]

The Trump administration announced on Friday that it will shuffle its tariffs on Canadian products, exempting some items and applying new tariffs to others, in what appeared to be a last-minute bid to provide relief to American farmers ahead of the midterm elections.

The move follows lobbying by Senator Susan Collins, a Maine Republican who is facing a close re-election bid in her state. The tariffs that are being lifted apply to Canadian products such as corrugated paper, refrigeration equipment, plywood and packing machinery, items that are widely used by farmers and growers in Maine. They currently face 50 percent tariffs, which Mr. Trump slapped on a variety of Canadian goods in July.

Instead, new tariffs will be applied to Canadian exports of cocoa powder, vinyl flooring, shampoo, canoes and other products.

“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,” Ms. Collins said in a post on social media. “I will continue working directly with Administration officials to seek additional relief and encourage a broader trade agreement with Canada, our neighbor, ally, and largest trading partner.”

Ms. Collins said the exemptions would help her state’s blueberry, potato, apple and seaweed producers.

In a proclamation on Friday, Mr. Trump said that he had agreed to modify his tariffs, and that the changes would “offset the burden or disadvantage on U.S. commerce” in a way that was consistent with “the interests of the United States.” The new tariffs will also apply to Canadian products like wooden coffins, parts for yachts, carpets and archery equipment, and will be effective as of 12:01 a.m. Oct. 30, the White House said.

The White House said that it was responding to Canada’s “continued discrimination” against American farmers, manufacturers and workers.

“This administration will continue to use every available tool to restore reciprocity in our bilateral trade relationships and safeguard the economic prosperity and national security of the American people,” said Matthew Middleton, a White House spokesman.

The president’s trade spat with Canada began shortly after he returned to office, when Mr. Trump imposed tariffs on Canadian exports in return for what he claimed was the country’s role in channeling fentanyl to the United States. Mr. Trump has also angered Canadians by repeatedly referring to their country as the 51st state, and threatening to withdraw defensive provisions for Canada.

The tension has devolved into tit-for-tat trade actions that have proved unpopular with many Americans, particularly in states that rely on Canada as their biggest export market.

After Canada refused to fold to some of Mr. Trump’s trade demands, the Trump administration imposed tariffs in August on more than $20 billion of Canadian exports. Canada retaliated with tariffs on hundreds of U.S. products. Then in September, Mr. Trump banned some Canadian products outright, including alcoholic beverages, dairy byproducts and molasses.

Earlier this week, a food importer filed a lawsuit against the Trump administration for those tariffs, saying they could increase its tax burden by $40 million annually. Courts have struck down other tariffs issued by Mr. Trump, but it remains to be seen how they rule in this case.

Ms. Collins and her Democratic opponent, Troy Jackson, have been deadlocked in recent polls. The loss of Ms. Collins’s seat could tip the Senate in favor of Democrats, upending Mr. Trump’s legislative agenda for the rest of his term. Voters in the state have been frustrated by Mr. Trump’s policies on tariffs, immigration and the war in Iran.

During a debate against Mr. Jackson this month, Ms. Collins defended her record and described herself as the “most outspoken opponent of the tariffs with Canada.” She highlighted her success exempting road salt and cement from the duties.

Mr. Jackson suggested that those efforts were too little and too late.

“Mainers can’t afford to pay their bills with a press release or a strongly worded letter,” he said. “What about everything else? We can’t eat road salt.”