Trump exempts more Canadian goods from 50% tariffs after lobbying by Senator Susan Collins
A new proclamation under a 1930 trade law removes paper, plastics, farm machinery and packaging from the duties as Collins fights a tight re-election race in Maine.
President Donald Trump signed a proclamation on Friday that further narrows the list of Canadian products subject to his tariffs, the White House said2,4. The order relies on Section 338 of the Tariff Act of 1930 and refines duties first announced on 20 July 2026 and modified on 8 September 2026, according to a White House fact sheet2.
The changes ease 50% tariffs on Canadian farm equipment and packaging goods, with new exemptions for Canadian paper, plastics and machinery5,6. Products that are crucial to Maine’s agricultural industries will be exempt, according to Senator Susan Collins10. Trump had already exempted road salt and other products last month9.
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Why it matters to investors
The relief came after direct lobbying by Collins, a Republican in a tight race to keep her Senate seat in next month’s elections4. Collins said she had been working with the White House on tariff relief4. She said she pursued the exemptions through repeated conversations with Ambassador Greer, Secretary Lutnick and other senior administration officials3,7,10. She said she spoke to Commerce Secretary Howard Lutnick ‘about the toll tariffs are taking on Maine families, businesses, farmers, and growers’8.
Her office said she pressed US Trade Representative Jamieson Greer and Lutnick for the exemptions6,7. Several outlets described the move as an effort to help Collins win re-election, and it comes as the midterm election approaches3,8,9. For importers of Canadian paper, plastics and machinery, the exemptions lower input costs that had been subject to the 50% duty5.
The White House continues to frame the wider tariffs as a response to Canadian policy. In the original July proclamation, Trump said he found as a fact that Canada was discriminating against the commerce of the United States with respect to motor vehicles1. The fact sheet describes the latest step as further countering what it calls Canada’s discriminatory treatment of American exports2. Canada’s position is not set out in these reports.
What to watch
The tariffs themselves remain in force for products not covered by the exemptions2,5. Each round of carve-outs, from road salt last month to farm machinery and packaging now, has narrowed the scope of the duties rather than removed them5,9.
Collins has made the exemptions part of her campaign in a close Maine Senate race4,7. Whether further exemptions follow before the vote, and whether other lawmakers seek similar relief for their states, are the next questions for companies that trade across the border3,7.
Sources
- FURTHER MODIFYING THE SCOPE OF PRODUCTS OF CANADA SUBJECT TO THE ADDITIONAL DUTIES IMPOSED TO OFFSET CANADIAN DISCRIMINATION AGAINST THE COMMERCE OF THE UNITED STATES WITH RESPECT TO MOTOR VEHICLES, whitehouse.gov (2026-10-23)
- Fact Sheet: President Donald J. Trump Further Modifies Canadian Products Subject to Tariffs Under Section 338, whitehouse.gov (2026-10-23)
- Trump rolls back some Canada tariffs as midterm election approaches, washingtonpost.com (2026-10-23)
- White House says the US is lifting tariffs on some Canadian goods, bbc.co.uk (2026-10-23)
- Trump to ease 50% Canada tariffs on farm equipment, packaging goods - InvestmentNews, investmentnews.com (2026-10-23)
- Trump poised to lift 50% tariffs on some Canadian products | Wealth Professional, wealthprofessional.ca (2026-10-23)
- Susan Collins Touts Canada Tariff Exemptions in Tight Maine Senate Race - Newsweek, newsweek.com (2026-10-23)
- Trump, Seeking to Help Maine Sen. Susan Collins, Exempts Some Canadian Imports From ..., usnews.com (2026-10-23)
- Trump to lowers some Canada tariffs to help Maine lawmaker’s re-election bid, scmp.com (2026-10-23)
- Crucial products for Maine’s agricultural industries will be exempt from tariffs, Sen. Collins says, wmtw.com (2026-10-23)
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