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Democrats are preparing to make tariffs on Canadian goods an early target of their effort to reverse President Donald Trump’s trade agenda, The Wall Street Journal reported, according to PoliticalWire, with incoming Senate Finance Committee leader Ron Wyden already discussing legislation with colleagues.
Wyden told the Journal there was strong support for repeal, according to a WSJ excerpt published by Diamond. The report pointed to Michigan, Maine and Alaska, where opposition to the trade conflict has also drawn support from some Republicans.
Importers still face the bill
For U.S. companies buying Canadian products, the immediate issue is the cost of getting goods across the border. U.S. Customs and Border Protection says the importer is responsible for paying import duties. Whether a future reduction reaches shoppers through lower prices would depend on the final law and businesses’ pricing decisions.
Border-state manufacturers, retailers and other cross-border businesses have reason to watch the legislation discussions as they plan purchasing and pricing. A tariff reduction would require a policy change before it could affect their current border costs.
A presidential veto remains a hurdle
In a separate CBC interview published November 4, Rep. Jamie Raskin said Democrats wanted to move quickly on tariffs after taking control of Congress in January. Canadian Trade Minister Dominic LeBlanc said Ottawa would continue dealing with the Trump administration, which remains in office.
Trump could veto a bill passed by Congress. Overriding a presidential veto requires two-thirds majorities in both chambers. That puts the administration and the balance of congressional support at the center of the effort to reduce trade barriers.
JBizNews Desk | Economy & Business
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