'Pointless trade war': Trump’s Canada tariffs draw Senate fire

Washington, Sep 10 (AHN) Five Democratic US senators have accused President Donald Trump of deepening a “pointless trade war” with Canada, warning that new tariffs would raise prices, hurt American businesses and push a key ally towards other trading partners, including China.

The criticism came after Trump imposed new restrictions on Canadian products in response to Ottawa’s retaliatory tariffs on about $20 billion in US exports. The White House said Canada’s measures covered steel, dairy and agricultural equipment.

Senators Amy Klobuchar, Chris Coons, Patty Murray, Jeanne Shaheen and Elissa Slotkin on Wednesday (local time) said their states depend heavily on commerce with Canada.

“The states we represent rely on Canada as a key trading partner and our primary export market,” the senators said in a joint statement.

“We have deep ties with our neighbours to the north, and we share one of the world’s most enduring defence partnerships. We have built two powerful nations over many decades by working together, growing our economies together and securing our homelands together.”

The senators said the tariffs would affect small businesses, farmers, manufacturers and consumers.

“Instead of working with our neighbours, President Trump is doubling down on a pointless trade war with Canada,” they said.

“His tariffs will squeeze our states’ small businesses harder and drive costs up for working families. They will raise the cost of the lumber, plywood and construction equipment we need to build new housing.”

The lawmakers also said the measures would hurt workers and businesses manufacturing automobiles, aircraft and machinery. They warned that consumers could pay more for milk, clothing and paper products.

They claimed Trump’s tariffs had already cost American families as much as $5,000 in some states. The statement did not provide the methodology behind that estimate.

The senators also warned that continued trade friction could weaken the United States’ commercial relationships.

“While American families and businesses suffer from Trump’s trade wars, partners around the world, including Canada, are increasingly looking to diversify away from the United States and deepen trade ties with other countries including China,” they said.

The White House said Trump signed five proclamations under Section 338 of the Tariff Act of 1930. The administration said the measures were a response to Canada’s “additional retaliation and continued discriminatory treatment of crucial American exports.”

The actions ban certain Canadian alcoholic beverages, dairy goods and other products already covered by 50 per cent tariffs. The import bans will take effect on September 29.

The administration also removed products including rock salt and cement from the tariffs while adding other goods, ranging from all-terrain vehicles to additional dairy products. Those changes will take effect on September 15.

The White House said the measures would apply even to covered goods originating under the United States-Mexico-Canada Agreement. It argued that the action was needed to protect American farmers, manufacturers and workers. Canada and the United States have one of the world’s largest bilateral trading relationships.

Klobuchar is a lead sponsor of legislation seeking to revoke the newest global tariffs and the 50 per cent tariffs on Canada. She has also introduced the Trade Review Act with Republican Senator Chuck Grassley and Democratic Senator Maria Cantwell, which would require congressional approval of new tariffs within 60 days.