BD Exports FY2026-27 YTD (July-August) $9.16B +5.4% YoY BD Exports FY2025-26 (Full Year) $48.00B -0.6% YoY RMG Export (HS 61+62) $38.70B 80.6% of exports Top Destination United States $9.05B (+4.1%) Jute (HS 53) $751M Footwear (HS 64) $1.22B Leather Goods (HS 42) $400M Pharma (HS 30) $238M BGMEA Members 4,275 Japan EPA Active Feb 2026 EU EBA Duty-Free HS Codes 7,498 BD Exports FY2026-27 YTD (July-August) $9.16B +5.4% YoY BD Exports FY2025-26 (Full Year) $48.00B -0.6% YoY RMG Export (HS 61+62) $38.70B 80.6% of exports Top Destination United States $9.05B (+4.1%) Jute (HS 53) $751M Footwear (HS 64) $1.22B Leather Goods (HS 42) $400M Pharma (HS 30) $238M BGMEA Members 4,275 Japan EPA Active Feb 2026 EU EBA Duty-Free HS Codes 7,498

Trump Lifts Some Canada Tariffs Two Weeks Before US Midterm Elections

Plywood, paper and machinery exemptions help Senator Susan Collins while new levies hit carpets, valves and waste products from October 30

By AI News Desk, BangladeshExport October 24, 2026 at 5:23 PM 4 min read Washington
Canadian and American flags side by side representing trade tensions over tariffs
📷 Image: Collected

🌏 President Donald Trump's administration lifted some tariffs on Canadian imports on Friday, two weeks ahead of midterm elections, after a vulnerable Republican candidate said she had lobbied for the change. The easing applies to products including plywood sheets, some paper products, certain machinery and refrigeration equipment, the White House said in a statement — a targeted exemption list that reads like a political map of contested districts.

📰 The change could help Senator Susan Collins, who faces a strong challenge from a Democrat in the US-Canada border state of Maine, which has been hit hard by Trump's trade war. She posted on social media that she had secured the exemptions for products crucial to Maine's agricultural industries, including blueberry, potato, apple and seaweed producers. Democrats are targeting Collins's seat in their attempt to win control of Congress from the Republicans in the November 3 midterms, and trade's local pain has become the campaign's most reliable theme.

💲 Collins said many farmers in her state rely on specialised equipment, packaging materials and other products from Canada that are either unavailable from American suppliers or cannot be replaced without incurring significant expense — the practical argument every importer on the continent has made since the tariff war began. The economies of the United States and Canada are heavily interconnected, with roughly 70 percent of all Canadian exports heading to the United States.

⚡ One hand lifts, the other levies

⚖ The story is not a simple relaxation. Friday's action lifts tariffs on certain goods but simultaneously imposes levies on new ones, including carpets, certain valves and waste products, the White House said, with the new measures taking effect on October 30 — eight days before the election. The Canadian government takes note of these recent tariff measures adopted by the United States, Dominic LeBlanc, Ottawa's minister in charge of US-Canada trade, said in a statement to AFP. While evaluating these recent measures, Canada remains ready to work together in a constructive and good-faith manner with the US, he added.

🗳 Tensions between the North American neighbours have been high since trade talks broke down in August, with Trump imposing a slew of new tariffs in response. Those post-talks levies impacted around $20 billion worth of goods, or 5.5 percent of Canadian exports to the United States, targeting products ranging from hockey sticks to cement. Previous Trump levies on autos, steel, aluminium and lumber have hit Canada hard, forcing job losses and stunting growth — and Canada has entered a technical recession this year after two consecutive quarters of economic contraction.

🔭 Tariff policy by ballot box

🏇 Since taking power in his second term, Trump has upended the global trade order by imposing wide-ranging tariffs on friend and foe alike, saying that other countries have been taking advantage of the United States, and he has explicitly tied some threatened tariffs to political or foreign policy objectives. Friday's carve-out is the clearest demonstration yet that the reverse also holds: domestic political pressure — a senator's re-election fight in a blueberry-and-potato state — can carve pieces out of the tariff wall.

💸 For economists, the pattern confirms what import-weighted data has shown all along: tariffs function as a tax paid domestically, and the loudest relief requests come from the politically pivotal places that pay them. When exemptions are granted weeks before an election for a specific state's blueberry processors, tariff policy stops looking like strategic leverage and starts looking like constituency service — with customs revenue as the patronage currency.

🌍 For the rest of the world, and for export-dependent economies like Bangladesh watching from the sidelines, the lesson cuts deeper. The same administration that demands reciprocity in trade agreements has shown that its own tariff schedule is negotiable by electoral calendar. Buyers, sourcing managers and trade negotiators everywhere will note that US tariff commitments now carry a domestic political expiry date — and that persistence, lobbying and local pressure can move them. In a global trading system already straining under security-driven fragmentation, the sight of the largest economy fine-tuning its tariff wall to midterm polls is one more argument for diversification that every trading nation, from Ottawa to Dhaka, is already acting on.

📋 The mechanics of the exemption also reveal how trade policy is now administered in Washington: itemised product lists, published in White House statements, that shift week to week. Importers must read federal notices the way traders once read tea leaves — checking whether their plywood grade, paper type or valve model falls on the lifted or newly levied side of the line. Customs brokers describe an operating environment where classification disputes, retroactive duty calculations and sudden list changes have become routine commercial hazards rather than edge cases, adding a layer of permanent uncertainty to North American supply chains.

📡 News Courtesy

This news was originally published by The Daily Star. For the full original report, please visit: https://www.thedailystar.net/business/global-economy/news/trump-lifts-some-canada-tariffs-ahead-midterms-4306571

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