It also remains unclear whether some imports from Canada that are important to Maine — such as heating oil and gasoline — will still be subject to tariffs.
New England is particularly reliant on fuel and other energy imports from Canada. Trump imposed a 10% tariff on that sector, instead of the full 25% tax other industries are facing. But experts say even that additional cost is still likely to be passed on to consumers.
At the U.S. Embassy in Ottawa, a quote from former President Ronald Reagan is engraved on one wall. “Let the 5,000-mile border between Canada and the United States stand as a symbol for the future," Reagan said upon signing a 1988 free trade pact with America’s northern neighbor.
Businesses on Maine and New Hampshire’s coast have concerns about whether Canadians will return in 2025. Trump's spat with Canada isn't only reason.
The industry was already struggling with rising costs, market saturation, and declining demand, and the constant sense of uncertainty over tariffs only adds to the stress.
While experts say some manufacturing could shift back to the U.S., retaliatory tariffs could dry up the Canadian market for Maine timber. But many unknowns remain.
Businesses in border towns like Houlton are reporting rising costs of goods and strained cross-border relationships with Canadian citizens.
The Trump administration is planning to put tariffs on some of the country's — and Maine's — biggest trade partners. A 10% tax on Canadian energy imports and a steeper 25% tax on all other goods from the country is expected to go into effect Tuesday.
President Donald Trump plans to raise revenues and curb drug abuse by starting what some describe as a trade war with our close allies, starting Tuesday.
WASHINGTON (AP) — President Donald Trump’s long-threatened tariffs against Canada and Mexico finally went into effect Tuesday, putting global markets on edge and setting up costly retaliations by the United States’ North American allies.