Senators Propose Bill to Repeal U.S.-Canada Trade Tariffs

Manufacturers and cross-border shippers should prepare for potential changes to import cost structures.

Updated on Oct. 31, 2026 in International Trade

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Senator Peter Welch is spearheading legislation to repeal U.S.-Canada trade tariffs, aiming to reduce operational costs for manufacturers and cross-border shippers. AI Illustration. Upload story photo >

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Senator Peter Welch met with business leaders and trade negotiators in Montreal to address the economic fallout of current trade tariffs between the United States and Canada. The meetings follow his sponsorship of legislation designed to repeal these cross-border tariffs.

Why it matters

The ongoing trade conflict between the two nations is currently impacting manufacturers and regional businesses in states like Vermont. New legislative efforts seek to shift trade authority back to Congress to mitigate these operational pressures.

The proposed BAD DEAL Act targets the total repeal of current U.S. tariffs on Canadian imports, impacting the cross-border supply chains of manufacturers in states like Vermont. The legislative scope remains subject to future Senate Finance Committee review.

The players

Peter Welch

United States Senator from Vermont and member of the Senate Finance Committee.

Kirsten Gillibrand

United States Senator from New York who is co-sponsoring legislation to repeal trade tariffs on Canada.

The details

Senator Peter Welch, a member of the Senate Finance Committee, visited Montreal to coordinate with local manufacturers and Quebec’s chief trade negotiator. Alongside Senator Kirsten Gillibrand, Welch is sponsoring the BAD DEAL Act, which seeks to rescind current U.S. tariffs on Canadian goods. Beyond tariff removal, the bill intends to reassert Congressional oversight regarding trade policy, which currently limits how businesses forecast long-term border costs.

Timeline

  1. October 29, 2026: Senator Peter Welch visited Montreal to meet with industry leaders and trade officials.

Market Landscape

The BAD DEAL Act mirrors historic legislative efforts to rebalance trade-making power between the executive and legislative branches. This move marks a continued push for Congressional oversight of cross-border tariff authority.

Businesses reliant on Canadian-U.S. supply chains should monitor the Senate Finance Committee’s reception of the BAD DEAL Act. Reviewing current import duty structures against potential tariff repeals is a prudent step for managing near-term procurement costs.

The takeaway

Operators should track the progress of the BAD DEAL Act as it seeks to reinstate Congressional control over trade policy and eliminate existing tariff barriers. Keep a close watch on Senate Finance Committee schedules for upcoming hearings that could signal shifts in trade regulation.

Further reading

For more on evolving cross-border policy, visit our International Trade section.

Source note: This article includes information reported by WAMC/Northeast Public Radio.

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Do you support the imposition of trade tariffs on neighboring countries to protect domestic industries?