FOLLOWING 50% TARIFF LEVIED ON CANADA, REP. SCHNEIDER, SENATORS GILLIBRAND AND WELCH INTRODUCE BILL TO REPEAL SECTION 338 AND REFUND TARIFFS

LINCOLNSHIRE, IL - Today, Congressman Brad Schneider, a member of the House Ways and Means Trade Subcommittee, together with Senators Kirsten Gillibrand (D-NY) and Peter Welch (D-VT), introduced the Banning Antiquated Duties and Delivering Equitable American Levies (BAD DEAL) Act to repeal Section 338 and refund all duties paid under this authority. Over the weekend, trade talks between the United States and Canada broke down, resulting in the U.S. imposing 50% tariffs on Canada under Section 338. In response, Canada is pledging dollar-for-dollar retaliatory tariffs slated to come into effect after Labor Day. Canada is Illinois' largest export market, with over $19 billion in exports in 2024.

In 2025, Rep. Schneider introduced the Repealing Outdated and Unilateral Tariff Authorities Actwhich would repeal Section 338 of the Tariff Act of 1930. A recent report from the Midwest Economic Policy Institute shows that average household costs for Illinois families have increased by $2,200 as a result of Trump's tariffs.

Earlier this year, Rep. Schneider brought the CEO Learning Resources, the named plaintiff in the Supreme Court case on Trump's tariffs, as his State of the Union Guest days after the Supreme Court ruled Trump's tariffs under IEEPA were illegal.

"Every American deserves a fair shot to get ahead, and Trump's capricious and costly tariffs are making it exceedingly difficult to simply make ends meet," said Schneider. "President Trump's brazen and counterproductive trade war only damages the long-standing, mutually beneficial relationship with our neighbor, and second largest trading partner, Canada. This is a bad deal! It's a bad deal for American families, and it's a bad deal for American small businesses. I'm proud to work with my colleagues to introduce the aptly named BAD DEAL Act to repeal this outdated tariff authority AND refund the tariff duties paid. We will continue fighting to rein in Trump's costly tariffs and reassert Congress' authority before his on-again, off-again trade policy damages our international relationships for years to come."

"President Trump and Republicans promised to lower costs and make life more affordable, but they've used their total power in Washington to make life more expensive than ever," said Gillibrand. "Let's be clear: the latest tariffs against Canada are a bad deal for New York families. I'm proud to introduce this legislation to end these costly tariffs and refund Americans. It's past time for President Trump to stop the political games, get back to the negotiation table, and make a deal that lowers costs and strengthens our economy."

"No good will come of this trade war with Canada. The only thing these tariffs will create is economic pain on both sides of the border, especially for Vermont and the other 33 states that rely on Canada as their largest trading partner," said Welch. "Imposing on-again, off-again tariffs is the opposite of how we should treat our close friends and longtime allies, but it's endemic to how the Trump Administration operates. I'm proud to join my colleagues in leading the BAD DEAL Act to repeal these reckless tariffs and reclaim Congress' constitutional role in setting our trade policy."

Cosponsors of the BAD DEAL Act include Reps. Don Beyer (VA-08), Suzan DelBene (WA-01), Tim Kennedy (NY-26), Jimmy Panetta (CA-19), Terri Sewell (AL-07), Greg Stanton (AZ-04), and Suhas Subramanyam (VA-10).

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