SHEET HARBOUR — With so much uncertainty surrounding the threat of potential tariffs by United States President Donald Trump, some small business owners and residents are expressing concern with the situation.
“It’s a little difficult to forecast the effects we may feel; there is certainly a concern,” Steve Giles, owner of Sober Island Brewing in Sheet Harbour, said when asked how his company could be impacted.
He said the biggest issue right now is the tariff on Canadian aluminum.
“Though raw aluminum generally comes from Canada, a lot of production of cans happens in the [United] States,” he noted, “so we could see tariffs from both sides.”
When asked about the possibility of stocking up on aluminum cans before the tariffs take effect, Giles offered, “[That’s] not for us.”
He said, “Unfortunately, the winter months are very slow for us out here on the Eastern Shore, which doesn’t put us in a position to be able to stock up.”
Although the brewery tries to purchase Canadian products to produce their craft beer, Giles explained, “But, there are just some supplies and ingredients that come from the U.S.; hops [for instance] will be a concern as most North American hops come from the States and we just can’t change recipes to accommodate [a lack of that or change].”
Leigh McFarlane, founder and CEO of The Soap Company of Nova Scotia Ltd. in Sherbrooke, exports products to the U.S., Ireland and the United Kingdom.
“We are already impacted,” she told The Journal, while indicating it has been in a positive way so far.
McFarlane described the way Canadians have rallied around businesses, with the threat of tariffs, has been inspiring.
“It’s both awesome and humbling to see our products with that beautiful Maple Leaf,” McFarlane said, noting how stores are tagging Canadian items in such a way.
She added, “The rise in Canadian patriotism is really wonderful.”
McFarlane offered that the “grassroots movement to purchase Canadian products has put a spotlight on businesses across the country that people may not have been aware of before,” which she finds “very encouraging.”
She added, “As a result, I am hopeful that the U.S. actions will cause our leaders to remove interprovincial trade barriers and increase our self-sufficiency regarding what is produced in Canada. If that occurs, our costs could very well go down.”
McFarlane said she is “humbled and grateful to see a significant impact in our online store sales,” while noting the percentage of first-time customers has more than doubled and they are placing good-sized orders. “That tells us there is a trust in what we are offering, and we are grateful for the support.”
She said Canada is fortunate that inflation is under two per cent right now. “So, at least we are going into this time of uncertainty in a fairly strong position, relative to the U.S., which has more than double the inflation rate to Canada.”
As for the possible effect tariffs will have on her business, McFarlane said, “This is the part we don’t know about yet. We import very little from the U.S.A. and, from what I have read so far, those items will not be targeted for reciprocal tariffs.”
McFarlane noted that more than 51 per cent of ingredients to make her products originate in Canada “so that will be helpful.”
She will monitor costs and determine if changes, if any, are required.
“But for now, it’s too early to say,” of the potential impact of the tariffs, which are scheduled to take effect on Tuesday, March 4.
Consumer concerns
Local residents are also bracing for the severe, if not devastating, effects the 25 per cent tariffs could have on the Canadian economy and consumers.
Heather Laybolt, who lives in Indian Harbour Lake, is not taking the latest happenings between the U.S. and Canada lightly.
”I think we need to take most of what Trump is threatening seriously,” she told . Based upon what he is doing and threatening, she added, “He [appears] to be a very unstable man which makes for a very unstable volatile government; he flip-flops daily.”
Her family changed their household buying habits in November.
“We try our best to buy Canadian products or [products from] any countries other than the U.S.,” Laybolt said.
Noting that she joined a couple of groups on Facebook that promote Canadian made products, she said her family “cans, grows, freezes and bottles some things, so we are more self-sufficient.”
Laybolt said there also needs to be a better “province-by-province trade agreement,” and “we need to source more products from places other than the U.S.” She added, “As proud Canadians, we need to stand up and be united more than ever against this unhinged man and his thought of us becoming the 51st State.”
Laybolt fears that Trump may be leading the world into another era of destruction. “He and his buddies are looking out for themselves only,” she said.
Laybolt explained, “I feel a lot of this [foolish business] is to keep everyone off balance and the focus away from the things [Trump and his helpers] are doing to undermine the U.S. government security.”
Sherbrooke resident Gabriela Schupbach also expressed dismay over what is happening between the U.S. and Canada.
Although dismayed over what is happening between the U.S. and Canada, “I’m sad that it took this kind of madness for people to start considering buying local,” said Sherbrooke resident Gabriela Schupbach. “To me it’s not about sticking it to Americans, it’s about the environment – less travelling for goods – and independence during a pandemic or government shutdown.”
