Businesses in the US and Canada face uncertainty as new import taxes increase.
Business owners in both Canada and the US are facing uncertainty as trade tensions escalate. Cindy Baldassi, who operates a jewellery company in Calgary, Alberta, relies heavily on American buyers, with 75% of her sales coming from the US. The recent imposition of 50% tariffs on each other's goods has forced her to consider raising prices by 50%, which could lead to the loss of half her business. The tariffs, which came into effect after trade talks collapsed, have already impacted key sectors such as wine, dairy, and hockey equipment in Canada.
Canadian Prime Minister Mark Carney has announced plans to impose tariffs on US goods starting 8 September, targeting products like steel, dairy, appliances, and electronics. These measures follow US tariffs that took effect on Saturday, further complicating trade relations. Canada's economy is significantly dependent on trade with the US, with 70% of its exports directed to the US. As both countries continue to impose levies, business owners are left to navigate the uncertain economic landscape, with many fearing long-term consequences for their operations.
Why it matters
Uncertainty complicates inventory planning for Canadian and US firms as trade tensions persist.
This section reflects Dumpling editorial interpretation and is provided for context only.
What to watch
Watch whether Cindy Baldassi's US buyers will continue purchasing her stone-and-glass jewellery.
This section reflects Dumpling editorial interpretation and is provided for context only.