{"id":189434,"date":"2025-04-17T15:57:29","date_gmt":"2025-04-17T19:57:29","guid":{"rendered":"https:\/\/doppleronline.ca\/huntsville\/?p=189434"},"modified":"2025-04-17T18:02:22","modified_gmt":"2025-04-17T22:02:22","slug":"local-businesses-finding-ways-to-trump-tariffs","status":"publish","type":"post","link":"https:\/\/doppleronline.ca\/huntsville\/local-businesses-finding-ways-to-trump-tariffs\/","title":{"rendered":"Local businesses finding ways to trump tariffs"},"content":{"rendered":"
<\/broadstreet-zone><\/strong><\/div>\n\n\n\n

The ever-changing tariff war started by the United States of America (U.S.), specifically President Donald Trump, is forcing industries and small business owners to think outside the box.<\/p>\n\n\n\n

As tariffs threaten to increase the cost of many items typically sourced through U.S. distributors and manufacturers, local Muskoka businesses have begun to adjust tactics to protect themselves and their clients from huge cost hikes.<\/p>\n\n\n\n

A Canada-first mentality has taken hold wherever possible, with other sources being explored when products aren\u2019t available here.<\/p>\n\n\n\n

Chris Litschko, CEO of Lakeland Holding Ltd., sent a letter to his customers explaining how they proactively adjusted their purchasing strategy through the implementation of a Canadian Pride Purchasing Policy. <\/p>\n\n\n\n

Doppler<\/em> spoke to Litschko after the letter came out and he discussed Lakeland\u2019s commitment to purchase local, provincial, and Canadian products and services now and into the future.<\/p>\n\n\n\n

\u201cWe do have all the resources, all the people we really need, and the expertise here in Canada,\u201d he says. \u201cWe\u2019re just putting a bigger emphasis on (using Canadian products and services). We\u2019re putting KPIs, key performance indicators, in place. We\u2019re watching what we buy, where we buy it from, how much it is.\u201d<\/p>\n\n\n\n

He explains that though they must continue to be fiscally and financially responsible, they aren\u2019t going to hedge if a Canadian product is a little more expensive than one made south of the border.<\/p>\n\n\n\n

\u201cFor instance, we had a transformer last summer that blew on us \u2013 a substation transformer \u2013 it\u2019s got about a $1.5 million repair,\u201d he says. \u201cAnd we got four bids from the US and one from Quebec and it\u2019s going to Quebec. We\u2019re going to keep in Canada.\u201d<\/p>\n\n\n\n

They are now looking at workarounds for getting their EV stations past tariffs. They have 40 installed with another 15 to 17 still needing to be added. The Korean built EV stations have been travelling through a distributor in the U.S., meaning they\u2019ll now be tariffed before coming into Canada.<\/p>\n\n\n\n

\u201cSo, now we\u2019re working with the company to get them directly,\u201d says Litschko. \u201cAnd we\u2019re looking in Canada to see who can build these EV stations.\u201d<\/p>\n\n\n\n

Algonquin Outfitters have been taking steps internally to get ahead of any tariff issues explains Controller Mark Sinnige.<\/p>\n\n\n\n

\u201cWhere we usually source things from the United States, we\u2019re trying to source as much as we can from other places,\u201d he says. |Especially sourcing product within Canada.\u201d<\/p>\n\n\n\n

In cases where the quality of the product could not be sourced elsewhere, Algonquin Outfitters pre-ordered extra stock before the tariffs came into effect.  <\/p>\n\n\n\n

As well, they will not be increasing prices on the rental and outfitting side. They will be keeping their 2024 rates for as long as possible. Sinnige says they are trying to keep those prices from climbing up, but recommends that individuals and families book early to ensure they get those prices.<\/p>\n\n\n\n

\u201cWe did do the timing of product and brought some stuff in from the U.S. early because there are certain categories where there weren\u2019t any realistic alternatives product-wise for us,\u201d says Sinnige. \u201cAt least not with the quality that we\u2019re looking for. Where we couldn\u2019t find alternatives to maintain the quality, we pulled product from the states early before the tariffs hit.\u201d<\/p>\n\n\n\n

At Minds Alive Toys, they have similar but still relatively different situations to Lakeland and Algonquin Outfitters.<\/p>\n\n\n\n

Jeff Weersink, who owns the toy store with wife Janet, says 85 per cent of the toy market product is made in China or southeast Asia. He says the little bit of product made in the U.S. was already too expensive to carry due to the exchange rate.<\/p>\n\n\n\n

What is an issue they are navigating is the fact that several years ago the toy companies consolidated their Canadian and U.S. warehouses into North American distribution centres based in the U.S.<\/p>\n\n\n\n

\u201cThe market has changed, so they closed down a lot of warehouses in Canada and have a North American distribution,\u201d explains Weersink. \u201cSo, now products come from overseas into the US and then get spread over the rest of North America. That impacts us now because those imports from China, they used to go to Canada directly, now they go through the states, so they\u2019ll be subject to tariffs.\u201d<\/p>\n\n\n\n

He says that most suppliers are savvy enough to know it doesn\u2019t take much to fill a container and ship directly to a third-party warehouse in Canada. Though it does make the individual unit cost a tiny bit more, it\u2019s a fraction of what would be charged if it had to go through the new U.S. tariffs.<\/p>\n\n\n\n

These slight increases are much more manageable for the businesses and the consumers.<\/p>\n\n\n\n

\u201cThere are some fairly big brands \u2013 American companies \u2013 who import from China into the US. And the only way we can get them is through the US supplier or manufacturer,\u201d says Weersink. \u201cThose are the companies we really have to evaluate what we\u2019re going to do in the future. For now, we\u2019ve stopped buying from most of them.\u201d<\/p>\n\n\n\n

This is a situation where they are stuck between a rock and a hard place, but in other cases, they can find European products that are the same\u2014or better\u2014than the U.S. version.<\/p>\n\n\n\n

\u201cWe have a fairly big puzzle supplier,\u201d he says. \u201cThey\u2019re a Canadian company. The puzzles are printed in Canada and then shipped to the Midwest US where they are then stamped into puzzles and then shipped back up again. But, in that process, the product is now going to be subject to tariffs. That company is now going to ship the puzzles to be stamped in Europe and then brought back. Again, they\u2019re going to be more expensive, but not as expensive as being subjected to the tariffs.\u201d<\/p>\n\n\n\n

The good news is that one very popular Minds Alive product, which appeals to people from age three to 100, is not going to suffer from the US tariff situation (at least not yet).<\/p>\n\n\n\n

\u201cWe are lucky,\u201d says Weersink. \u201cNorth America Lego is thankfully made in Mexico, so that\u2019s not tariffed. It gets shipped directly to Canada.\u201d<\/p>\n\n\n\n

The other good news is that Canadian companies are finding ways to trump the tariffs, whether it\u2019s working with businesses at home or abroad.<\/p>\n\n\n

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<\/broadstreet-zone>\n","protected":false},"excerpt":{"rendered":"

The ever-changing tariff war started by the United States of America (U.S.), specifically President Donald Trump, is forcing industries and small business owners to think outside the box. 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