Ask Louis Lafleur how he is feeling about American tariffs and his response comes rapidly.
“Ask me how I feel about Canadian tariffs!”
Lafleur is the president of Les Boisés Lafleur, in Victoriaville, Que., 140 kilometres northeast of Montreal. The firm makes wooden veneers: skinny sheets of all kinds of species — maple, ash, eucalyptus — which might be then utilized to plywood merchandise like counter tops and furnishings.
When speak of U.S. tariffs started shortly after the presidential inauguration final January, Lafleur began dropping sleep. He exports three-quarters of his completed product to the U.S. and was dreading duties.
At first, his American purchasers, who had been satisfied tariffs would not keep in place lengthy, mentioned they’d pay slightly extra to assist take in the hit.
The U.S. tariffs on his exports have not materialized, however in February, earlier than he left workplace, Justin Trudeau introduced a counter-tariff on $30 billion price of products getting into Canada from the U.S. — together with the class of wooden Lafleur makes use of for his veneers.
He imports all of his wooden from the U.S., and he is been paying a 25 per cent obligation on these imports since March 4.
“My clients are saying, ‘now you’re complaining because your government [adds] a tariff?’ We look a little stupid,” Lafleur says.
LISTEN | Pain from counter-tariffs:
‘Band-Aid on a damaged bone’
Lafleur says he must be eligible for an obligation disadvantage — a reimbursement for at the very least a part of the cash he is spending on counter-tariffs. But info is not straightforward to search out. He would not understand how a lot he can rely on or how lengthy a request would take to course of. In the meantime, he is enjoying it protected.
Les Boisés Lafleur would usually import six and a half truckloads of wooden a month. Lafleur has solely purchased three since February.
“If I buy the wood and I don’t get the money back, I’m going to lose a tremendous amount of money,” he says.
Les Boisés Lafleur is shopping for much less wooden from the U.S. to deal with the influence of a counter-tariff utilized by Canada. (Susan Campbell/CBC)
Fewer wooden deliveries will imply decreased manufacturing for Lafleur’s firm. He has began lowering the workforce by a various variety of employees every week, usually between three and 6.
Lafleur utilized for assist underneath a federal program put in place in early March to assist corporations to maintain their employees, by permitting staff to share work and qualify for EI. But he calls that “a Band-Aid on a broken bone.” He would not see the logic in making Canadian corporations pay a value on this commerce conflict.
“When the Trump administration said we’re going to put a tariff, everyone agreed that it would be very, very bad for them. And our reaction to that? To do the same!” he hammers.
Lafleur thinks the laying of counter-tariffs is extra a few political present than about what’s good for enterprise.
A producing economic system on the sting
The mayor of Victoriaville, Antoine Tardif, is president of the regional financial improvement council, Destination Entreprise.
He says the native economic system has been booming for the reason that COVID-19 pandemic. But for the reason that starting of the tariff conflict, authorities companies that fund native tasks, just like the Development Bank of Canada and Investissement Québec, are taking a step again.
“They have a lot of projects on hold because of the uncertainty this creates,” Tardif says. “The investments aren’t going on and for the city, the revenues won’t be coming in.”
The mayor of Victoriaville, Antoine Tardif, says the 2 pillars of Centre-du-Québec’s economic system — manufacturing and agriculture — are probably in for a success from American tariffs. He says it is already making individuals nervous. (Susan Campbell/CBC)
Tariffs have been prime of thoughts for the reason that starting of the present federal election marketing campaign, and the leaders of Canada’s main political events have maintained a typical entrance on the need of counter-tariffs as a response to the American administration.
But businessmen like Lafleur will not be alone in questioning the federal government response. Speaking to CBC Quebec, Concordia economist Moshe Lander underlined how this commerce conflict is enjoying out throughout a federal election marketing campaign.
“You need to be constantly going in front of a microphone and expressing your outrage, expressing your frustration and to be seen to be doing something,” Lander says.
“And this idea of ‘let’s retaliate back on them’ is unfortunately the best political thing to do, but it’s not good economics.”
Economic worries prime of thoughts for voters
Conversations with voters within the Richmond—Arthabaska driving, the place Boisés Lafleur operates, recommend financial issues are prime of thoughts.
On a break from his job at an area grocery retailer, Maxime Gagnon says it is taxes and the price of residing that he is enthusiastic about — and he is made a alternative.
“Pierre Poilievre seems more accurate when he talks about finances,” Gagnon mentioned of the Conservative Party chief.
Maxime Gagnon is fearful about revenue taxes and rising costs. He’s voting Conservative, as a result of he feels they’re going to reply to his considerations. (Susan Campbell/CBC)
Jean-Yves Houle says he’ll vote for the federal chief who’s chatting with his considerations.
“It’s poverty. We need to find a way to make people’s lives easier,” Houle says.
The driving is at the moment represented by Independent MP Alain Rayes, who left the Conservative Party in 2022.
Jean-Yves Houle worries for the following technology, as he watches grocery costs rise. (Susan Campbell/CBC)
Lafleur, for his half, is not keen to attend till election day to see how events reply to his firm’s present scenario. He’s laying the accountability on the ft of the sitting authorities.
“We have Marc Carney, who’s a non-elected prime minister and he’s running to be an elected prime minister,” Lafleur says.
”If by April 28 there’s nonetheless a 25 per cent tariff, I do know rattling effectively who I will not vote for.”
