Canada’s counter-disremorates harm small businesses. Even so, many still support them
Troyhann Santos checks the latest list of counter-tale of the federal government and makes an overwhelming discovery. To leave immediately, she will have to pay a 25% rate on most goods in her butt store in butt, Lax Shack, Pickering, Ontario.
“Getting hit with something like that is terrifying,” said Santos. “It’s a terrible punch.”
Billion Dollars and thousands of jobs are at stake while Canadian companies are attacking the prices of US President Trump, most of which should take effect on April 2.
Now, some companies not affected by Trump’s prices learn that they will not be emerged from trade war, because the goods they import from the United States are struck by Canada’s counter-tale.
The problem is particularly worrying for small businesses, which often do not have deep pockets to help them resist the storm.
Last week, the federal government imposed its first series of reprisal prices at 25% on $ 30 billion in American products, such as many types of foods and household appliances.
Troyhann Santos has Lax Shack, a Pickering butt store store, have. She says that most of the goods she buy to sell in her store will be affected by the 25%counters. (CBC / Laura Mcnaughton)
On Thursday, after Trump imposed prices on steel and aluminum exports, Canada retaliated with more prices this time on 29.8 billion dollars in American products. Targets include American steel, aluminum, some electronics and – unfortunately for Santos – sports equipment.
Almost all the butt equipment it sells, including sticks, bullets and nets, is imported from the United States
“We have expeditions that arrive daily, so it will affect us immediately,” said Santos. “We will have to increase our prices to reflect this 25%increase.”
She is not the only small business taken in the cross -fires.
Cluck Clucks, a small but growing fast food chain in the Toronto region, says that counter-trials could harm its expansion plans.
Each click requires between six and eight fries to serve its specialty: the fried chicken.
The Fryers Deef of Clucks Clucks, which cost up to $ 27,000 each, are made of steel and shipped to the United States (Laura Mcnaughton / CBC)
The Fryers, which cost up to $ 27,000 each, are made of steel and shipped from the United States, because Canada’s duties include steel cooking devices, Clucks Clucks estimates that it will now pay 25% more for each new purchase.
“We expect our costs to increase considerably,” said Raza Hashim, CEO of Clucks Clucks. “So, overall, but not a good situation for us.”
He adds that Canada does not make fries, so it cannot solve the problem by going to a domestic supplier.
Small businesses support counter-tale
The Canadian Federation of Independent Businesses (CFIB) says that many small businesses can be affected by counter-tale. The Federation interviewed 2,500 independent companies last month and almost half (47%) said they imported goods from the United States
“They are super worried,” said Simon Gaudreault, chief economist of CFIB. “We are talking about 25% of counter-tales that can add significant cost pressure on businesses. Some of them operate on very thin margins.”
Gaudreault says that owners can increase prices to cover additional costs, but that could make them less competitive.
“So they are a little stuck between a rock and a hard place.”
Assigned companies can request financial support from Ottawa, but there is no guarantee that they will get it. “The federal government will only examine (aid) only when it is required to deal with exceptional and convincing circumstances,” the finance department said in a statement.
Look | Canada’s counter-dishes harm small businesses, but many still support them:
The CFIB survey also revealed something that surprised Gaudreault: despite the concerns concerning the counter-tale, the three-quarters of the companies questioned said that they support Canada’s decision to impose them.
“I think it comes from a feeling that something should be done … Do not go to bed there, and let the US administration do what it wants,” said Gaudreault.
Although Clucks Clucks now becomes higher costs each time it opens a new location, the restaurant is on the side of the counter-tale.
“It is for the good of the whole country,” said Hashim during a pickering clicking. “As a citizen, as a naturalized citizen, we will bite the ball for our adopted country.”
But back to the button store, Santos reveals that she is on the fence of counter-tale, after learning that they will affect most of the goods sold in his store.
“I want Canada to get up and I am a proud Canadian,” she said.
“But on the other hand, these price increases also injured us.”
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