Ottawa unveils 50% tariffs on consumer and construction goods

Canadians could soon face higher prices on a broad range of products, from fish and smartphones to appliances and cosmetics, as the federal government announced a list of items that will be hit with 50 per cent tariffs. The tariff list also includes fibre optic cables, building materials, carpet, shampoo, and nail polish, according to reports from BNN Bloomberg and CP24.

The announcement has left business owners scrambling to understand the implications. Steve deWeerd, owner of Brentview Electronics in Toronto, described the situation as "a horror show," adding, "It's definitely going to be a challenge. I mean, we're up in the air like everybody is right now on what is actually going to get hit." His company sells electronics and installs audiovisual systems in homes and condominiums. He worries that if prices "skyrocket overnight," many customers will postpone their purchases.

"If there is a 50 per cent cost on wire that we put in new construction houses or renovations, it's going to bring the whole budget up and might put the average consumer on a holding pattern," he said.

Small businesses and nail salons face uncertain future

Stella Pham, who recently opened a nail salon in mid-town Toronto, is also concerned. With shampoo, cosmetics, and nail polish on the tariff list, she fears it could force her to raise prices soon after launching her business. "We will make the best way for our clients to be happy and for us to be happy," she said.

Impact on construction and infrastructure

The tariffs also target materials considered vital for infrastructure, including fibre optic cables, network cables, and building materials. Evan Light, a professor at the University of Toronto, said the duties could affect Canada's push to accelerate housing construction.

"Whether people are building homes or developers are building homes, or whether they are looking to build data centres, or universities, (tariffs) will be changing how we look at expenses in a big way," he said.

Preemptive stockpiling as a buffer

Although de lazer says he is considering stockpiling some items before the tariffs take effect, the uncertainty of what exactly will be affected makes planning difficult. Both BNN Bloomberg and CP24 reported the same business reactions and expert comments.