Trade Compliance

GHY discusses changes to international trade regulations and explores cutting-edge compliance strategies.

These New Canadian Tariffs Are Eating Away At Me

Posted August 01, 2018

I find myself just getting back into the swing of things, after a two week break from work. Part of that “getting back” is stocking up the fridge and cupboards for the routine of the coming weeks in terms of meals and such.

I do most of the shopping in our household and what I realized was that the tariffs imposed by our Canadian government, on U.S. goods (effective July 1, 2018), are in full force and now show up on my grocery bill.

The list of goods with new tariffs seems a little bizarre and I really wonder who they are trying to “hurt” with these retaliatory tariffs.

Grocery Costs

This is how a few of these 10% tariffs impact my world (as well as other Canadians):

  • Toilet Paper – A true tax on everyone. Most of our rolls are made in the USA. Hard to use less of it or a lesser quality. Can you spare a square? Predicting toilet paper thefts to rise as the economy gets tighter.
  • Orange Juice – I love my Tropicana! Yes with extra pulp. The real stuff is already pricey as it is and now it has gone up more than the 10% from the previous price.  Reducing my full glass each morning to a ¾ to combat this one.
  • Whiskey – No bar is complete without some Jim Beam or JD. When their contents mysteriously evaporate, will they be replaced?  I say yes! Will now use shot glasses for measuring versus the old free pour strategy.
  • Pickles and Cucumbers – I love my Bick’s!  Nothing like a handful of crunchy baby dills with a burger.  Stepping out on this one and are attempting my own canning for the first time in over 10 years. Here’s to extra garlic!
  • Candy and Chocolate – What are they thinking? Canadian folk will still buy and consume our favourites for comfort and pleasure.  I am trying to avoid sugar, so this tariff is just extra incentive to consume less.
  • Strawberry Jam – Is nothing sacred?  I love my Smucker’s!  However, the 10% pushed me over the edge and I picked local fruit to make our own.  I will still buy Smuckers when I run out stock, by the way.
  • Frozen Pizza – We Canadians buy a lot of this product and will continue to do so. We like it for whatever reason and the wife likes to have a couple in the freezer for the too-tired-to-cook nights.
  • Sailboats – This new tariff has seen my dream of owning one back a few extra years. Currently, looking at the inflatable option to ride the waves but even that has gone up 10%.

The list of items goes on…

What I am getting at here is that if we choose to consume the same amount of these goods as previously, we will experience inflation. In simple terms, the discretionary items will take a hit just because there is less money in that pool now. 

Who are these tariffs really hurting? Stay tuned...

Neil Stewart - Account Executive

GHY International | Geo. H. Young & Co. Ltd. | GHY USA, Inc.

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