Tariffs and the Trucking Industry

by: Pash Brar

As I’m writing this article in early February, there is uncertainty with the relationship between Canada and United States.  There are threats of tariffs and retaliation with counter tariffs. Removing US products from shelves and the promotion of Canada only products, is very sad to watch.  I went grocery shopping and looked for made in Canada labels, something I’ve never done.  On February 3rd the Canadian government announced that the tariffs were being paused 30 days.  I can see the relief people felt.  Being uncertain of the future for a formerly very strong relationship with the United States, has put a very real strain on how people feel.  I had always looked at the USA as our big brother, and now feel violated.  Will tariffs and threats make America great again?

As I deal with American flat bed trailers, one of the manufacturers I deal with buys aluminum from BC.  The last time there were tariffs put on aluminum, those trailers rose in price by over $2,500 USD.  Who did that help?  American and Canadians trickers both had to pay that extra $2,500 and the prices never went down again once the tariffs were removed.

I hear Trump saying that Canadian goods are not needed.  With the recent devastating fires in California, there will be a huge rebuild needed.  I started researching lumber in the USA and they don’t have much.  Where will they get the lumber? Start clear cutting national forests? The most logical place for lumber would be Canada.  So, if America buys our lumber to rebuild, that lumber might come with a hefty tariff.  They also must pay our trucking fees to transport it down, which I’m sure will come with a levy.  Canada is in a situation where there will be no choice but to buy the lumber from us, and truck it from us.  So, who will be paying more?  The innocent American people who lost their homes will have to pay a lot more to rebuild.  I will also mention that Canada selflessly sent fire fighters and aircraft to help the California fire effort, even though we were being threatened by the USA with tariffs.  Threats is how we are repaid.

One of the biggest issues with the California wildfires of January 2025 was lack of water.  I have been studying the lack of water in the USA for a few years.  One of my previous articles referenced the lack of water in Arizona.  To entice buying a house, often a year of water is offered.  You must pay to have water trucked in.  The places the water is being trucked in from are also running out of water, so it’s becoming a big issue.  Luckily Canada has the largest fresh water supply in the world, and lucky we have a law banning the export of that water.  Water is power.  I can see the USA requesting water in the future, and I also see hefty tariffs if it is even going to happen, which is unlikely.  So, Canada again is in a power position. We will continue trucking our water across only our nation for us, and only for us to consume.

Donald Trump is apparently a large admirer of Ronald Reagan.  I remember the devastation of the tariffs to the softwood lumber industry in BC during the 1980’s under Reagan.  Men and women from trucking and mill workers were sitting at home out of work for months.  I don’t have to look it up, I saw it firsthand growing up in Mission, BC, a town filled with sawmills at that time.  It destroyed the industry.  Innocent men and women who were trying to provide for their families experienced the impact firsthand because they lost their jobs.  Who did that tariff help? The Americans still need our lumber and I deal with many truckers transporting it on flat deck trailers to the US every day.  They can pay more for our lumber, and we benefit.

I’m seeing “pending tariff information” being written on quotes for equipment.  Equipment is already priced high, so high, that truckers can barely afford the payments as it is.  As everyone has been upset by threats from our neighbours of the south, alternatives need to be found.  There are many possibilities of other trade options with eager nations, and many products that Canada has, such as critical minerals, that cannot be bought elsewhere.  Poor Tesla needs some of those minerals for their vehicles and it will cost them big.  These natural resources hold the key to the economic health of Canada.  Fortunately for truckers, these products will have to be brought to ports for export from all over the country.  It will create more jobs mining and extracting as well. Mining contracts are being fast tracked at record speed by the government. So, the trucking industry can benefit through domestic loads.  Will America gain the greatness they seek?  It doesn’t look like it…but Canada will sure be great.

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