DENVER – Local business owners in the Denver area are concerned about new tariffs on goods from Canada and other countries. They believe these tariffs will raise prices and hurt their businesses.
Recently, President Trump signed a new order that puts tariffs on imports from several countries, including China, Mexico, and Canada. The tariffs are set at 10% for China and 25% for Mexico and Canada, with a specific 10% tariff on Canadian energy resources like oil and natural gas.
Zac Rogers, a supply chain management professor at Colorado State University, explained that these tariffs will add costs to products. He noted that it’s not about the quality or quantity of goods; it’s simply an extra expense for businesses. In the past, tariffs have often been used to encourage local growth or as penalties against other countries.
“People might think these costs are covered by China, but that’s not true,” Rogers remarked. “The importers are the ones who end up paying.”
Jeremy Peterson, co-owner of Identity Pet Nutrition, shared his worries. His company, started in 2018, produces high-quality pet food using ingredients sourced from Canada. He fears that the 25% tariff on Canadian goods will significantly increase prices for his customers.
“Our customers might see price hikes, potentially doubling in some cases,” Peterson warned. He stressed that many consumers may not realize how tariffs will affect their wallets.
Peterson also mentioned that higher prices could lead to fewer choices for consumers. If smaller businesses struggle or go out of business due to these tariffs, it will limit the options available for pet food and other products.
Rogers added that the impact of these tariffs could extend beyond pet food. Prices for essential goods like gasoline, groceries, and even cars might rise as well. “For example, your guacamole will cost you a lot more,” he joked.
The uncertainty surrounding these tariffs is concerning for many business owners. Rogers noted that the unpredictability creates a challenging environment for companies trying to plan for the future. “The main issue for companies right now is the uncertainty of it all,” he concluded.
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