A former B.C. MLA didn鈥檛 hold back when talking about U.S. President Donald Trump during a panel discussion on tariffs at UBC Okanagan (UBCO) on Wednesday (Mar. 5).
Barry Penner, who served as Attorney General, environment minister, and Aboriginal relations minister during four terms, said he believes Canada has taken the right approach in handling U.S. tariffs.
鈥淭he man in the White House is obviously a bully,鈥� Penner said. 鈥淵eah, you鈥檒l get some hits if you stand up to a bully 鈥� but you鈥檒l get more hits if you don鈥檛. We want to try and find our way through this, and we will somehow.鈥�
Penner, now chair of the Energy Futures Institute, was part of a six-member panel hosted by the Kelowna Chamber of Commerce. He made it clear that Canada didn鈥檛 choose this trade battle but had no choice but to navigate it. He also criticized Trump鈥檚 trade policies, arguing they aren鈥檛 helping the U.S. or the Western world.
John Lambiris, VP of sales and procurement with Star Group (agriculture), said there has been a surprising benefit for his industry - the support of Canadian retailers.
鈥淭hey have asked us to increase orders鈥� they have asked us to source the world for options that are not American,鈥� Lambiris said. 鈥淭his feels real. It feels like we may have collectively woken up an opportunity that鈥檚 been in our backyard for decades.鈥�
However, he warned that once Canadian buyers move away from U.S. suppliers, it will be hard for those suppliers to regain their foothold in the market.
Grant Stevens, Chief Corporate Services Officer with KF Aerospace, said the uncertainty caused by tariffs will have a ripple effect on several industries, including airlines.
鈥淎s we鈥檝e seen before in times like COVID, and other economic issues, when we get into times of uncertainty, consumer sentiment gets scared, spending dries up, and companies suffer as a result.鈥�
If tariffs stick around for the long haul, he warned that Canada鈥檚 aviation manufacturing industry could struggle to compete globally.
鈥淲e will be non-competitive even if the dollar continues to fall 鈥� it鈥檚 a significant challenge.鈥�
Heather Webber, a cross-border transactions specialist at MNP, said that while U.S. trade has always been Canada鈥檚 easiest option, businesses now have a chance to look elsewhere.
鈥淣ow there鈥檚 an opportunity to sell across the country or acquire something from across the country鈥� there might be a chance for us as a country to make ourselves more resilient,鈥� she noted.
UBCO economics professor Ross Hickey pointed out that while tariffs affect the flow of goods and services, they also impact investment.
鈥淎nd I think that鈥檚 what we鈥檙e leaving out of this discussion of tariffs, retaliatory tariffs, we鈥檙e forgetting that the big issue is are we making ourselves attractive for investment.鈥�
For Nick Arkle, CEO of Gorman Group, the trade war鈥檚 biggest impact is on the company鈥檚 employees.
鈥淭hey鈥檙e the ones, in the last couple of days, have come to me and said 鈥檚hould we cancel summer holidays鈥� and 鈥榳ill we able to pay the mortgage on our houses.鈥欌�� he added. 鈥淭hat鈥檚 when you realize this is real.鈥�
Arkle also challenged claims from American politicians that the U.S. doesn鈥檛 need Canadian lumber.
鈥淎bout 23 per cent of their needs come from Canada, and about half of that would come from B.C. That鈥檚 significant.鈥�
He also pointed out that for the 鈥渋mmediate expansion鈥� of commercial logging on U.S. federal lands, which could shake up the industry even further.
鈥淚 think what we鈥檙e going to see is one of these powers being stretched to open up national forests in the United States as well,鈥� Arkle said.
On March 4, the federal government announced 25 per cent tariffs on $155 billion worth of U.S. goods. The first wave鈥攈itting $30 billion worth of imports鈥攖ook effect immediately. If U.S. tariffs remain in place, Canada will expand its countermeasures to the full $155 billion.
