Orleans EDA says manufacturers ‘concerned’ with tariffs
12 Canadian companies have sites in Orleans County
Photo by Tom Rivers: Michael Dobell, Orleans EDA chief executive officer, chats with John Misiti, the EDA board chairman, after Friday’s board meeting.
ALBION – The Orleans Economic Development Agency said it has heard from several of its manufacturers that they are concerned about tariffs, especially between the United States and Canada.
For some companies, the tariffs will significantly increase their operating costs because they use materials, including steel, from Canada. The Trump administration has imposed a 25 percent tariff on steel and aluminum from Canada.
Canada responded with a retaliatory 25 percent tariffs on $30 billion worth of imported U.S. goods, including orange juice, peanut butter, wine, spirits, beer, coffee, appliances, apparel, footwear, motorcycles, cosmetics and certain pulp and paper products. Canadians are also boycotting many American products and canceling travel plans to the US.
The EDA facilitated one phone call between a local manufacturer and a representative from Congresswoman Claudia Tenney’s Office, to share the negative impacts of the tariffs on the American business.
“We want to be responsive to our businesses,” said Gabrielle Barone, vice president of development for the EDA. “This is one way we can do it.”
Barone told the EDA board during its meeting on Friday that Canadian manufacturers have 12 sites in Orleans County. The EDA will continue to market Orleans County to Canada as a great location to operate on the other side of the border.
One company from Canada, BOMET Recovery, has an electronics recycling operation in Albion and has plans to build a new facility in Medina.
But Barone said the businesses are likely to hold off any big investments during a trade war.
“I think they are being extremely cautious,” she said.
John Misiti, the EDA board chairman, acknowledged many of the manufacturers in Orleans County are concerned about the tariffs. He is hopeful there won’t be more escalation of tariffs. More could be coming on April 2.
“Hopefully the bark is worse than the bite,” Misiti said about the impact. “It’s is creating uncertainty.”
Michael Dobell, the EDA chief executive officer, said he hears from local manufacturers and economic development officials in the state that there is worry over the tariffs, leading to higher operating costs.
“The ongoing theme among local manufacturers and across New York State is concern,” Dobell said.