Whether you’ve had a subscription to The Economist since college or know nothing about the taxing of imported goods, you’ve probably been thinking a lot more about tariffs than usual. The subject has overtaken the airwaves and the watercooler alike since mid-January, and when it will subside is anybody’s guess. The Trump Administration’s “on-again, off-again” cycling of such a consequential foreign policy strategy has kept everyone a bit on edge, to say the least.
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Washington is many things right now, but predictable isn’t one of them. Big corporations do not like instability, and major players in the industries I cover are becoming more and more vocal about how this trade chaos may impact their strategy for 2025 and beyond. A Reuters article this month reported that Hewlett Packard Enterprise said it would,
“…leverage its global supply chain to mitigate aspects of an expected impact and adjust prices as well.”
The article also said that the world’s 8th largest producer of aluminum, Alcoa, would “likely reroute its Canada-made aluminum to Europe to avoid U.S. tariffs, and send its Australian output to the U.S.” Specifically, Alcoa CEO William Oplinger added,
“We would be optimizing our global system based on any new tariff structures … there is a potential for metal to come out of Australia and go into the U.S. if there is a massive tariff dislocation.”
Another group bracing for a challenging year is the PTDA. The Power Transmission Distributors Association sent an email earlier this month announcing its annual Canadian Conference and listed some of the topics they’ll focus on this year. The first item listed? You guessed it. Tariffs.
“Attendees will learn about pressing issues affecting the PT/MC industry, including tariffs, cybersecurity, artificial intelligence, and economic shifts.”
PTDA Canadian Conference Advisory Group Chair Craig Bobbie, president PTM Industries Inc. elaborated,
“Economic concerns and challenges lie ahead with tariffs, inflation, interest rates, and production costs all expected to rise. During the conference, leaders will discuss strategies as they position their companies for maximum growth and return in the coming years.”
The organization even plans to bring in global trade consultant, Jeff Fraser, to speak about the impact of tariffs on the Canadian PT/MC distribution sector and how they will impact pricing and supply chains.
So, if you have tariff talk burnout, you’re not alone. Unfortunately, I suspect we are in it for the long haul here. It’s hard to tell if President Trump believes these import taxes will actually help advance American interests or if he’s simply using them for the weapons-grade diversion tactic they can be. Maybe it’s a little of both. Regardless, whatever the motives, when bold policy threats like 25% tariffs on our neighbors are announced, people like me are obligated to report on it. And when all of us journalists do it simultaneously — yes, the “t-word” can feel inescapable. But I swear… we don’t like it either.
Filed Under: Commentaries • insights • Technical thinking