For residents of Point Roberts, the collapse of tariff negotiations between the U.S. and Canada this weekend will not be abstract: It will unfold at the grocery cash register and in the balance sheets of local businesses, a reflection of how intertwined our local economies and daily lives are with Canada.
New, 50% U.S. tariffs on more than 500 Canadian products took effect Saturday, and the Canadian prime minister has promised new tariffs on American goods by early September.
“It's a stressful time,” said Tamra Hansen, who owns the Pier Restaurant and The Saltwater Cafe in Point Roberts. “Living on the Point always requires a bit of resilience, but this feels like an existential threat to our daily way of life.”
“When these trade wars happen, people in D.C. forget about exclaves like ours. A 50% tariff on Canadian goods isn't just a political headline for us — it's the price of the milk in our fridge and the cement for foundations to build our home,” she said. “I worry this will further isolate the community and make life here unaffordable for the families who have called the Point home for generations.
“Life on the Point is inherently connected and tied to our neighbors in B.C., and any barrier to that relationship — economic or otherwise — is felt instantly in our local economy.”
The targeted goods represent about $20 billion of the roughly $382 billion in products the United States imported from Canada last year and include dairy products, clothing, plywood and other building materials, paper products, honey and a long list of consumer goods.
The tariffs come on top of existing U.S. duties affecting Canadian steel, aluminum, automobiles and softwood lumber.
Canadian Prime Minister Mark Carney has promised to retaliate dollar for dollar with new Canadian tariffs taking effect Sept. 8. Those tariffs are expected to target U.S. steel, dairy products, appliances, agricultural equipment, pulp and paper and electronics.
“These new tariffs aren’t leverage over Canada,” U.S, Rep. Rick Larsen said in a statement over the weekend. “They’re yet another way that the Trump administration is raising your prices and sabotaging the American economy.”
The new U.S. tariffs are also historically unusual.
President Donald Trump imposed them using Section 338 of the Tariff Act of 1930, a nearly century-old provision allowing tariffs of up to 50% against countries found to discriminate against U.S. commerce. Although previous administrations considered or threatened to use the provision, the Canada tariffs appear to be the first time Section 338 has actually been used to impose tariffs.
“Since Trump’s tariff tantrums began a year ago, I have been warning that egregious tariffs and threatening Canada's sovereignty may ignite retaliation,” said Brian Calder, a longtime Point Roberts resident. He worried about ripple effects.
“We have obtained all our water from Canada since 1987, also our electrical power. Now our own government may have caused this to become problematic for us,” Calder said. “Also, no one from mainland U.S.A. will bring concrete to us since the border lockdown in March, 2020. The only current supplier now is from Maple Ridge, B.C. Will the border try and tariff the cement portion of concrete?”
“I'm already looking at creative ways to adapt my business so we can keep serving the community,” Hansen said. “My main focus is ensuring we can still provide value to our customers and our Canadian friends who come across the border to support us.”
She went on to put voice to a sentiment many here share.
“We're hoping for a swift return to the negotiating table before the impact becomes permanent,” she said.
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