Colorado companies brace for Canadian tariffs

Posted at 7:16 PM, Jul 02, 2018
and last updated 2018-07-02 21:47:57-04

DENVER — Colorado companies are bracing for increased production costs amid retaliatory tariffs imposed by the Canadian government.

Canada is a leading trade partner, followed by Mexico, Japan, and China, according to state officials. Some data, however, shows Mexico with a lead.

Canada imports steel and aluminum. Colorado, in turn, sells beef and electronics to Canada.

After the United States put a 25 percent tariff on Canadian steel, the country retaliated — putting a 10 percent tariff on the items the US sells to Canada. 

Prices for the products American consumers use could hike upward.

“Colorado sends beef. We send all types of produce to Canada. But we also sell processed foods, like candy, chocolate, sauces, soups, all types of processed foods to Canada,” said Karen Gerwitz of the World Trade Center Denver.

Denver is growing, yet trade advocates fear tariffs will temper long-term investment and could lead to thousands of layoffs.

"Certainly this is real money. Companies are making a big decision on whether or not, they locate here, whether or not they invest here. We all read about Harley Davidson moving out," she said.