SURREY, B.C. — George Ivey’s Surrey-based company develops products to clean up environmental messes.
But he never thought his company would end up stuck in the middle of what has become a mess of a trade dispute with the United States, with threatened tariffs feared to kick in next week on U.S. imports from Canada.
“It may potentially result in letting go of a person,” Ivey told CTV News at his company’s Surrey headquarters, discussing what a worst case tariff scenario could look like for his company.
“Don’t want that. Kind of want to have them here … But we may have to look at temporary or permanent layoffs or hope that other markets pick up and justify keeping people – because you don’t like to hire them to lose them. Talent’s hard to find these days.”
Ivey International has diversified over the years, and the company provides its products globally.
But the company is still bracing for impact.
“Some of the stuff behind me actually relates to orders going to the U.K. over here, some going to Singapore over there,” Ivey said, pointing to pallets of supplies ready to ship out.
“That stuff keeps going on, but domestically, when you start talking about 35 per cent of the work that you’re doing is going to the United States, you can’t not feel that.”
Ivey also expressed fears some American companies he deals with in the U.S. could make alternate plans, despite the fact that he has set up the capacity to produce his products in the U.S. and avoid tariffs – albeit at reduced profit margins.
“There’s also perception,” Ivey said. “Imagine you’re one of my clients in the United States and you’re hearing through the news about potential tariffs on (Canadian goods). Even though I may be able to provide my goods to you in the United States, you may be thinking, ‘I better find another source’ … There’s a bunch of collateral things I’m concerned with.”
Ivey International isn’t alone.
A new survey by the Surrey Board of Trade and the South Surrey and White Rock Chamber of Commerce found that 91 per cent of their member businesses expect a financial hit.
“We had about two-thirds of our respondents indicating that they are concerned about the tariffs moving forward,” Jasroop Gosal with the Surrey Board of Trade told CTV News on Wednesday.
“There is a lack of clarity on what the tariffs will be. We hear broad-ranging tariffs will be imposed, but does that include the service sector?”
The Surrey Board of Trade is calling for governments to reduce red tape and halt any tax changes that would hurt business growth.
Meanwhile companies like Ivey International are left hoping for the best, but preparing for the worst.
