Brandon construction firms delay projects due to rising costs

cbc.ca

Construction companies in Brandon, Manitoba, are feeling the effects of rising costs due to ongoing trade tensions between the U.S. and Canada. Tariffs imposed by the U.S. government on Canadian steel and aluminum are causing companies to rethink their plans, with some projects being delayed or canceled. On March 11, President Donald Trump announced a 25% tariff on Canadian steel and aluminum, with more tariffs expected soon. This uncertainty is making it difficult for builders to plan future projects. Shawn Wood, executive director of the Construction Association of Rural Manitoba, said that predicting prices for materials that may not be needed for a year or two is like "picking a number out of a hat." Matt Berg, president of Livingstone Landscaping, echoed these concerns. He noted that customers are hesitant to start new projects due to the confusion over pricing and tariff impacts. His company is looking for Canadian-made products to avoid tariffs, but it is challenging to know if switching suppliers is worth the risk. Tariffs on essential materials such as lumber, steel, and aluminum are driving up costs across the construction industry. Wood warned that if these prices continue to rise, it could slow down construction projects significantly. Many companies are already feeling the strain, with some possibly having to close if materials remain unavailable or expensive. Evan Keller, owner of Keller Developments, is facing similar challenges. He has received warnings from suppliers about sharp price increases due to tariffs. He pre-contracts materials to lock in prices but finds that not all products can be secured this way. The Brandon Chamber of Commerce noted that the uncertainty surrounding tariffs could have lasting consequences for the industry. Businesses need to predict costs well in advance, making it hard to operate without clear information. The constant fear of price hikes is weighing heavily on construction firms. Berg described the current situation as another hurdle in an already stressful market.


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