Some furniture prices expected to increase in Windsor-Essex due to new tariffs
The clock is ticking down on current prices for a new couch or recliner, thanks to a new tariff.
The changes were implemented on May 5 and are slowly making it to the Windsor-Essex market.
“It effected import upholstery more than anything and import upholstery recliners,” says Guaranteed A Fine Furniture owner Richard Vennettelli.
Vennettelli says he has a large selection of North American products that aren’t directly impacted by the new tariffs, but could drive up the demand.
“If the price of the import starts going up, then you’re going to see the price of the North American products going up as well,” says Vennettelli.
His advice is to buy items that are in stock now, to lock in the lower price.
“So they can get the prices that are there on display, but it other cases it has to be ordered through and if it’s ordered through the number is going to reflect, very much so, the increase in the duties and the tariffs,” he says.
The new tariff is not only effecting the lower-end and mid-price items, but also the higher-design items as well.
“They are trying to recoup and get back to a profitable margin for those companies here in Canada,” says Vennettelli.
In May, Canada Border Services Agency made a preliminary finding that China and Vietnam where dumping cheaper, government-subsidized furniture in Canada, imposing tariffs up to 300 per cent.
“The tariffs were implemented to really protect Canadian manufacturers,” says St. Clair College marketing professor Nicole Rourke.
Even though the move could end up hurting consumers, Rourke says there is a bright side.
“While it might seem like a sticker shock to consumers, it actually does protect a lot of Canadian jobs,” she says.
Rourke’s recommendation for sofa shoppers is similar to that at Guaranteed A Fine Furniture.
“Now is the time to do it, because you will see the prices go way up on these goods in the next few months,” she adds.
With files from CTV News Vancouver.