'Another roller coaster': Saskatchewan brewery's aluminum tariffs 'Foament' follow
Saskatchewan breweries are preparing for the potential impact of US President Donald Trump's 25% tariff on Canadian steel and aluminum, which will take effect on March 12.
“We are preparing for another roller coaster ride,” said Mark Heise, president and CEO of Rebellion Brewing.
Although Canada is the main producer of primary aluminum and has huge smelting capacity, the country does not have a rolling plant to produce the thin sheets needed for the jars. Many breweries purchase cans from the United States
“We are currently buying, so we're buying some cans from the U.S., so we're very concerned,” Heise said, adding that some of their suppliers are stocking in Canada.
He said his company might have to look at other suppliers if the tariffs come into effect, but that is not the prospect he is looking forward to.
“In the past, when there were aluminum tariffs before, we actually did start buying aluminum cans directly from Mexico, and finally it was China after the pressure of supply in Mexico.”
Regional brewing marketing coordinator Hayden McPherson said their brewery is already converting suppliers.
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“We're finding more Canadian suppliers are bringing us better prices, especially when things come in. These are some of the transitions we're doing right now,” he said.
Heise said he hopes to see more solutions made in Canada, including more domestically produced aluminum products.
“We should turn the raw materials into value-added products at home, rather than shipping them elsewhere to make them into jars or anything else,” he said.
Meanwhile, McPherson wants to see trade between provinces easier to encourage consumers to consider products made in Canada.
– Files from Marija Robinson
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