Local furniture stores are hoping early August is when Canadian government tariffs could be lifted on furniture coming from Vietnam and China.
The tariffs have been in place since May 5.
Owner of City Furniture in Kamloops, Sid Kandola, says it means some furniture that would cost $500 now costs up to $1,500.
He says his company any others have had to foot the difference for customers who pre-bought some furniture. For City Furniture, he says that’s a difference of about $1 million.
“Recliners, sofas, chairs, anything folding, even hide-a-beds, electric recliners… It’s been impacted from China, almost 300 per cent (tariffs). And Vietnam, 100 per cent, or depending on the company, up to 300 per cent.”
Kandola says companies can buy some furniture domestically, but he says Canadian producers cannot meet demand. And he says before this, because of the pandemic, domestic producers have seen wait times double to get products to furniture sotres.
“We always support local and Canadian manfacturing. But at this time, in this category, Canadian manufacturers cannot even produce 10 per cent of that category,” Kandola says, referencing folding furniture affected by the tariffs. “And even the manufacturers we have, they’re looking at six months to order. If you’re going to have Canadian-made goods in that category, you’ll be looking at a year before you can get your supply.”
The tariffs are affecting furniture companies nation-wide, which Kandola pointed out.
They were brought in by Canada Border Services Agency after allegations that China and Vietnam were dumping cheaply-made, government-subsidized furniture into Canada. The allegations were first brought forward by a furniture company in Winnipeg.
A final decision by the CBSA on the tariffs is expected on Aug. 2, after an investigation is done into the allegations.