Businesses in rural P.E.I. adapting, seeking new markets amid global tariff turmoil
Trade war with the U.S. is pushing some Island companies to find new opportunities
Several rural business owners in Prince Edward Island are feeling the pressure of an uncertain global trade environment, much of it sparked by U.S. President Donald Trump's tariffs, but many say they will be able to adapt and find opportunities.
That was one of the key takeaways from an event held Wednesday in Vernon River, organized by the Community Business Development Corporation.
The event brought together entrepreneurs and people from various industries on P.E.I. to connect and share strategies amid the ever-changing trade landscape.
Evan Nobles is co-owner of Belfast Mini Mills, which manufactures textile machines and exports them around the world.
He estimates about half of the company's sales are to the United States, and customers south of the border were worried that Belfast Mini Mills would pull out of that market entirely.
"It was a big hiccup at the beginning. As soon as we heard the tariffs, everyone started to pull back. Just the threat of the tariffs made it hard to get supplies in," Nobles told CBC News.
"To lose it completely would be tough, but we would pivot, and we wouldn't leave them hanging."
Open to new markets
Nobles said the tariff news has led to some growth opportunities, especially within Canada and overseas.
"Canadians were reaching out to us more. Everyone wants to support local… So that helped," he said.
"There has been a lot more in the United Kingdom looking to leave the U.S. and support more Canadians, so we're the first ones they look at for textile machines at this size."
He said expanding into new markets is a slow and strategic process, particularly for such a niche business.
To grow their customer base and diversify, the company has advertised on social media and reached out to sales reps overseas to connect with potential buyers.
The push to find new markets is a trend many owners discussed at the event, said Claus Schmidt, executive director of CBDC Central P.E.I.
"Of course, it's not an overnight process. We can tell everybody's now saying, 'OK, you know what? We got to diversify,'" Schmidt said. "We know the next four years are going to probably keep looking like this, and maybe longer."
Schmidt added that although the trade landscape remains uncertain, Island businesses have shown resilience in the face of other challenges over the past few years, from the pandemic and potato wart crisis to post-tropical storms.
'We're still hustling'
The ongoing trade uncertainty can also have impacts on the food and manufacturing sectors.
Maureen Hanley, co-owner of Navigate Food Safety Solutions in Montague, works with food manufacturers in Canada and across the globe to help them meet regulatory standards and improve safety practices.
In the food and beverage sector where profit margins are already tight, any disruption like Trump's trade war and reduced access to U.S. markets can be especially tough.
"There's not a lot of margin in there," Hanley said. "They run lean already, and they're being impacted on multiple levels by many things, and so the extra reduced market in the U.S., that's a tough hit."
Still, she said she hasn't heard much industry concern over tariffs lately, even at major trade shows.
"I went to a trade show in Florida in March. Big, big trade show. Nobody was really talking about it," she said.
"That's my world. The show must go on. They're still hustling. We're still hustling."
With files from Island Morning