Vermont Businesses Scramble as Trump Tariffs Threaten Survival

Vermont businesses are facing uncertainty and financial hardship due to the renewed trade war between the US and Canada, sparked by President Donald Trump's latest tariffs. Mike Desmarais, owner of Track Inc., a snow grooming equipment dealer in Newport, is worried about the impact on his company.

The Canadian government has announced plans to impose new duties of 50% on two machines made in the US that Desmarais is set to deliver to customers this month. The current cost of each machine is $500,000 Canadian dollars, but with the tariffs, it would increase to CA$750,000.

This is not the first time Trump's trade policies have affected Vermont businesses. Last year, when he initially imposed tariffs on Canada, companies saw a decline in business due to Canadians' disappointment and disillusionment with the US government. However, this year, the situation has become more dire, with anger and frustration from Canadian customers.

Jasper Hill Farm, a renowned cheesemaker, experienced its worst year ever in 2025, partly due to the impact of tariffs on their business. The company had been growing rapidly in Canada until relations between the two countries plummeted last year. The recent cancellation of an order by a Canadian importer after Trump announced new tariffs has further exacerbated the situation.

Vermont Senator Peter Welch is advocating for a bill that would repeal the 1930 federal law used to enact the latest tariffs and provide refunds to those who have paid the duties so far. However, with Republicans controlling both houses of Congress, the chances of this bill becoming law are slim.