Potential tariff on Canadian goods creates challenges for local business
ISLAND FALLS, Maine (WAGM) - As talk of tariffs continues, including the potential of a 25 percent tariff on goods entering the United States from Canada, uncertainty of what this could mean to U.S. businesses continues. One business in the County is already experiencing challenges brought on by the potential Canadian Tariff.
After 34 years in business and more than 400 fire truck sales, Tom York, Owner of K&T Fire Equipment located in Island Falls says he can no longer predict the accurate cost of a fire truck to his clientele because of the possibility of a tariff
“I called the US customs at Houlton and asked them what are we expecting for a tariff today and their answer is, ‘Right now as you are talking to us there is no tariff but call in an hour it could change,” says York.
K&T Fire Equipment is a representative dealer for MetalFab in Centervil News Brunswick. In Island Falls, the business is able to help design a fire truck based on a department’s needs. They offer warranty work for all of their vehicles sold throughout Maine, New Hampshire, and Vermont. York says having no answers about potential tariffs has been his biggest challenge since December of 2024
“These trucks cost upwards of half a million dollars and if the tariff is even 10 percent that’s a lot of money that they weren’t expecting to draw out of their savings if they have that kind of money in their savings. Most of these departments are small rural departments that have saved a number of years to come up with x amount of dollars to buy this vehicle,” says York.
Folks affiliated with fire departments looking for a new truck will agree on a design and cost and sign a contract before any of the work is done to the truck. The contract states that if the specified product is delivered then that department will pay for it. Whether they get their money through savings, funding, or grants the extra cost could make the purchase unfeasible
“It’s hard for the manufacturers to put a price tag on something especially if it’s going to be 24 - 36 months down the road. Who knows what this will do to a million-dollar fire truck - it may make it another 1.2 million - I don’t know but it’s scary because it’s pretty expensive now. To think of what any other additional cost will be it’s going to make it very hard for communities to purchase this equipment” says Presque Isle Fire Chief Darrell White.
Ultimately one of the parties will have to cover the potential Tariff cost whether it be MetalFab, K&T Fire Equipment, or the Fire department that signed the contract for the truck.
“That was always a question in my mind you know we definitely feel like we have compassion both for MetalFab as the builder. That representation with them has been very strong. we’ve had a lot of imput in how they build the trucks. Things that we think would make a better product. They’ve accepted a lot of that, I don’t excpect them to accept everything. And the same thing goes for the customers we are looking to protect his best interest,” says York.
As of now, York says that he cannot sell a truck because his clientele needs to know an accurate price before they sign the contract.
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