Oregon’s Food Industry in Turmoil: The Unpredictable Impact of Tariffs
As the vibrant Northwest Food Show unfolds at the Portland Expo Center, a cloud of uncertainty hangs over the hearts of vendors and attendees alike. These industry insiders, from restaurant owners to caterers, are grappling with a pressing question: How will President Donald Trump’s shifting tariffs on foreign goods affect their businesses? The consensus? No one seems to know.
The Current Landscape: A Vendor’s Perspective
“It’s a whipsaw,” remarks Marc Cohen, director of sales for San-J, a reputed maker of Asian sauces out of Virginia. “Tariffs are here one day and gone the next. It makes me wonder if they’ll have staying power.” Such sentiments resonate throughout the expo, where many participants opted to remain anonymous, expressing their fatigue over uncertainty just as the industry was beginning to rebound from the pandemic.
Understanding the Uncertainty
This fog of unpredictability is intricately linked to the Trump administration’s variable tariff policies. Broad tariffs have been both imposed and rescinded, creating an environment where businesses struggle to anticipate their long-term outlooks. For an in-depth analysis of how these trade policies influence Oregon businesses, read this article.
Celebrating 55 Years of Culinary Connection
The Northwest Food Show, now in its 55th year, serves as a pivotal gathering for food service providers from Oregon, Washington, Idaho, and Northern California. Organized by the Oregon Restaurant and Lodging Association, the event attracts a myriad of vendors showcasing everything from luxurious chef’s apparel to high-tech cooking equipment. This year’s event is a crucial platform for buyers seeking to forge lasting relationships and track emerging culinary trends.
Food Industry Experts Weigh In
Jason Brandt, the president and CEO of the Oregon Restaurant and Lodging Association, cautions that tariffs can be detrimental to business. “We believe restaurants will be among the first hit with the cost escalations of food from tariffs on imports,” Brandt states. “Our industry is still recovering from the pandemic, and any cost escalation is extremely challenging to absorb.”
Navigating the Cost Landscape
As of last Friday, the landscape remains in flux, with tariffs fluctuating unpredictably. While a base tariff of 10% on most imports persists, products from Canada and Mexico not covered by existing free trade agreements attract a hefty 25% tariff. Additionally, a staggering 145% tariff on Chinese goods looms, influencing components used for packaging and industrial machinery more than food items directly.
Local Business Responses to the Uncertainty
At Mo’s Seafood and Chowder in Cannon Beach, Walt Garnett expresses concern but admits uncertainty reigns supreme over his company’s operations. “Suppliers are very confused,” he shares. While some local suppliers may offer more expensive goods unaffected by tariffs, the need to remain cautious prevails.
Silver Linings and Cautionary Tales
Conversely, Brent Fraser, a seafood wholesaler at Sea Watch International, views the scenario with cautious optimism. "I can see where it would be a positive for us," he notes. "But I can also see where it could hurt the industry if people don’t have the product." This duality of potential outcomes underscores the complexity of the market landscape influenced by tariffs.
The Emotional Toll of Uncertainty
Whispers of anxiety ripple through the crowd. Raju Chuganey, who leases industrial smoothie makers for Kerry, observes that many of his customers are stalling on new investments due to market unpredictability. “There’s a hesitance to make changes,” he notes. This pervasive uncertainty could be one of the more insidious impacts of tariff negotiations—one that stifles innovation and limits growth.
Conclusion: A Waiting Game
As participants at the Northwest Food Show navigate these tumultuous waters, the future remains uncertain. The growing hesitation surrounding investments and market movements looms large, underscoring the importance of strategic adaptability in the food industry. Engaging with suppliers and staying informed about tariff implications will be crucial for the Oregon food community to thrive in these unpredictable times.
For more insights on how tariffs are shaping Oregon’s economy, keep an eye on developments through reputable sources like OregonLive.
This article was brought to you by Lillian Mongeau Hughes, covering substantial issues within the Oregon community. If you have tips or questions, feel free to reach out at [email protected] or connect with her on Bluesky and X.
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