Homebuilders concerned about impact of tariffs

By Alejandra Pulido-Guzman - Lethbridge Herald on March 6, 2025.

LETHBRIDGE HERALDapulido@lethbridgeherald.com

The Building Industry and Land Development Association (BILD) Lethbridge Region is seriously concerned about the tariffs imposed on Canada by the United States and considered them unjustified.
Bridget Mearns, executive officer of BILD Lethbridge Region, said that even though they are concerned about the impact of the tariffs on the industry, the impact will be bigger on the United States housing market than in the Canadian one.
“They rely heavily on Canadian material for US housing, so the National Association of home builders in the U.S. has been actively working against these tariffs because they are concerned on the impact they will have on the housing affordability in the U.S.,” said Mearns.
As far as the Canadian market is concerned, Mearns said they are more worried about what impact any countermeasures will have on the overall economy.
“Should these tariffs continue for a longer term, it’s going to weaken our economy and a weaker economy in it’s nature affects housing starts and the housing market,” said Mearns.
The Canadian Home Builders’ Association (CHBA) has been working with the federal government to minimize the impact of those counter tariffs.
“Looking at the category of goods that they are putting tariffs on, are there other markets that we can get these products from?  And also looking at being able to exempt construction materials.”
Mears said the first-phase list of goods that will have tariffs imposed was released last month and the second-phase list was released Tuesday, which contains over 4,000 categories.
“The CHBA is reviewing the list and will ask for remission on key items that will cause hardship,” she said, adding the CHBA is constantly working with the government to make sure that the impact on businesses and Canadians is minimized.
“Obviously, the sooner this trade war is over the better for everybody. But I am hearing from builders that the market is doing well, new construction is doing well, and we hope that continues.”
Even then, the uncertainty brought up by this trade war is terrible for any business and people need to work together to get through it.
In terms of interprovincial trade, Mearns said utilizing materials that can be obtained within Canada will mitigate any tariffs that may be imposed.
“The other thing that the CHBA from a federal perspective is looking at, is if you take off GST on new construction that will also mitigate any tariffs,” she said.

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