By Pam Wright, Local Journalism Initiative Reporter
When it comes to the Canada-U.S. trade war, Ryan Donally says Ontario’s southwest region is on the front lines.
And according to the Windsor-Essex Chamber of Commerce president and CEO, the world is watching.
“Everyone is looking at Canada and how we handle this,” Donally said in the keynote address to the Chatham-Kent Chamber of Commerce’s 137th annual general meeting March 27.
“Windsor-Essex, Chatham-Kent…we are the tip of the spear,” he stressed.
In his talk titled ‘Bracing for Impact,” the chamber leader spoke about how the on-again, off again tariffs will affect business – particularly in the automotive industry.
Sustained tariffs in the sector could put 53,000 Ontario jobs at risk, he said, noting 6,400 of those jobs are located in Chatham-Kent.
Donally’s comments came on the day President Donald Trump announced a new 25 per cent duty on all finished vehicles imported into the United States would begin April 3.
Word that more tariffs on auto parts, possibly all parts, could come within weeks, has thrown the industry into turmoil.
But while tariffs will damage Canada’s economy, they’ll also devastate the sector south of the border. Donally said he’s learned from his American counterparts that 530,000 U.S. workers could be at risk – ten times that of Canada.
The North American industry is deeply integrated, he said, with vehicles or parts crossing the border up to eight times.
“The relationships and the advocacy are all intertwined,” Donally explained, adding that dividing the industry would be very difficult, likening it to a breakup.
“I’m not saying we should alienate the United States, by any stretch,” he said, adding Windsor and Detroit just can’t sell their houses and move.
The relationship between Canada and Michigan is enmeshed and just can’t get a divorce, Donally said.
“Nor do I think, we want to.”
A former pro hockey player, Donally took over the helm at the Windsor-Essex chamber just two months ago. He immediately found himself in the eye of the storm, and has since given 50 interviews about tariffs to the likes of Fox News and the BBC.
The day after he took over, Premier Doug Ford called the Ontario election in Windsor.
“Since that morning, I’ve realized my life is going to be thrown upside down,” Donally admitted, noting the Trump administration has made 10 different tariff announcements so far. “And that’s OK, because I think this is an opportunity for the Chamber of Commerce to provide full value to the entire region. If we take care of the region, the membership will be supported.”
In order to handle the tariff impact if Trump follows through, Donally said business leaders need to examine their supply chains and pinpoint where they are sourcing products. It’s also important, he said, to find out what American companies are employing Canadian workers and support them appropriately. He also urged business owners to continue to invest and to move forward.
“I think you’re in a tough spot if you just start pulling back everything,” he said, noting owners should keep trying to grow their businesses, but spend their dollars “wisely.”
Trump’s goal of repatriating jobs to the U.S. can’t – and won’t –happen quickly, Donally explained, as barriers exist in terms of the time it takes to build manufacturing facilities, as well as in the ability to attract world-class skilled labour.
Mass deportations in the United States are another negative, he said, noting immigrants make up a sizeable portion of the workforce
“It’s mass confusion down there,” Donally said of Trump’s Made in American idea. “You just can’t flip the switch. There is no strategy, there is no plan, and if there is, it’s not being shared beyond the very close circle of the Trump administration.”
In his comments to the chamber, C-K Mayor Darrin Canniff acknowledged that tariffs could be devastating.
“It’s almost economic genocide that’s being imposed upon us,” Canniff said, meaning it is “more important than ever to come together” noting chamber organizations have an important voice.
However, he acknowledged there’s an upside to the threat.
“During my life, I’ve never seen us step up as a nation as much as we have here,” Canniff said, noting “shop Canadian” is taking off – a theme businesses can take advantage of.
Another positive, he said, is that Canada will be able to draw top talent away from the instability of the United States.
Both Donally and C-K Chamber of Commerce president Rory Ring say they plan to collaborate with other chambers, with a goal of educating their American friends on the advantages of working together.
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