Business has never been worse for this town in Washington: “This is because of our elected president”

Donald Trump’s decision to slap 25% tariffs on imports from Mexico and Canada earlier this month sparked a back-and-forth of threats from all sides that is slowly escalating into an ugly trade war.

Canada hit back by pausing surcharges on electricity to US customers in Michigan, Minnesota and New York and imposing identical tariffs on US food and drink imports including: orange juice, peanut butter, wine, spirits, beer, coffee along with new charges on imported electrical appliances and motorcycles.

Imported goods from Point Roberts on the US-Canada border

One small US community in the north west part of Washington state has found itself right at the center of the storm. Bordered by Canada and Boundary Bay, Point Roberts - a five-square-mile enclave surrounded by water on three sides, has a population of around 1,300 and is economically dependent on both countries.

Point Roberts is accessible by land only through the Point Roberts–Boundary Bay Border Crossing. Canadians cross the border at Point Roberts to buy US gasoline and other goods which work out much cheaper when the Canadian dollar is strong and Americans do the same, going the other way.

But business has not recovered since the Covid-19 pandemic and things have gradually been getting much worse since tensions between Canada and the US started to boil over.

Point Roberts businesses affected by Trump tariffs

Among the many affected businesses is Larry’s Liquor Locker. Owner Larry Musselwhite says sales have dropped 40% since Trump’s tariff announcement and he is struggling to keep afloat despite working seven days a week

“This is because of our elected president, who really doesn’t care about the common man and the struggles that we have to go through,” Musselwhite to the Associated Press. “It greatly affects how I live my life.”

Tamra Hansen, who like most Point Roberts residents has dual Canadian-US citizenship, runs the Saltwater Cafe and The Pier restaurant - both heavily depend on income from tourists crossing the border.

But her business has also been affected as less people are visiting. “If we don’t get the support from the Canadians, this town will die,” a worried Hansen told AP.

Tourists turn their back on Point Roberts

Another telltale sign that the local economy is flatlining is the Airbnb bookings and occupancy levels - both down on last year’s figures although the summer is usually the busiest time for tourism. Nevertheless, bookings should be picking up now but they’re not.

According to real estate agent Hugh Wilson, there have been more cancellations than bookings in March. He adds that most ordinary people don’t know about or understand the new regulations regarding what can and can’t be taken over the border, or whether items need to be declared. “Nobody is sure of the rules at any one day here,” he sighed. “The border agents do the best they can to stay up to date and they relay that to us as normal people crossing the border.”

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