The trade war between the United States and Canada has created significant challenges for the rural communities of Michigan’s Upper Peninsula, known regionally as the UP. This area, which has historically voted Republican, is now feeling the economic strain of President Trump’s decision to impose a 50% tariff on nearly $20 billion in Canadian goods. The region’s reliance on cross-border trade and tourism makes it particularly vulnerable to these changes.
The UP’s isolation—accessible by only two bridges and a land border with Wisconsin—exacerbates the situation. With record-high diesel fuel prices, shipping and transportation costs have skyrocketed, further straining local businesses. The upcoming November elections could be influenced by these economic pressures, as residents grapple with rising costs and uncertain futures.
The impact on local businesses
Ben Rahilly, a small business owner in Newberry, a town about 60 miles west of the Canadian border, is feeling the effects of the trade war firsthand. Rahilly owns an appliance store, a gift shop, a furniture store, and a concrete business. With a population of around 5,300 Newberry’s largest employers are a prison, a hospital, and a mill that makes wood siding. Rahilly’s businesses are struggling with increasing costs.
Prices are going up and our shipping charges are getting more and more every day. The cost of goods is increasing, making it tougher on our profit margins. We’re trying to keep it small town, small prices so people can afford to keep shopping with us.
Rahilly, who leans conservative, is baffled by the trade war. Our president is in a pissing match with Canada he said. We do a lot of business with Canada, surprisingly enough. Despite voting for Trump, Rahilly is not entirely satisfied with the administration’s decisions. Yes, we need goods made in America, but we don’t have a workforce either, so we’re not going to get it. We just have to be able to work with other countries.
The role of the International Bridge
The cities of Sault Ste. Marie, Michigan, and Sault Ste. Marie, Ontario, are connected by the International Bridge, a vital link for both commercial and passenger traffic. However, since Trump’s second term, traffic across the bridge has decreased by about a quarter. The International Bridge Administration estimates that businesses on the Michigan side are missing out on $62.7 million in lost revenue due to the reduced traffic.
Tony Haller, the executive director of the Sault Area Chamber of Commerce, acknowledges the frustration between the two communities. There’s certainly a sense of frustration between both communities he said. Haller believes the local economy has been steady but not thriving. Basically, never at the highest of highs or lowest of lows.
Haller hopes for a resolution to the trade war, stating, Speaking from Sault Michigan’s point of view, we’re pretty solid all year round, but because of the bridge traffic being down, our businesses aren’t quite as busy as they should be. We’re hoping that when this all gets settled, we’ll go back to some sort of normalcy.
Tourists and residents weigh in
The trade war is also affecting tourists visiting the region. Todd Campbell and his wife Debbie were watching the Algoma Harvester, a Canadian carrier, make its way to Thunder Bay, Ontario, upstream through the Soo Locks. Campbell, a trucking company owner from Knoxville, Tennessee, expressed his discontent with the tariffs. I’m not real happy about that. I’m a more conservative person, but I’m not happy with the way that’s going to be honest with you.
Campbell, who likes most of the GOP’s policies, acknowledged that he doesn’t agree with every decision made by the administration. I think both sides are really out for themselves, and we all get caught in the middle. This is a good example of it. Despite his concerns, Campbell insists he wouldn’t vote for a Democrat, believing the Democratic Party has been hijacked by the far left on issues like abortion rights.
Homer Coleman, a trucker vacationing in the UP with his wife and friends, is an Independent voter against abortion rights. He is baffled by the president’s actions. Canada and the United States are sort of like brothers. He seemed like he wants to pick a fight with everybody, and he shouldn’t be picking a fight with Canada of all people.
Retired engineer Don Laban from Muskegon considers himself a middle-of-the-road voter. He applauds the president for evening out trade with Canada but is critical of the left for not being more policy-forward. What did the Democrats have to offer me, other than Orange Man bad? That’s all they could say last time. Don’t tell me who not to vote for. Tell me why I should vote for you.
Despite the economic challenges, Coleman believes there’s not much he can do at the ballot box. The record-high cost of diesel fuel is driving up costs for everyone. Just gotta keep going. Everybody’s gotta work as hard as they can and try to get along with people.
As the trade war continues, the residents of Michigan’s Upper Peninsula are left to navigate the economic uncertainties and hope for a resolution that will restore normalcy to their communities.
