Page 9 - BusinessWest August 18, 2025

“I would equate it
to walking into a
store ... the sales
tax is 6.25%, and
then, while you’re
purchasing the
item, the sales tax
gets doubled or
tripled.”
some European wines rising even before tariffs were imposed, for
reasons he can’t pinpoint.
“The reality is, I’d prefer to find domestic wine alternatives for
our customers. It’s our job to go out there and find wines for our
customers that are affordable, quality — and that’s easy to do,” he
said, adding that he expects that some will shift more to domestic
products. “Most people are loyal to the grape, and not necessarily
the label,” he said, adding that consumers are likely to trade an Ital-
ian Pinot Grigio for one made in California.
There is less clarity in some other sectors, however, and with
many different products, especially since a new, wide round of
tariffs on individual countries went into effect earlier this month.
The countries included Brazil (50%), Switzerland (39%), Vietnam
(20%), and Taiwan (20%), and the tariffs are expected to generate
price increases on everything from watches to shoes; computers to
furniture; coffee to toys.
Construction is another sector where there are still some
unknowns.
Dave Fontaine, CEO of Fontaine Bros. Inc., said tariffs will cer-
tainly impact the cost of projects large and small because tariffs
on products, such as steel or copper, are applied not when they are
ordered, but when they enter the country.
“I would equate it to walking into a store ... the sales tax is
6.25%, and then, while you’re purchasing the item, the sales tax
gets doubled or tripled,” he explained. “That’s going to impact at the
register.”
To date, increases in prices from tariffs have been offset by
decreases in the cost of some materials due to a general slowdown
in the industry, allowing projects to stay on budget, he went on, but
it remains to be seen if things will stay that way.
For this issue, BusinessWest talked with business owners and
managers across several sectors to get some perspective on tariffs
and what they mean for their businesses and their customers.
Grape Expectations
The announcement of Trump’s ‘Liberation Day’ tariffs on April 2
has been followed by four and half months of trade talks, new deals,
Ben Sullivan says that, while car prices are rising by $2,000 on
average due to tariffs, with incentives, consumers may not see
a rise in their monthly payment.
Staff Photo
deadlines made, deadlines extended, and seemingly never-ending
speculation about the impact of tariffs on prices, individual busi-
nesses, and entire sectors.
In many respects, the speculation is giving way to increased clar-
ity, though there are still plenty of question marks on everything
from how much of the price increases will be passed on to consum-
ers to how those same consumers will respond to the higher prices.
More will be known in the weeks and months to come, said
those we spoke with, adding that much, but not all, of what’s for
sale now — be it cars in showrooms or wines on shelves — were
delivered before tariffs went into effect.
That’s true of the popular beers from Germany, Belgium, and
other European countries sold at the Student Prince, said Nate Yee,
director of Hospitality for the Bean Restaurant Group, which counts
the downtown Springfield landmark among the many area eateries
in its portfolio.
“I don’t know for sure, but I think that what our distributors did,
as these tariff talks were going on, was bulk up their warehouses
just to get people along for six or seven months in anticipation that
the tariff talks would blow over and things would get settled,” he
Business W est << FEATURE >>
AUGUST 18, 2025
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