Licensed cannabis operators and ancillary companies are bracing for rising business costs, lost customers and vendor backlash in the wake of President Donald Trump’s erratic blanket tariffs that have rattled the global economy and stoked fears of a recession and accelerated inflation in the United States.
Higher prices are expected to take a toll on wide swaths of the industry’s supply chain, from building and cultivation equipment to product components, packaging and raw materials, according to more than a dozen executives and economic experts queried by MJBizDaily after Trump’s ‘Liberation Day’ edict that torpedoed decades of US foreign trade policy.
The tariffs’ effects are already being felt by cannabis businesses – particularly those caught in retaliatory salvos by international vendors – and are leading others to seek more domestic suppliers if and where they can.
Some retailers and brands are planning to pass on some of these rising costs to customers.
This article was originally published on MJBizDaily, click here to read on.
